Chesapeake Energy Corp Stock Buy Hold or Sell Recommendation
| CHK Stock | USD 90.69 2.16 2.44% |
Considering the 90-day investment horizon and your above-average risk tolerance, our recommendation regarding Chesapeake Energy Corp is 'Strong Hold'. Macroaxis provides Chesapeake Energy buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding CHK positions. The advice algorithm takes into account all of Chesapeake Energy's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Chesapeake Energy's buy or sell advice are summarized below:
Real Value 104.7 | Target Price 107 | Hype Value 90.89 | Market Value 90.69 | Naive Value 87.32 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Chesapeake Energy Corp given historical horizon and risk tolerance towards Chesapeake Energy. When Macroaxis issues a 'buy' or 'sell' recommendation for Chesapeake Energy Corp, the advice is generated through an automated system that utilizes algorithms and statistical models.
Chesapeake |
Execute Chesapeake Energy Buy or Sell Advice
The Chesapeake recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Chesapeake Energy Corp. Macroaxis does not own or have any residual interests in Chesapeake Energy Corp or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Chesapeake Energy's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Hold
Market Performance | Good | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Follows the market closely | Details | |
Investor Sentiment | Interested | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Poor | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Possible Manipulator | Details |
Chesapeake Energy Trading Alerts and Improvement Suggestions
| The company has 2.11 B in debt with debt to equity (D/E) ratio of 0.43, which is OK given its current industry classification. Chesapeake Energy Corp has a current ratio of 0.48, suggesting that it has not enough short term capital to pay financial commitments when the payables are due. Debt can assist Chesapeake Energy until it has trouble settling it off, either with new capital or with free cash flow. So, Chesapeake Energy's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Chesapeake Energy Corp sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Chesapeake to invest in growth at high rates of return. When we think about Chesapeake Energy's use of debt, we should always consider it together with cash and equity. | |
| Chesapeake Energy has a poor financial position based on the latest SEC disclosures | |
| Over 95.0% of Chesapeake Energy shares are held by institutions such as insurance companies | |
| On 26th of March 2024 Chesapeake Energy paid $ 0.575 per share dividend to its current shareholders | |
| Latest headline from zacks.com: Disposition of 1017 shares by Gregory Larson of Chesapeake Energy subject to Rule 16b-3 |
Chesapeake Energy Returns Distribution Density
The distribution of Chesapeake Energy's historical returns is an attempt to chart the uncertainty of Chesapeake Energy's future price movements. The chart of the probability distribution of Chesapeake Energy daily returns describes the distribution of returns around its average expected value. We use Chesapeake Energy Corp price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Chesapeake Energy returns is essential to provide solid investment advice for Chesapeake Energy.
| Mean Return | 0.25 | Value At Risk | -1.62 | Potential Upside | 2.12 | Standard Deviation | 1.46 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Chesapeake Energy historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Chesapeake Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Chesapeake Energy is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Chesapeake Energy Corp backward and forwards among themselves. Chesapeake Energy's institutional investor refers to the entity that pools money to purchase Chesapeake Energy's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | T. Rowe Price Associates, Inc. | 2023-12-31 | 2.7 M | Thrivent Financial For Lutherans | 2023-12-31 | 2.6 M | Lord, Abbett & Co Llc | 2023-12-31 | 2.3 M | Glendon Capital Management Lp | 2023-12-31 | 2.1 M | Prudential Financial Inc | 2023-12-31 | 2.1 M | Geode Capital Management, Llc | 2023-12-31 | 2.1 M | Dimensional Fund Advisors, Inc. | 2023-12-31 | 2 M | Fmr Inc | 2023-12-31 | 1.8 M | Goldman Sachs Group Inc | 2023-12-31 | 1.5 M | Vanguard Group Inc | 2023-12-31 | 12.7 M | Blackstone Inc | 2023-12-31 | 12.7 M |
Chesapeake Energy Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change In Cash | 2M | 273M | 273K | (722M) | 961M | 1.0B | |
| Free Cash Flow | 1.5B | 1.1B | 22K | 2.3B | 551M | 578.6M | |
| Depreciation | 2.2B | 9.0B | 1.1M | 1.8B | 1.5B | 1.5B | |
| Other Non Cash Items | 247M | 1.0B | 9.8M | (1.1B) | (2.3B) | (2.2B) | |
| Capital Expenditures | 83M | 31M | 1.1M | 1.8B | 1.8B | 3.4B | |
| Net Income | (308M) | (9.8B) | (9.8M) | 4.9B | 2.4B | 2.5B | |
| End Period Cash Flow | 6M | 279M | 279K | 192M | 1.2B | 1.2B | |
| Dividends Paid | 91M | 22M | 22K | 1.2B | 487M | 511.4M | |
| Investments | 74M | (2.5B) | (992M) | (18M) | 473M | 496.7M | |
| Net Borrowings | 986M | 245M | (708M) | (238M) | (214.2M) | (203.5M) | |
| Change To Netincome | (119M) | 29M | (6.3B) | 1.1B | 995.4M | 970.7M |
Chesapeake Energy Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Chesapeake Energy or Oil, Gas & Consumable Fuels sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Chesapeake Energy's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Chesapeake stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over NYSE Composite | 0.18 | |
β | Beta against NYSE Composite | 0.71 | |
σ | Overall volatility | 1.50 | |
Ir | Information ratio | 0.11 |
Chesapeake Energy Volatility Alert
Chesapeake Energy Corp has relatively low volatility with skewness of 2.25 and kurtosis of 11.12. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Chesapeake Energy's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Chesapeake Energy's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Chesapeake Energy Fundamentals Vs Peers
Comparing Chesapeake Energy's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Chesapeake Energy's direct or indirect competition across all of the common fundamentals between Chesapeake Energy and the related equities. This way, we can detect undervalued stocks with similar characteristics as Chesapeake Energy or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Chesapeake Energy's fundamental indicators could also be used in its relative valuation, which is a method of valuing Chesapeake Energy by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Chesapeake Energy to competition |
| Fundamentals | Chesapeake Energy | Peer Average |
| Return On Equity | 0.24 | -0.31 |
| Return On Asset | 0.0922 | -0.14 |
| Profit Margin | 0.40 % | (1.27) % |
| Operating Margin | 0.46 % | (5.51) % |
| Current Valuation | 12.63 B | 16.62 B |
| Shares Outstanding | 130.79 M | 571.82 M |
| Shares Owned By Insiders | 4.81 % | 10.09 % |
| Shares Owned By Institutions | 95.19 % | 39.21 % |
| Number Of Shares Shorted | 15.84 M | 4.71 M |
| Price To Earning | (0.10) X | 28.72 X |
| Price To Book | 1.08 X | 9.51 X |
| Price To Sales | 1.92 X | 11.42 X |
| Revenue | 7.78 B | 9.43 B |
| Gross Profit | 8.13 B | 27.38 B |
| EBITDA | 3.98 B | 3.9 B |
| Net Income | 2.42 B | 570.98 M |
| Cash And Equivalents | 130 M | 2.7 B |
| Cash Per Share | 0.55 X | 5.01 X |
| Total Debt | 2.11 B | 5.32 B |
| Debt To Equity | 0.43 % | 48.70 % |
| Current Ratio | 0.49 X | 2.16 X |
| Book Value Per Share | 82.03 X | 1.93 K |
| Cash Flow From Operations | 2.38 B | 971.22 M |
| Short Ratio | 7.70 X | 4.00 X |
| Earnings Per Share | 16.92 X | 3.12 X |
| Price To Earnings To Growth | 1.85 X | 4.89 X |
| Target Price | 103.75 | |
| Number Of Employees | 1 K | 18.84 K |
| Beta | 0.51 | -0.15 |
| Market Capitalization | 11.58 B | 19.03 B |
| Total Asset | 14.38 B | 29.47 B |
| Retained Earnings | 4.97 B | 9.33 B |
| Working Capital | 1.29 B | 1.48 B |
Note: Disposition of 1017 shares by Gregory Larson of Chesapeake Energy subject to Rule 16b-3 [view details]
Chesapeake Energy Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Chesapeake . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About Chesapeake Energy Buy or Sell Advice
When is the right time to buy or sell Chesapeake Energy Corp? Buying financial instruments such as Chesapeake Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.| 2021 | 2022 | 2023 | 2024 (projected) | Short and Long Term Debt Total | 2.3B | 3.2B | 2.1B | 2.0B | Total Assets | 11.0B | 15.5B | 14.4B | 16.6B |
Use Investing Ideas to Build Portfolios
In addition to having Chesapeake Energy in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Agriculture Thematic Idea Now
Agriculture
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Agriculture theme has 31 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Agriculture Theme or any other thematic opportunities.
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Check out Chesapeake Energy Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For more information on how to buy Chesapeake Stock please use our How to buy in Chesapeake Stock guide.Note that the Chesapeake Energy Corp information on this page should be used as a complementary analysis to other Chesapeake Energy's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Price Transformation module to use Price Transformation models to analyze the depth of different equity instruments across global markets.
Complementary Tools for Chesapeake Stock analysis
When running Chesapeake Energy's price analysis, check to measure Chesapeake Energy's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Chesapeake Energy is operating at the current time. Most of Chesapeake Energy's value examination focuses on studying past and present price action to predict the probability of Chesapeake Energy's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Chesapeake Energy's price. Additionally, you may evaluate how the addition of Chesapeake Energy to your portfolios can decrease your overall portfolio volatility.
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Is Chesapeake Energy's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Chesapeake Energy. If investors know Chesapeake will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Chesapeake Energy listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.83) | Dividend Share 3.62 | Earnings Share 16.92 | Revenue Per Share 45.521 | Quarterly Revenue Growth (0.59) |
The market value of Chesapeake Energy Corp is measured differently than its book value, which is the value of Chesapeake that is recorded on the company's balance sheet. Investors also form their own opinion of Chesapeake Energy's value that differs from its market value or its book value, called intrinsic value, which is Chesapeake Energy's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Chesapeake Energy's market value can be influenced by many factors that don't directly affect Chesapeake Energy's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Chesapeake Energy's value and its price as these two are different measures arrived at by different means. Investors typically determine if Chesapeake Energy is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Chesapeake Energy's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.