NYSE:CPK

Stock Analysis Report

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Market Cap

US$2.2b

Last Updated

2021/07/30 01:39 UTC

Data Sources

Company Financials +

Executive Summary

Chesapeake Utilities Corporation operates as an energy delivery company. More Details


Snowflake Analysis

Established dividend payer with proven track record.


Similar Companies

Share Price & News

How has Chesapeake Utilities's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CPK is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: CPK's weekly volatility (3%) has been stable over the past year.


Market Performance


7 Day Return

5.2%

CPK

2.7%

US Gas Utilities

0.8%

US Market


1 Year Return

47.4%

CPK

11.6%

US Gas Utilities

37.5%

US Market

Return vs Industry: CPK exceeded the US Gas Utilities industry which returned 10.6% over the past year.

Return vs Market: CPK exceeded the US Market which returned 36.5% over the past year.


Shareholder returns

CPKIndustryMarket
7 Day5.2%2.7%0.8%
30 Day2.3%1.6%1.0%
90 Day5.6%-0.1%3.8%
1 Year50.1%47.4%15.4%11.6%39.7%37.5%
3 Year58.1%50.0%5.2%-4.3%64.4%54.1%
5 Year116.2%97.8%22.4%4.9%124.9%100.0%

Long-Term Price Volatility Vs. Market

How volatile is Chesapeake Utilities's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Chesapeake Utilities undervalued compared to its fair value and its price relative to the market?

27.93x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CPK ($125.12) is trading above our estimate of fair value ($55.77)

Significantly Below Fair Value: CPK is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: CPK is poor value based on its PE Ratio (27.9x) compared to the US Gas Utilities industry average (19x).

PE vs Market: CPK is poor value based on its PE Ratio (27.9x) compared to the US market (18.3x).


Price to Earnings Growth Ratio

PEG Ratio: CPK is poor value based on its PEG Ratio (2.8x)


Price to Book Ratio

PB vs Industry: CPK is overvalued based on its PB Ratio (3x) compared to the US Gas Utilities industry average (1.9x).


Future Growth

How is Chesapeake Utilities forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

9.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CPK's forecast earnings growth (9.9% per year) is above the savings rate (2%).

Earnings vs Market: CPK's earnings (9.9% per year) are forecast to grow slower than the US market (15% per year).

High Growth Earnings: CPK's earnings are forecast to grow, but not significantly.

Revenue vs Market: CPK's revenue (9.8% per year) is forecast to grow faster than the US market (9.2% per year).

High Growth Revenue: CPK's revenue (9.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CPK's Return on Equity is forecast to be low in 3 years time (11.6%).


Past Performance

How has Chesapeake Utilities performed over the past 5 years?

11.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CPK has high quality earnings.

Growing Profit Margin: CPK's current net profit margins (14.4%) are higher than last year (13%).


Past Earnings Growth Analysis

Earnings Trend: CPK's earnings have grown by 11% per year over the past 5 years.

Accelerating Growth: CPK's earnings growth over the past year (24%) exceeds its 5-year average (11% per year).

Earnings vs Industry: CPK earnings growth over the past year (24%) underperformed the Gas Utilities industry 24.6%.


Return on Equity

High ROE: CPK's Return on Equity (10.5%) is considered low.


Financial Health

How is Chesapeake Utilities's financial position?


Financial Position Analysis

Short Term Liabilities: CPK's short term assets ($128.6M) do not cover its short term liabilities ($316.0M).

Long Term Liabilities: CPK's short term assets ($128.6M) do not cover its long term liabilities ($911.6M).


Debt to Equity History and Analysis

Debt Level: CPK's debt to equity ratio (93.4%) is considered high.

Reducing Debt: CPK's debt to equity ratio has increased from 87.1% to 93.4% over the past 5 years.

Debt Coverage: CPK's debt is well covered by operating cash flow (26.6%).

Interest Coverage: CPK's interest payments on its debt are well covered by EBIT (5.8x coverage).


Balance Sheet


Dividend

What is Chesapeake Utilities's current dividend yield, its reliability and sustainability?

1.53%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CPK's dividend (1.53%) is higher than the bottom 25% of dividend payers in the US market (1.31%).

High Dividend: CPK's dividend (1.53%) is low compared to the top 25% of dividend payers in the US market (3.52%).


Stability and Growth of Payments

Stable Dividend: CPK's dividends per share have been stable in the past 10 years.

Growing Dividend: CPK's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (39.3%), CPK's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CPK's dividends in 3 years are forecast to be well covered by earnings (40.5% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.3yrs

Average management tenure


CEO

Jeff Householder (63 yo)

2.5yrs

Tenure

US$2,462,556

Compensation

Mr. Jeffry M. Householder, also known as Jeff, has been President, Chief Executive Officer and Director of Chesapeake Utilities Corporation since January 1, 2019. Mr. Householder served as President of Flo...


CEO Compensation Analysis

Compensation vs Market: Jeff's total compensation ($USD2.46M) is below average for companies of similar size in the US market ($USD3.69M).

Compensation vs Earnings: Jeff's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: CPK's management team is considered experienced (2.3 years average tenure).


Board Members

Experienced Board: CPK's board of directors are seasoned and experienced ( 11.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 6.7%.


Top Shareholders

Company Information

Chesapeake Utilities Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Chesapeake Utilities Corporation
  • Ticker: CPK
  • Exchange: NYSE
  • Founded: 1859
  • Industry: Gas Utilities
  • Sector: Utilities
  • Market Cap: US$2.194b
  • Shares outstanding: 17.53m
  • Website: https://www.chpk.com

Number of Employees


Location

  • Chesapeake Utilities Corporation
  • 909 Silver Lake Boulevard
  • Dover
  • Delaware
  • 19904
  • United States

Listings


Biography

Chesapeake Utilities Corporation operates as an energy delivery company. The Regulated Energy segment engages in the natural gas distribution operations in central and southern Delaware, Maryland’s eastern...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/07/30 01:39
End of Day Share Price2021/07/29 00:00
Earnings2021/03/31
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.