S&P 500 (NYSE:SPY) component Chesapeake Energy Corp (NYSE:CHK) will unveil its latest earnings on Thursday, July 28, 2011. Chesapeake Energy Corp. is a company that explores and develops properties for the production of crude oil and natural gas (NYSE:UNG) from underground reservoirs.
Chesapeake Energy Corp Earnings Preview Cheat Sheet
Wall St. Earnings Expectations: The average estimate of analysts is for net income of 72 cents per share, a decline of 4% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved up from 70 cents. For the year, analysts are projecting profit of $2.92 per share, a decline of 1% from last year.
Past Earnings Performance: The company has beaten estimates the last four quarters and is coming off a quarter where it topped forecasts by 5 cents, reporting net income of 75 cents per share against a mean estimate of profit of 70 cents per share.
Wall St. Revenue Expectations: On average, analysts predict $2.76 billion in revenue this quarter, a rise of 37.3% from the year ago quarter. Analysts are forecasting total revenue of $10.65 billion for the year, a rise of 13.7% from last year’s revenue of $9.37 billion.
Analyst Ratings: Analysts are bullish on this stock with 16 analysts rating it as a buy, one rating it as a sell and 11 rating it as a hold. Over the past 90 days, the average rating for the stock has moved up from hold to moderate buy.
Chesapeake Energy’s loss in the latest quarter follows profits in the previous three quarters. The company reported a loss of of $162 million in the first quarter, a profit of $224 million in the fourth quarter of the last fiscal year, a profit of $558 million in the third of the last fiscal year and a profit of $255 million in the second quarter of the last fiscal year.
Revenue has fallen in the past two quarters. In first quarter, revenue declined 42.4% to $1.61 billion from the year earlier quarter. In the fourth quarter of the last fiscal year, the figure fell 11.1%.
Competitors to Watch: Gastar Exploration Ltd. (AMEX:GST), Anadarko Petroleum Corp. (NYSE:APC), Devon Energy Corporation (NYSE:DVN), Bronco Drilling Co., Inc. (NASDAQ:BRNC), EOG Resources, Inc. (NYSE:EOG), Exxon Mobil Corporation (NYSE:XOM), Chevron Corporation (NYSE:CVX), Apache Corporation (NYSE:APA).
Stock Price Performance: During June 23, 2011 to July 22, 2011, the stock price had risen $5.51 (19.1%) from $28.88 to $34.39. The stock price saw one of its best stretches over the last year between January 4, 2011 and January 12, 2011 when shares rose for seven-straight days, rising 6.4% (+$1.66) over that span. It saw one of its worst periods between May 10, 2011 and May 17, 2011 when shares fell for six-straight days, falling 8% (-$2.52) over that span. Shares are up $8.62 (+33.4%) year to date.
(Source: Xignite Financials)