Chesapeake Utilities (NYSE:CPK) - Share price, News & Analysis

CPK fundamental analysis
Snowflake Score
Valuation	0/6
Future Growth	1/6
Past Performance	4/6
Financial Health	1/6
Dividends	4/6

CPK Stock Overview

Chesapeake Utilities Corporation operates as an energy delivery company.

Rewards

Earnings are forecast to grow 6.46% per year

Earnings grew by 13% over the past year

Risk Analysis

Debt is not well covered by operating cash flow

Dividend of 1.66% is not well covered by earnings

Chesapeake Utilities Competitors

Atmos Energy

NYSE:ATO

US$15.5b

Southwest Gas Holdings

NYSE:SWX

US$6.1b

ONE Gas

NYSE:OGS

US$4.7b

New Jersey Resources

NYSE:NJR

US$4.4b

Price History & Performance

Summary of all time highs, changes and price drops for Chesapeake Utilities
Historical stock prices
Current Share Price	US$128.84
52 Week High	US$146.30
52 Week Low	US$113.49
Beta	0.58
1 Month Change	-6.60%
3 Month Change	-0.55%
1 Year Change	10.29%
3 Year Change	36.70%
5 Year Change	72.36%
Change since IPO	1,331.56%

Recent News & Updates

May 08

Chesapeake Utilities (NYSE:CPK) Will Pay A Larger Dividend Than Last Year At US$0.54

The board of Chesapeake Utilities Corporation ( NYSE:CPK ) has announced that the dividend on 5th of July will be...

Apr 16

Is Chesapeake Utilities (NYSE:CPK) Using Too Much Debt?

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Shareholder Returns

	CPK	US Gas Utilities	US Market
7D	1.4%	1.5%	0.1%
1Y	10.3%	6.7%	-12.7%

Return vs Industry: CPK exceeded the US Gas Utilities industry which returned 7.3% over the past year.

Return vs Market: CPK exceeded the US Market which returned -11.5% over the past year.

Price Volatility

Is CPK's price volatile compared to industry and market?
CPK volatility
CPK Average Weekly Movement	4.0%
Gas Utilities Industry Average Movement	3.8%
Market Average Movement	8.0%
10% most volatile stocks in US Market	17.0%
10% least volatile stocks in US Market	3.0%

Stable Share Price: CPK is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: CPK's weekly volatility (4%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1859	1,007	Jeff Householder	https://www.chpk.com

Chesapeake Utilities Corporation operates as an energy delivery company. The company operates through two segments, Regulated Energy and Unregulated Energy. The Regulated Energy segment engages in the natural gas distribution operations in central and southern Delaware, Maryland’s eastern shore, and Florida; regulated natural gas transmission in the Delmarva Peninsula and Florida; and regulated electric distribution in northeast and northwest Florida.

Chesapeake Utilities Fundamentals Summary

How do Chesapeake Utilities's earnings and revenue compare to its market cap?
CPK fundamental statistics
Market Cap	US$2.28b
Earnings (TTM)	US$85.93m
Revenue (TTM)	US$601.66m

26.6x

P/E Ratio

3.8x

P/S Ratio

Is CPK overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
CPK income statement (TTM)
Revenue	US$601.66m
Cost of Revenue	US$376.31m
Gross Profit	US$225.35m
Other Expenses	US$139.42m
Earnings	US$85.93m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	4.85
Gross Margin	37.46%
Net Profit Margin	14.28%
Debt/Equity Ratio	94.2%

How did CPK perform over the long term?

See historical performance and comparison

Dividends

1.7%

Current Dividend Yield

39%

Payout Ratio

Does CPK pay a reliable dividends?

See CPK dividend history and benchmarks

When do you need to buy CPK by to receive an upcoming dividend?
Chesapeake Utilities dividend dates
Ex Dividend Date	Jun 14 2022
Dividend Pay Date	Jul 05 2022
Days until Ex dividend	24 days
Days until Dividend pay date	45 days

Does CPK pay a reliable dividends?

See CPK dividend history and benchmarks

Valuation

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

Valuation Score

0/6

Valuation Score 0/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

26.58x

Price to Earnings (PE) ratio

Share Price vs. Fair Value

Below Fair Value: CPK ($128.84) is trading above our estimate of fair value ($70.01)

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 (26.6x) compared to the US Gas Utilities industry average (22.5x).

PE vs Market: CPK is poor value based on its PE Ratio (26.6x) compared to the US market (15.5x).

Price to Earnings Growth Ratio

PEG Ratio: CPK is poor value based on its PEG Ratio (4.1x)

Price to Book Ratio

PB vs Industry: CPK is overvalued based on its PB Ratio (2.8x) compared to the US Gas Utilities industry average (1.8x).

Future Growth

How is Chesapeake Utilities forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

6.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: CPK's forecast earnings growth (6.5% per year) is above the savings rate (1.9%).

Earnings vs Market: CPK's earnings (6.5% per year) are forecast to grow slower than the US market (12.4% per year).

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

Revenue vs Market: CPK's revenue (6% per year) is forecast to grow slower than the US market (7.8% per year).

High Growth Revenue: CPK's revenue (6% 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 (11.9%).

Past Performance

How has Chesapeake Utilities performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

10.9%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: CPK has high quality earnings.

Growing Profit Margin: CPK's current net profit margins (14.3%) are lower than last year (14.4%).

Past Earnings Growth Analysis

Earnings Trend: CPK's earnings have grown by 10.9% per year over the past 5 years.

Accelerating Growth: CPK's earnings growth over the past year (13%) exceeds its 5-year average (10.9% per year).

Earnings vs Industry: CPK earnings growth over the past year (13%) exceeded the Gas Utilities industry 4%.

Return on Equity

High ROE: CPK's Return on Equity (10.7%) is considered low.

Financial Health

How is Chesapeake Utilities's financial position?

Financial Health Score

1/6

Financial Health Score 1/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: CPK's short term assets ($153.0M) do not cover its short term liabilities ($279.7M).

Long Term Liabilities: CPK's short term assets ($153.0M) do not cover its long term liabilities ($1.0B).

Debt to Equity History and Analysis

Debt Level: CPK's net debt to equity ratio (93.5%) is considered high.

Reducing Debt: CPK's debt to equity ratio has increased from 74.9% to 94.2% over the past 5 years.

Debt Coverage: CPK's debt is not well covered by operating cash flow (18.4%).

Interest Coverage: CPK's interest payments on its debt are well covered by EBIT (6.6x coverage).

Balance Sheet

Dividend

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

Dividend Score

5/6

Dividend Score 5/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

1.66%

Current Dividend Yield

Upcoming Dividend Payment

Dividend Yield vs Market

Notable Dividend: CPK's dividend (1.66%) is higher than the bottom 25% of dividend payers in the US market (1.57%).

High Dividend: CPK's dividend (1.66%) is low compared to the top 25% of dividend payers in the US market (4.07%).

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.

Earnings Payout to Shareholders

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

Cash Payout to Shareholders

Cash Flow Coverage: CPK is paying a dividend but the company has no free cash flows.

Discover strong dividend paying companies

Management

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

3.1yrs

Average management tenure

CEO

Jeff Householder (63 yo)

3.33yrs

Tenure

US$2,826,471

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 ($USD2.83M) is below average for companies of similar size in the US market ($USD5.41M).

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 (3.1 years average tenure).

Board Members

Experienced Board: CPK's board of directors are seasoned and experienced ( 12.6 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.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/05/19 00:00
End of Day Share Price	2022/05/19 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31