Head-To-Head Analysis: Chesapeake Energy (EXE) vs. Its Peers

Chesapeake Energy (NASDAQ:EXE) is one of 286 public companies in the “Crude petroleum & natural gas” industry, but how does it weigh in compared to its rivals? We will compare Chesapeake Energy to related businesses based on the strength of its risk, institutional ownership, dividends, profitability, earnings, analyst recommendations and valuation.

Profitability

This table compares Chesapeake Energy and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Chesapeake Energy	6.07%	2.74%	2.08%
Chesapeake Energy Competitors	-3.30%	7.35%	6.64%

Valuation & Earnings

This table compares Chesapeake Energy and its rivals revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Chesapeake Energy	$8.72 billion	$2.42 billion	57.09
Chesapeake Energy Competitors	$715.54 billion	$1.07 billion	-615.67

Chesapeake Energy’s rivals have higher revenue, but lower earnings than Chesapeake Energy. Chesapeake Energy is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Insider & Institutional Ownership

97.9% of Chesapeake Energy shares are owned by institutional investors. Comparatively, 53.6% of shares of all “Crude petroleum & natural gas” companies are owned by institutional investors. 0.2% of Chesapeake Energy shares are owned by company insiders. Comparatively, 9.1% of shares of all “Crude petroleum & natural gas” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Risk and Volatility

Chesapeake Energy has a beta of 0.46, indicating that its share price is 54% less volatile than the S&P 500. Comparatively, Chesapeake Energy’s rivals have a beta of -14.37, indicating that their average share price is 1,537% less volatile than the S&P 500.

Dividends

Chesapeake Energy pays an annual dividend of $2.30 per share and has a dividend yield of 2.5%. Chesapeake Energy pays out 142.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. As a group, “Crude petroleum & natural gas” companies pay a dividend yield of 10.5% and pay out 117.8% of their earnings in the form of a dividend. Chesapeake Energy lags its rivals as a dividend stock, given its lower dividend yield and higher payout ratio.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for Chesapeake Energy and its rivals, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Chesapeake Energy	0	2	3	1	2.83
Chesapeake Energy Competitors	2155	11615	16203	624	2.50

Chesapeake Energy presently has a consensus target price of $99.20, indicating a potential upside of 7.25%. As a group, “Crude petroleum & natural gas” companies have a potential upside of 22.25%. Given Chesapeake Energy’s rivals higher probable upside, analysts plainly believe Chesapeake Energy has less favorable growth aspects than its rivals.

Summary

Chesapeake Energy rivals beat Chesapeake Energy on 8 of the 15 factors compared.

Chesapeake Energy Company Profile

Expand Energy Corporation is an independent natural gas producer principally in the United States. Expand Energy Corporation, formerly known as Chesapeake Energy Corporation, is based in OKLAHOMA CITY.