Energy stocks plunged on Tuesday, with Chesapeake Energy Corporation (NYSE:CHK) tracked the way lower following an analyst downgrade.
Chesapeake (CHK)’s shares plunged more than 3.4%, were the biggest decliner amid energy stocks in the S&P 500 Index, and were as well one of the 10 most horrible performers in the index overall.
Analysts at Sterne Agee cuts rating Chesapeake to underperform, quoting the firm is not positioned to benefit from increasing natural-gas futures prices.
Chesapeake as well is extremely dependent on the success of its asset sales program, other than won’t be in a place to use much leverage with possible buyers since it has to plug a $3B hole in its balance sheet.
Shares of Chesapeake Energy Corporation (NYSE:CHK) traded at $21.04 by plunging -5.10% with price volatility of 4.05% for a week and 3.48% for a month plus price volatility’s Average True Range for 14 days was 0.71 and its beta stands at 1.37 times.
Stocks after opening at $21.04 hit high price of $21.04 and on last session stock held volume of 20.60 million shares which was unexpectedly higher than its average volume of 13.99 million shares.
Short-term as well long term investors always focus on the liquidity of the stocks so for that concern, liquidity measure in recent quarter results of the company was recorded 0.47 as current ratio and on the opponent side the debt to equity ratio was 0.82 and long-term debt to equity ratio also remained 0.79. The Company had total cash at hand $291.00 million and a book value per share as $19.38 in the most recent quarter.
While investors who viewing CHK against other stocks with the reference of profit margin that are Southwestern Energy Company (NYSE:SWN) having profit margin -26.04%, Talisman Energy Inc. (USA) (NYSE:TLM) with 1.81% profit margin, Ultra Petroleum Corp. (NYSE:UPL) having -268.76% profit margin and Canadian Natural Resource Ltd (USA) (NYSE:CNQ) having profit margin of 12.97%.
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