Chesapeake Energy Corp. Downgraded to “Neutral” at Bank of America Corp. (CHK)
Chesapeake Energy Corp. (NYSE:CHK) was downgraded by equities research analysts at Bank of America Corp. from a “buy” rating to a “neutral” rating in a research note issued to investors on Tuesday, Analyst RN reports. They currently have a $31.00 price objective on the stock, down from their previous price objective of $36.00. Bank of America Corp.’s price objective would indicate a potential upside of 17.83% from the company’s current price.
The analysts wrote, “After keeping our Buy on Chesapeake through the turmoil of the last year, we are lowering our rating on the shares to Neutral and trimming our PO to $31 from $36. At the root of this change is that the recovery thesis which initially attracted us to CHK’s distressed valuation has largely played out. While we expect CHK to accelerate efforts to improve efficiency across the board, including steps to increase free cash flow, much of this has arguably been recognized in a share price that appreciated 63% in the past year.”
Chesapeake Energy Corp. (NYSE:CHK) last issued its quarterly earnings data on Wednesday, November 6th. The company reported $0.43 EPS for the quarter, meeting the Thomson Reuters consensus estimate of $0.43. The company had revenue of $4.87 billion for the quarter, compared to the consensus estimate of $3.49 billion. During the same quarter in the previous year, the company posted $0.10 earnings per share. The company’s revenue for the quarter was up 63.9% on a year-over-year basis.
The company also recently announced a quarterly dividend, which is scheduled for Friday, January 31st. Shareholders of record on Wednesday, January 15th will be paid a dividend of 0.0875 per share. This represents a $0.35 annualized dividend and a dividend yield of 1.33%. The ex-dividend date is Monday, January 13th.
Other equities research analysts have also recently issued reports about the stock. Analysts at Zacks reiterated a “neutral” rating on shares of Chesapeake Energy Corp. in a research note to investors on Monday, December 30th. They now have a $29.00 price target on the stock. Separately, analysts at SunTrust raised their price target on shares of Chesapeake Energy Corp. from $19.00 to $28.00 in a research note to investors on Tuesday, November 12th. They now have a “neutral” rating on the stock. Finally, analysts at TheStreet upgraded shares of Chesapeake Energy Corp. from a “hold” rating to a “buy” rating in a research note to investors on Tuesday, November 12th. One research analyst has rated the stock with a sell rating, nineteen have assigned a hold rating and seven have assigned a buy rating to the company’s stock. Chesapeake Energy Corp. has an average rating of “Hold” and an average target price of $25.59.
Chesapeake Energy Corporation (NYSE:CHK) is a natural gas and oil exploration and production company.
Get Analysts' Upgrades and Downgrades via Email - Stay on top of analysts' coverage with Analyst Ratings Network's FREE daily email newsletter that provides a concise list of analysts' upgrades and downgrades. Click here to register now.