In the latest trading session, Chesapeake Energy closed at $89.75, marking a -1.44% move from the previous day. This move lagged the S&P 500's daily loss of 0.93%. Meanwhile, the Dow lost 0.43%, and the Nasdaq, a tech-heavy index, lost 0.17%.
Heading into today, shares of the oil and gas company had gained 19.28% over the past month, outpacing the Oils-Energy sector's loss of 4.39% and the S&P 500's gain of 6.31% in that time.
Investors will be hoping for strength from Chesapeake Energy as it approaches its next earnings release, which is expected to be August 2, 2022. On that day, Chesapeake Energy is projected to report earnings of $3.75 per share, which would represent year-over-year growth of 128.66%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.71 billion, up 147.36% from the year-ago period.
It is also important to note the recent changes to analyst estimates for Chesapeake Energy. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 2.98% higher within the past month. Chesapeake Energy is currently a Zacks Rank #2 (Buy).
In terms of valuation, Chesapeake Energy is currently trading at a Forward P/E ratio of 6.43. Its industry sports an average Forward P/E of 4.34, so we one might conclude that Chesapeake Energy is trading at a premium comparatively.
It is also worth noting that CHK currently has a PEG ratio of 1.03. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Oil and Gas - Exploration and Production - United States was holding an average PEG ratio of 0.2 at yesterday's closing price.
The Oil and Gas - Exploration and Production - United States industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 15, which puts it in the top 6% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Chesapeake Energy (CHK) Dips More Than Broader Markets: What You Should Know
In the latest trading session, Chesapeake Energy closed at $89.75, marking a -1.44% move from the previous day. This move lagged the S&P 500's daily loss of 0.93%. Meanwhile, the Dow lost 0.43%, and the Nasdaq, a tech-heavy index, lost 0.17%.
Heading into today, shares of the oil and gas company had gained 19.28% over the past month, outpacing the Oils-Energy sector's loss of 4.39% and the S&P 500's gain of 6.31% in that time.
Investors will be hoping for strength from Chesapeake Energy as it approaches its next earnings release, which is expected to be August 2, 2022. On that day, Chesapeake Energy is projected to report earnings of $3.75 per share, which would represent year-over-year growth of 128.66%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.71 billion, up 147.36% from the year-ago period.
It is also important to note the recent changes to analyst estimates for Chesapeake Energy. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 2.98% higher within the past month. Chesapeake Energy is currently a Zacks Rank #2 (Buy).
In terms of valuation, Chesapeake Energy is currently trading at a Forward P/E ratio of 6.43. Its industry sports an average Forward P/E of 4.34, so we one might conclude that Chesapeake Energy is trading at a premium comparatively.
It is also worth noting that CHK currently has a PEG ratio of 1.03. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Oil and Gas - Exploration and Production - United States was holding an average PEG ratio of 0.2 at yesterday's closing price.
The Oil and Gas - Exploration and Production - United States industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 15, which puts it in the top 6% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.