Chesapeake Energy Corp (NYSE:CHK) ranks in the upper half of its industry group, Oil & Gas Production, and in the top half of its sector group, Energy Minerals, with a market value of $3.6 billion. From an investment attractiveness viewpoint, CHK is ranked squarely in the bottom quartile of the sector with a ranking of 158 among the 186 companies in the sector; the stock's current Portfolio Grader ranking places it 111 among the 133 companies in this industry group, a position that is well below-average and number 4,030 in the 5000 company Portfolio Grader company universe.
CHK has a current recommendation of Sell using Louis Navellier's investing system and his Portfolio Grader stock evaluator. CHK has maintained this ranking for 4 months.
Currently, Portfolio Grader ranks the Energy Minerals sector number 18 among the 20 sectors in its universe putting it in the bottom quartile of all the GICS sectors. The Oil & Gas Production industry group is ranked 104 among the 129 industry groups within the GICS sectors, placing it well below-average in terms of the Navellier scoring system.
CHK scores are below-average in 5 of the 8 areas analyzed by Portfolio Grader in the ranking of company stocks.
The company's operational scores are a source of great concern with a ranking for sales growth, operating margin and earnings growth that are considerably below average. Scores for visibility of earnings are mixed, with a ranking for earnings revisions and earnings surprises that are better than average, while the score for earnings momentum is much worse than average. CHK's metric for return on equity is materially better than its industry group average but its ranking for cash flow is well below-average. Chesapeake Energy's fundamental scores give CHK a place in the bottom quartile of the industry group.
Portfolio Grader quantitatively measures CHK's shares using the Navellier Proprietary Quantitative Score. This metric looks at CHK's shares from the angle of risk/reward. This unique scoring system evaluates the relative value of the company's shares based on the current price of the shares relative to its peers, the market and risk associated with its industry and sector groups. Based on this risk/reward calculation, CHK currently scores well below-average in its industry group compared to its peers.
Louis Navellier's proprietary Portfolio Grader stock ranking system assesses roughly 5,000 companies every week based on a number of fundamental and quantitative measures. Stocks are given a letter grade based on their results, with A being 'strong buy' and F being 'strong sell'. Explore the tool here.
Commentary provided by UpTick Data Technologies.