CHK (Update)

Chesapeake Energy Corp

Energy


Presented:04/13/2015
Price:$14.77
Cap:$9.80B
Current Price:$85.79
Cap:$19.47B

Presented

Date04/13/2015
Price$14.77
Market Cap$9.80B
Ent Value$21.64B
P/E Ratio7.9x
Book Value$20.87
Div Yield2.37%
Shares O/S663.42M
Ave Daily Vol19,890,000
Short Int20.43%

Current

Price$85.79
Market Cap$19.47B
Chesapeake Energy Corporation engages in the acquisition, exploration, and development of properties for the production of oil, natural gas and natural gas liquids (NGL) from underground reservoirs in the United States. It holds interests in natural gas resource plays, including the Haynesville/Bossier Shales in northwestern Louisiana and East Texas; the Marcellus Shale in the northern Appalachian Basin of West Virginia and Pennsylvania; and the Barnett Shale in the Fort Worth Basin of north-central Texas. The company also holds interests in liquids-rich resource plays, such as the Eagle Ford Shale in South Texas; the Utica Shale in Ohio and Pennsylvania; the Granite Wash/Hogshooter, Cleveland, Tonkawa, and Mississippi Lime plays in the Anadarko Basin in northwestern Oklahoma and the Texas Panhandle; and the Niobrara Shale and Upper Cretaceous sands in the Powder River Basin in Wyoming. It owns interests in approximately 45,100 oil and natural gas wells. As of December 31, 2014, the company had estimated proved reserves of 2.469 billion barrels of oil equivalent. It also provides oil, natural gas, and NGL marketing services, including commodity price structuring, securing and negotiating gathering, hauling, processing and transportation, contract administration, and nomination services for Chesapeake-operated wells; and marketing services for third-party producers. The company was founded in 1989 and is headquartered in Oklahoma City, Oklahoma.

Please note, this is an update to: Short - Chesapeake Energy Corporation (CHK) (presented on 12/16/14; $17.45).
Publicly traded companies mentioned herein: Chesapeake Energy Corporation (CHK), Southwestern Energy Co (WSN)

Highlights

Shares of Chesapeake Energy (CHK) are down ~15% from where the presenter last discussed his bearish view of the company’s shares, and he remains short the stock. He reiterated the challenges facing gas producers in the Marcellus if the price of natural gas remains depressed (his expectation), and noted that the deal with Southwestern did not resolve the balance sheet issues as many had hoped it would.

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Idea Discussion

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