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GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 5/10

vs
industry
vs
history
Cash to Debt 0.023
CHK's Cash to Debt is ranked lower than
75% of the 408 Companies
in the Global Oil & Gas E&P industry.

( Industry Median: 0.34 vs. CHK: 0.023 )
CHK' s 10-Year Cash to Debt Range
Min: 0   Max: 0.15
Current: 0.02

0
0.15
Equity to Asset 0.374
CHK's Equity to Asset is ranked lower than
75% of the 408 Companies
in the Global Oil & Gas E&P industry.

( Industry Median: 0.55 vs. CHK: 0.374 )
CHK' s 10-Year Equity to Asset Range
Min: -0.26   Max: 0.46
Current: 0.37

-0.26
0.46
F-Score: 2
Z-Score: 0.49
M-Score: -3.25
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 8/10

vs
industry
vs
history
Operating margin (%) -13.80
CHK's Operating margin (%) is ranked lower than
61% of the 408 Companies
in the Global Oil & Gas E&P industry.

( Industry Median: 0.80 vs. CHK: -13.80 )
CHK' s 10-Year Operating margin (%) Range
Min: -116.1   Max: 53.7
Current: -13.8

-116.1
53.7
Net-margin (%) -6.2
CHK's Net-margin (%) is ranked lower than
56% of the 408 Companies
in the Global Oil & Gas E&P industry.

( Industry Median: 0.00 vs. CHK: -6.2 )
CHK' s 10-Year Net-margin (%) Range
Min: -75.7   Max: 72.5
Current: -6.2

-75.7
72.5
ROE (%) -4.9
CHK's ROE (%) is ranked lower than
65% of the 408 Companies
in the Global Oil & Gas E&P industry.

( Industry Median: 0.00 vs. CHK: -4.9 )
CHK' s 10-Year ROE (%) Range
Min: -50.9   Max: 145.4
Current: -4.9

-50.9
145.4
ROA (%) -1.8
CHK's ROA (%) is ranked lower than
58% of the 408 Companies
in the Global Oil & Gas E&P industry.

( Industry Median: 0.00 vs. CHK: -1.8 )
CHK' s 10-Year ROA (%) Range
Min: -19.5   Max: 31.6
Current: -1.8

-19.5
31.6
ROC (Joel Greenblatt) (%) -5.00
CHK's ROC (Joel Greenblatt) (%) is ranked lower than
67% of the 408 Companies
in the Global Oil & Gas E&P industry.

( Industry Median: 0.00 vs. CHK: -5.00 )
CHK' s 10-Year ROC (Joel Greenblatt) (%) Range
Min: -35.1   Max: 31.2
Current: -5

-35.1
31.2
Revenue Growth (%) 11.1
CHK's Revenue Growth (%) is ranked higher than
73% of the 408 Companies
in the Global Oil & Gas E&P industry.

( Industry Median: 0.00 vs. CHK: 11.1 )
CHK' s 10-Year Revenue Growth (%) Range
Min: -7.7   Max: 27.7
Current: 11.1

-7.7
27.7
EPS Growth (%) -37.5
CHK's EPS Growth (%) is ranked lower than
93% of the 408 Companies
in the Global Oil & Gas E&P industry.

( Industry Median: 0.00 vs. CHK: -37.5 )
CHK' s 10-Year EPS Growth (%) Range
Min: -37.5   Max: 96
Current: -37.5

-37.5
96
» CHK's 10-Y Financials

Financials


Revenue & Net Income
Cash & Debt
Oprt. Cash Flow & Free Cash Flow

» Details

Guru Trades

Q2 2012

CHK Guru Trades in Q2 2012

Carl Icahn 50,085,202 sh (New)
Tom Russo 100 sh (New)
Manning & Napier Advisors, Inc 2,297,290 sh (New)
Bruce Kovner 1,000,000 sh (New)
Mohnish Pabrai 1,005,000 sh (New)
Jeremy Grantham 17,800 sh (New)
Arnold Schneider 1,938,156 sh (+395.55%)
Steven Cohen 70,286 sh (+200.66%)
Charles Brandes 15,031,236 sh (+78.61%)
Mason Hawkins 89,698,295 sh (+3.6%)
Richard Snow 2,435,191 sh (+1.56%)
John Rogers 2,827,685 sh (+0.08%)
Jean-Marie Eveillard 4,000 sh (unchged)
Ruane Cunniff 2,607,065 sh (unchged)
Eric Mindich 4,500,000 sh (unchged)
Paul Tudor Jones 200,000 sh (unchged)
RS Investment Management Sold Out
T Boone Pickens Sold Out
Ronald Muhlenkamp Sold Out
David Dreman 987,511 sh (-8.15%)
John Buckingham 148,882 sh (-22.02%)
» More
Q3 2012

CHK Guru Trades in Q3 2012

Bruce Kovner 3,370,000 sh (+237%)
Mohnish Pabrai 2,983,817 sh (+196.9%)
Steven Cohen 101,531 sh (+44.45%)
Arnold Schneider 2,025,586 sh (+4.51%)
Mason Hawkins 89,719,031 sh (+0.02%)
Ruane Cunniff 2,607,065 sh (unchged)
Carl Icahn 50,085,202 sh (unchged)
Jean-Marie Eveillard 4,000 sh (unchged)
Eric Mindich 2,000,000 sh (unchged)
Jeremy Grantham Sold Out
Tom Russo Sold Out
Manning & Napier Advisors, Inc 2,281,870 sh (-0.67%)
Richard Snow 2,289,832 sh (-5.97%)
Charles Brandes 13,570,949 sh (-9.72%)
John Buckingham 134,201 sh (-9.86%)
David Dreman 770,574 sh (-21.97%)
John Rogers 889,090 sh (-68.56%)
» More
Q4 2012

CHK Guru Trades in Q4 2012

Whitney Tilson 13,845 sh (New)
Paul Tudor Jones 22,000 sh (New)
Mohnish Pabrai 3,155,971 sh (New)
Carl Icahn 59,698,689 sh (+19.19%)
Arnold Schneider 2,052,996 sh (+1.35%)
Richard Snow 2,315,410 sh (+1.12%)
Jean-Marie Eveillard 4,000 sh (unchged)
Jeremy Grantham 12,100 sh (unchged)
Ruane Cunniff 2,607,065 sh (unchged)
Manning & Napier Advisors, Inc 2,275,200 sh (-0.29%)
Mason Hawkins 85,481,331 sh (-4.72%)
Charles Brandes 12,740,892 sh (-6.12%)
John Buckingham 121,370 sh (-9.56%)
John Rogers 555,709 sh (-37.5%)
David Dreman 251,385 sh (-67.38%)
Bruce Kovner 1,000,000 sh (-70.33%)
Steven Cohen 29,644 sh (-70.8%)
» More
Q1 2013

CHK Guru Trades in Q1 2013

Ray Dalio 20,000 sh (New)
Bruce Berkowitz 13,373,700 sh (New)
Louis Moore Bacon 1,000,000 sh (New)
Richard Snow 2,548,219 sh (+10.05%)
Mason Hawkins 89,428,818 sh (+4.62%)
Arnold Schneider 2,120,308 sh (+3.28%)
Mohnish Pabrai 3,214,250 sh (+1.85%)
Ruane Cunniff 2,607,065 sh (unchged)
Jean-Marie Eveillard 4,000 sh (unchged)
Richard Perry 5,013,800 sh (unchged)
Carl Icahn 59,698,689 sh (unchged)
Whitney Tilson Sold Out
Bruce Kovner Sold Out
Paul Tudor Jones Sold Out
Jeremy Grantham Sold Out
John Buckingham 115,570 sh (-4.78%)
Charles Brandes 12,049,061 sh (-5.43%)
Manning & Napier Advisors, Inc 2,143,500 sh (-5.79%)
David Dreman 231,111 sh (-8.06%)
Steven Cohen 24,238 sh (-18.24%)
John Rogers 213,780 sh (-61.53%)
» More
» Details

Insider Trades

Latest Guru Trades with CHK

GuruDate Trades Impact to Portfolio Price Range * (?) Current Price Change from Average Current Shares
Bruce Berkowitz 2013-03-31 New Buy3.5%$16.6 - $22.52 $ 21.6711%13373700
Mason Hawkins 2013-03-31 Add 4.62%0.36%$16.6 - $22.52 $ 21.6711%89428818
Ray Dalio 2013-03-31 New Buy$16.6 - $22.52 $ 21.6711%20000
Carl Icahn 2012-12-31 Add 19.19%1.24%$16.39 - $21.58 $ 21.6719%59698689
David Dreman 2012-12-31 Reduce -67.38%0.24%$16.39 - $21.58 $ 21.6719%251385
David Dreman 2012-09-30 Reduce -21.97%0.09%$16.83 - $20.52 $ 21.6714%770574
Carl Icahn 2012-06-30 New Buy8.9%$13.97 - $23.24 $ 21.6722%50085202
Ronald Muhlenkamp 2012-06-30 Sold Out 1.9%$13.97 - $23.24 $ 21.6722%0
Charles Brandes 2012-06-30 Add 78.61%1.28%$13.97 - $23.24 $ 21.6722%15031236
Mason Hawkins 2012-06-30 Add 3.6%0.25%$13.97 - $23.24 $ 21.6722%89698295
Premium More recent guru trades are included for Premium Members only!!

Preferred stocks of Chesapeake Energy Corp

SymbolPriceYieldDescription
CHKDG89.501.30
CHKVZ1040.000.00
CHKPRD0.014.864.50% Cumulative Convertible Preferred Stock

Guru Investment Theses on Chesapeake Energy Corp

John Rogers Comments on Chesapeake Energy Corp. - May 09, 2013

Specifically, Chesapeake Energy Corp. (CHK), a holding in some of our other portfolios, priced a joint venture at prices roughly 35% lower than recent transaction values for similar land. The deal implied low prices for deals across the space, hitting Contango's stock. Many believe the company's sale is imminent, and while it is reasonable to assume it could be, we do not believe management would sell its unencumbered assets on the cheap when they can afford to wait. As patient investors, that is what we would do, and we count their team as fellow travelers.

From John Rogers’ first quarter 2013 commentary.


Check out John Rogers latest stock trades

Longleaf Partners Comments on Chesapeake Energy - Nov 13, 2012

Chesapeake (CHK) gained 2% in the quarter and rose39% from its low point in May. The substantial governance changes we discussed in last quarter’s report not only lifted the stock, but also improved the prospects for more conservative capital allocation going forward. The company announced $6.9 billion in asset sales during the quarter and anticipates approximately $2 billion more this year. In spite of the company’s progress, the stock was down 14% YTD. Although the natural gas price moved up in the quarter, it remains below the marginal cost of production for most plays. Natural gas also impacted CONSOL,which was flat in the quarter but down 10% YTD.Continued switching to cheap gas has pressured coal prices, and CONSOL owns both natural resources. The supply/demand imbalance should self-correct as natural gas drilling has declined substantially in response to low price, and demand has increased at electricity plants. Longer term demand from industrial plants, LNG exports,and conversion of trucks to this clean and abundant energy source would support an increase in natural gas prices and a higher value for both Chesapeake and CONSOL.

From Longleaf Partners' Q3 2012 Report.

Check out Mason Hawkins latest stock trades

Mason Hawkins' Southeastern Asset Management on Chesapeake Energy - May 23, 2012

Summary: Chesapeake (CHK)’s natural gas assets are the best in the world, which does not mean much to the market right now, but it is still cheap. The big debate is about leadership. Southeastern does not care for the founder’s wealth program. As company grew, it made less sense and potential grew for conflict of interest. Now the company has announced the end of the program and that they will separate the roles of chairman and CEO. There are positives and negatives in partnering with McClendon, and the positives have outweighed the negatives. They believe the best source for energy right now is natural gas and it will be rewarding for long-term shareholders.

Listen to the complete audio here.


Check out Mason Hawkins latest stock trades

Top Ranked Articles about Chesapeake Energy Corp

Bruce Berkowitz Buys Chesapeake Energy, Berkshire Hathaway Inc, Sears, Sells CIT, MBIA, Wells Fargo Bruce Berkowitz - Bruce Berkowitz Buys Chesapeake Energy, Berkshire Hathaway Inc, Sears, Sells CIT, MBIA, Wells Fargo
Bruce Berkowitz had a good year in 2012. That was after a miserable 2011. It seems that the redemption of funds have stopped and he could buy some more stocks. He hasn’t done much buying over the past year due to redemption. But he did buy back some past holdings in his fund. He buys into Chesapeake Energy, Canadian Natural Resources, and Genworth Financial. All of them were the past holdings in his portfolio. He added to Berkshire Hathaway, Sears Holdings, Leucadia National Corporation, sells CIT Group, MBIA, Wells Fargo & Co during the 3-months ended 03/31/2013, according to the most recent filings of his investment company, Fairholme Capital Management. As of 03/31/2013, Fairholme Capital Management owns 21 stocks with a total value of $7.9 billion. These are the details of the buys and sells. Read more...
Mohnish Pabrai Increases Holdings in CHK and Makes Reductions in Two Others Mohnish Pabrai - Mohnish Pabrai Increases Holdings In CHK And Makes Reductions In Two Others
During the first quarter Guru Mohnish Pabrai added to one of his stocks and reduced his holdings in two other companies. The two companies that Pabrai made reductions in are from the financial sector. Pabrai holds a total 7 stocks that are currently valued at $340 million. [b] Read more...
John Rogers Comments on Chesapeake Energy Corp.
Specifically, Chesapeake Energy Corp. (CHK), a holding in some of our other portfolios, priced a joint venture at prices roughly 35% lower than recent transaction values for similar land. The deal implied low prices for deals across the space, hitting Contango's stock. Many believe the company's sale is imminent, and while it is reasonable to assume it could be, we do not believe management would sell its unencumbered assets on the cheap when they can afford to wait. As patient investors, that is what we would do, and we count their team as fellow travelers. Read more...
How Long Should We Continue To Consider Longleaf Partners Worthy Of Guru Status?
I was recently watching an interview with Monish Pabrai. In the interview Pabrai was asked where he looked for investment ideas. Read more...
Mohnish Pabrai Buys More Chesapeake Energy, Horsehead Holding
Mohnish Pabrai Buys More Chesapeake Energy, Horsehead Holding Read more...
Chesapeake CEO Aubrey McClendon Resigns – What Now? Carl Icahn - Chesapeake CEO Aubrey McClendon Resigns – What Now?
After experiencing a roller-coaster of a year in 2012, jam-packed with investigations, falling market value, public scrutiny and company shareholders demanding his ouster, Chesapeake CEO Aubrey McClendon has announced his decision to resign, sending Chesapeake (CHK)’s stock to surge about 11 percent yesterday after the news broke. Read more...
Former Berkshire Investor Lou Simpson Is Buying Chesapeake Energy – Chesapeake CEO Explains Why You Should Too
I’m long Chesapeake Energy (CHK). I think at current commodity prices it is a good investment. If natural gas ever rebounds to $6 I think it is a giant home run. Read more...
Chesapeake Revisited, as Icahn Slides to 8.98% Ownership Carl Icahn - Chesapeake Revisited, As Icahn Slides To 8.98% Ownership
As highly esteemed activist investor Carl Icahn reported increasing his Chesapeake (CHK) stake by almost 20 percent today, Chesapeake’s long talked-about issues pertaining to its corporate governance and its financial losses that caused the company’s tumultuous and highly scandalized year, reappeared in the spotlight. Read more...
Longleaf Partners Comments on Chesapeake Energy
Chesapeake (CHK) gained 2% in the quarter and rose39% from its low point in May. The substantial governance changes we discussed in last quarter’s report not only lifted the stock, but also improved the prospects for more conservative capital allocation going forward. The company announced $6.9 billion in asset sales during the quarter and anticipates approximately $2 billion more this year. In spite of the company’s progress, the stock was down 14% YTD. Although the natural gas price moved up in the quarter, it remains below the marginal cost of production for most plays. Natural gas also impacted CONSOL,which was flat in the quarter but down 10% YTD.Continued switching to cheap gas has pressured coal prices, and CONSOL owns both natural resources. The supply/demand imbalance should self-correct as natural gas drilling has declined substantially in response to low price, and demand has increased at electricity plants. Longer term demand from industrial plants, LNG exports,and conversion of trucks to this clean and abundant energy source would support an increase in natural gas prices and a higher value for both Chesapeake and CONSOL. Read more...
Mohnish Pabrai Adds to His Chesapeake and General Motors Holdings Mohnish Pabrai - Mohnish Pabrai Adds To His Chesapeake And General Motors Holdings
Mohnish Pabrai, who founded the Buffett Partnerships-inspired Pabrai Investment Funds in 1999, has announced his third quarter 2012 portfolio update. The sole additions were increases to his Chesapeake Energy Corp (CHK) and General Motors (GM) positions. Read more...

Ratios

vs
industry
vs
history
P/B 1.16
CHK's P/B is ranked lower than
64% of the 383 Companies
in the Global Oil & Gas E&P industry.

( Industry Median: 1.33 vs. CHK: 1.16 )
CHK' s 10-Year P/B Range
Min: 0.41   Max: 5.96
Current: 1.16

0.41
5.96
P/S 1.09
CHK's P/S is ranked lower than
60% of the 405 Companies
in the Global Oil & Gas E&P industry.

( Industry Median: 3.36 vs. CHK: 1.09 )
CHK' s 10-Year P/S Range
Min: 0.53   Max: 4.09
Current: 1.09

0.53
4.09
EV-to-EBIT -20.85
CHK's EV-to-EBIT is ranked lower than
99% of the 248 Companies
in the Global Oil & Gas E&P industry.

( Industry Median: 17.92 vs. CHK: -20.85 )
CHK' s 10-Year EV-to-EBIT Range
Min: 3.4   Max: 25.9
Current: -20.85

3.4
25.9
Shiller P/E 96.9
CHK's Shiller P/E is ranked lower than
100% of the Companies
in the Global Oil & Gas E&P industry.

( Industry Median: vs. CHK: 96.9 )
CHK' s 10-Year Shiller P/E Range
Min: 4.13   Max: 1025
Current: 96.9

4.13
1025

Dividend & Buy Back

vs
industry
vs
history
Dividend Yield 1.62
CHK's Dividend Yield is ranked higher than
82% of the 408 Companies
in the Global Oil & Gas E&P industry.

( Industry Median: 0.00 vs. CHK: 1.62 )
CHK' s 10-Year Dividend Yield Range
Min: 0.41   Max: 2.13
Current: 1.62

0.41
2.13
Dividend growth (3y) 3.9
CHK's Dividend growth (3y) is ranked higher than
93% of the 408 Companies
in the Global Oil & Gas E&P industry.

( Industry Median: 0.00 vs. CHK: 3.9 )
CHK' s 10-Year Dividend growth (3y) Range
Min: 0   Max: 34.3
Current: 3.9

0
34.3
Yield on cost (5-Year) 1.75
CHK's Yield on cost (5-Year) is ranked higher than
83% of the 408 Companies
in the Global Oil & Gas E&P industry.

( Industry Median: 0.00 vs. CHK: 1.75 )
CHK' s 10-Year Yield on cost (5-Year) Range
Min: 0.45   Max: 2.33
Current: 1.75

0.45
2.33
Share Buyback Rate -1.2
CHK's Share Buyback Rate is ranked higher than
54% of the 408 Companies
in the Global Oil & Gas E&P industry.

( Industry Median: -2.40 vs. CHK: -1.2 )
CHK' s 10-Year Share Buyback Rate Range
Min: -1.2   Max: -20.7
Current: -1.2

Valuation & Return

vs
industry
vs
history
Price/Net Current Asset Value 8.8
CHK's Price/Net Current Asset Value is ranked lower than
84% of the 293 Companies
in the Global Oil & Gas E&P industry.

( Industry Median: 22.00 vs. CHK: 8.8 )
CHK' s 10-Year Price/Net Current Asset Value Range
Min: 6.5   Max: 23.6
Current: 8.8

6.5
23.6
Price/Tangible Book 1.2
CHK's Price/Tangible Book is ranked lower than
66% of the 374 Companies
in the Global Oil & Gas E&P industry.

( Industry Median: 1.40 vs. CHK: 1.2 )
CHK' s 10-Year Price/Tangible Book Range
Min: 0.6   Max: 5.4
Current: 1.2

0.6
5.4
Price/Median PS Value 0.7
CHK's Price/Median PS Value is ranked lower than
69% of the 354 Companies
in the Global Oil & Gas E&P industry.

( Industry Median: 0.80 vs. CHK: 0.7 )
CHK' s 10-Year Price/Median PS Value Range
Min: 0.4   Max: 1.4
Current: 0.7

0.4
1.4
Earnings Yield (Greenblatt) 9.30
CHK's Earnings Yield (Greenblatt) is ranked higher than
79% of the 408 Companies
in the Global Oil & Gas E&P industry.

( Industry Median: 2.80 vs. CHK: 9.30 )
CHK' s 10-Year Earnings Yield (Greenblatt) Range
Min: 3.9   Max: 29.7
Current: 9.3

3.9
29.7
Forward Rate of Return (Yacktman) -40.61
CHK's Forward Rate of Return (Yacktman) is ranked lower than
82% of the 408 Companies
in the Global Oil & Gas E&P industry.

( Industry Median: -1.81 vs. CHK: -40.61 )
CHK' s 10-Year Forward Rate of Return (Yacktman) Range
Min: -64.7   Max: 39.5
Current: -40.61

-64.7
39.5

Business Description

Chesapeake Energy Corp. was incorporated on 1989. Chesapeake is a natural gas and oil exploration and production Company engaged in the exploration, development and acquisition of properties for the production of natural gas and crude oil from underground reservoirs and it provides marketing and midstream services. The Company manages its business as three separate operational segments: exploration and production; marketing, gathering and compression (midstream); and service operations, which is comprised of its wholly-owned drilling and trucking operations. Chesapeake focuses its natural gas exploration, development and acquisition efforts in the eight operating areas: Barnett Shale, Fayetteville Shale, Haynesville Shale, Marcellus Shale, Mid-Continent, Permian and Delaware Basins, South Texas/Gulf Coast/Ark-La-Tex and, Appalachian Basin. Chesapeake Energy Marketing, Inc., one of its wholly-owned subsidiaries, provides natural gas and oil marketing services, including commodity price structuring, contract administration and nomination services for Chesapeake, its partners and other producers. Its oil production is generally sold under market sensitive or spot price contracts. Its natural gas production is sold to purchasers under percentage-of-proceeds contracts, percentage-of-index contracts or spot price contracts. Chesapeake competes with both major integrated and other independent natural gas and oil companies in acquiring desirable leasehold acreage, producing properties and the equipment and expertise necessary to explore, develop and operate its properties and market its production. The Company's exploration and production operations are subject to various types of regulation at the U.S. federal, state and local levels. Such regulation includes requirements for permits to drill and to conduct other operations and for provision of financial assurances covering drilling and well operations.
Company Website
SEC Reports
Industry: Oil & Gas E&P
Compare:OJSCY, APC, APA, HRTPY, SGTZY
Traded in other countries:CHKDG.USA, CHKVZ.USA, CS1.Germany

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