CHESAPEAKE UTILITIES CORP (CPK) Stock Fundamental Analysis
USA - NYSE:CPK - US1653031088 - Common Stock
135 USD
+1.5 (+1.12%)
135.5 USD
+0.5 (+0.37%)
Taking everything into account, CPK scores 4 out of 10 in our fundamental rating. CPK was compared to 14 industry peers in the Gas Utilities industry. CPK has a medium profitability rating, but doesn't score so well on its financial health evaluation. CPK is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
CPK had positive earnings in the past year.
In the past year CPK had a positive cash flow from operations.
In the past 5 years CPK has always been profitable.
In the past 5 years CPK always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 3.45%, CPK perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
CPK has a Return On Equity (8.60%) which is in line with its industry peers.
CPK has a Return On Invested Capital (5.23%) which is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for CPK is below the industry average of 8.93%.
The last Return On Invested Capital (5.23%) for CPK is above the 3 year average (4.74%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.45% | ||
| ROE | 8.6% | ||
| ROIC | 5.23% |
ROA(3y)3.34%
ROA(5y)3.53%
ROE(3y)8.77%
ROE(5y)9.47%
ROIC(3y)4.74%
ROIC(5y)4.78%
1.3 Margins
The Profit Margin of CPK (14.88%) is better than 78.57% of its industry peers.
CPK's Profit Margin has improved in the last couple of years.
The Operating Margin of CPK (28.55%) is better than 78.57% of its industry peers.
In the last couple of years the Operating Margin of CPK has grown nicely.
Looking at the Gross Margin, with a value of 69.40%, CPK is in the better half of the industry, outperforming 64.29% of the companies in the same industry.
CPK's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.55% | ||
| PM (TTM) | 14.88% | ||
| GM | 69.4% |
OM growth 3Y8.64%
OM growth 5Y5.9%
PM growth 3Y0.95%
PM growth 5Y2.08%
GM growth 3Y2.36%
GM growth 5Y1.24%
2. Health
2.1 Basic Checks
CPK has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for CPK has been increased compared to 1 year ago.
The number of shares outstanding for CPK has been increased compared to 5 years ago.
Compared to 1 year ago, CPK has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.44, we must say that CPK is in the distress zone and has some risk of bankruptcy.
CPK has a better Altman-Z score (1.44) than 85.71% of its industry peers.
A Debt/Equity ratio of 1.00 indicates that CPK is somewhat dependend on debt financing.
CPK has a Debt to Equity ratio (1.00) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.44 |
ROIC/WACC0.72
WACC7.22%
2.3 Liquidity
CPK has a Current Ratio of 0.42. This is a bad value and indicates that CPK is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of CPK (0.42) is worse than 78.57% of its industry peers.
A Quick Ratio of 0.36 indicates that CPK may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.36, CPK is doing worse than 64.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.42 | ||
| Quick Ratio | 0.36 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 14.60% over the past year.
CPK shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 6.26% yearly.
The Revenue has grown by 17.39% in the past year. This is quite good.
The Revenue has been growing by 10.42% on average over the past years. This is quite good.
EPS 1Y (TTM)14.6%
EPS 3Y3.67%
EPS 5Y6.26%
EPS Q2Q%5.13%
Revenue 1Y (TTM)17.39%
Revenue growth 3Y11.36%
Revenue growth 5Y10.42%
Sales Q2Q%12.15%
3.2 Future
Based on estimates for the next years, CPK will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.24% on average per year.
The Revenue is expected to grow by 5.25% on average over the next years.
EPS Next Y19.44%
EPS Next 2Y13.43%
EPS Next 3Y11.72%
EPS Next 5Y10.24%
Revenue Next Year8.97%
Revenue Next 2Y7.37%
Revenue Next 3Y5.77%
Revenue Next 5Y5.25%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 23.89, CPK is valued on the expensive side.
78.57% of the companies in the same industry are cheaper than CPK, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 26.35. CPK is around the same levels.
With a Price/Forward Earnings ratio of 19.91, CPK is valued on the expensive side.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CPK indicates a slightly more expensive valuation: CPK is more expensive than 64.29% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of CPK to the average of the S&P500 Index (33.72), we can say CPK is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.89 | ||
| Fwd PE | 19.91 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CPK indicates a rather expensive valuation: CPK more expensive than 85.71% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 13.79 |
4.3 Compensation for Growth
CPK's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
CPK has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.23
PEG (5Y)3.82
EPS Next 2Y13.43%
EPS Next 3Y11.72%
5. Dividend
5.1 Amount
CPK has a Yearly Dividend Yield of 2.05%.
Compared to an average industry Dividend Yield of 3.84, CPK's dividend is way lower than its industry peers. On top of this 92.86% of the companies listed in the same industry pay a better dividend than CPK!
Compared to an average S&P500 Dividend Yield of 2.36, CPK has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.05% |
5.2 History
On average, the dividend of CPK grows each year by 9.78%, which is quite nice.
CPK has paid a dividend for at least 10 years, which is a reliable track record.
CPK has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)9.78%
Div Incr Years21
Div Non Decr Years34
5.3 Sustainability
CPK pays out 44.49% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of CPK is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP44.49%
EPS Next 2Y13.43%
EPS Next 3Y11.72%
135
+1.5 (+1.12%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryGas Utilities
Earnings (Last)
Earnings (Next)
Inst Owners89.08%
Inst Owner Change-0.61%
Ins Owners1.35%
Ins Owner Change-0.55%
Market Cap3.18B
Revenue(TTM)787.20M
Net Income(TTM)128.96M
Analysts82
Price Target143.21 (6.08%)
Short Float %3.08%
Short Ratio5.36
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.05% |
Yearly Dividend2.4
Dividend Growth(5Y)9.78%
DP44.49%
Div Incr Years21
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-3.2%
Min EPS beat(2)-5.73%
Max EPS beat(2)-0.67%
EPS beat(4)1
Avg EPS beat(4)1.61%
Min EPS beat(4)-5.73%
Max EPS beat(4)15.07%
EPS beat(8)2
Avg EPS beat(8)-3.96%
EPS beat(12)3
Avg EPS beat(12)-5.78%
EPS beat(16)6
Avg EPS beat(16)-2.09%
Revenue beat(2)2
Avg Revenue beat(2)10.92%
Min Revenue beat(2)4.63%
Max Revenue beat(2)17.22%
Revenue beat(4)2
Avg Revenue beat(4)0.9%
Min Revenue beat(4)-10.5%
Max Revenue beat(4)17.22%
Revenue beat(8)2
Avg Revenue beat(8)-6.14%
Revenue beat(12)3
Avg Revenue beat(12)-6.37%
Revenue beat(16)5
Avg Revenue beat(16)-4.75%
PT rev (1m)3.08%
PT rev (3m)3.24%
EPS NQ rev (1m)-9.03%
EPS NQ rev (3m)-8.26%
EPS NY rev (1m)-0.71%
EPS NY rev (3m)-0.67%
Revenue NQ rev (1m)-20.96%
Revenue NQ rev (3m)-21.33%
Revenue NY rev (1m)-0.9%
Revenue NY rev (3m)-1.41%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.89 | ||
| Fwd PE | 19.91 | ||
| P/S | 3.67 | ||
| P/FCF | N/A | ||
| P/OCF | 15.05 | ||
| P/B | 2.12 | ||
| P/tB | 3.25 | ||
| EV/EBITDA | 13.79 |
EPS(TTM)5.65
EY4.19%
EPS(NY)6.78
Fwd EY5.02%
FCF(TTM)-8.5
FCFYN/A
OCF(TTM)8.97
OCFY6.65%
SpS36.82
BVpS63.68
TBVpS41.52
PEG (NY)1.23
PEG (5Y)3.82
Graham Number89.98
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.45% | ||
| ROE | 8.6% | ||
| ROCE | 7.55% | ||
| ROIC | 5.23% | ||
| ROICexc | 5.23% | ||
| ROICexgc | 6.14% | ||
| OM | 28.55% | ||
| PM (TTM) | 14.88% | ||
| GM | 69.4% | ||
| FCFM | N/A |
ROA(3y)3.34%
ROA(5y)3.53%
ROE(3y)8.77%
ROE(5y)9.47%
ROIC(3y)4.74%
ROIC(5y)4.78%
ROICexc(3y)4.75%
ROICexc(5y)4.8%
ROICexgc(3y)5.39%
ROICexgc(5y)5.24%
ROCE(3y)6.87%
ROCE(5y)7.04%
ROICexgc growth 3Y5.97%
ROICexgc growth 5Y3.85%
ROICexc growth 3Y1.15%
ROICexc growth 5Y0.9%
OM growth 3Y8.64%
OM growth 5Y5.9%
PM growth 3Y0.95%
PM growth 5Y2.08%
GM growth 3Y2.36%
GM growth 5Y1.24%
F-Score7
Asset Turnover0.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 4.63 | ||
| Cap/Depr | 546.04% | ||
| Cap/Sales | 47.45% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 65.45% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.42 | ||
| Quick Ratio | 0.36 | ||
| Altman-Z | 1.44 |
F-Score7
WACC7.22%
ROIC/WACC0.72
Cap/Depr(3y)338.25%
Cap/Depr(5y)319.58%
Cap/Sales(3y)30.7%
Cap/Sales(5y)31.76%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)14.6%
EPS 3Y3.67%
EPS 5Y6.26%
EPS Q2Q%5.13%
EPS Next Y19.44%
EPS Next 2Y13.43%
EPS Next 3Y11.72%
EPS Next 5Y10.24%
Revenue 1Y (TTM)17.39%
Revenue growth 3Y11.36%
Revenue growth 5Y10.42%
Sales Q2Q%12.15%
Revenue Next Year8.97%
Revenue Next 2Y7.37%
Revenue Next 3Y5.77%
Revenue Next 5Y5.25%
EBIT growth 1Y23.36%
EBIT growth 3Y20.99%
EBIT growth 5Y16.94%
EBIT Next Year39.17%
EBIT Next 3Y20.35%
EBIT Next 5Y14.35%
FCF growth 1Y-753.31%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y14.75%
OCF growth 3Y16.73%
OCF growth 5Y18.37%
CHESAPEAKE UTILITIES CORP / CPK FAQ
What is the ChartMill fundamental rating of CHESAPEAKE UTILITIES CORP (CPK) stock?
ChartMill assigns a fundamental rating of 4 / 10 to CPK.
What is the valuation status of CHESAPEAKE UTILITIES CORP (CPK) stock?
ChartMill assigns a valuation rating of 2 / 10 to CHESAPEAKE UTILITIES CORP (CPK). This can be considered as Overvalued.
How profitable is CHESAPEAKE UTILITIES CORP (CPK) stock?
CHESAPEAKE UTILITIES CORP (CPK) has a profitability rating of 6 / 10.
What is the valuation of CHESAPEAKE UTILITIES CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for CHESAPEAKE UTILITIES CORP (CPK) is 23.89 and the Price/Book (PB) ratio is 2.12.
How sustainable is the dividend of CHESAPEAKE UTILITIES CORP (CPK) stock?
The dividend rating of CHESAPEAKE UTILITIES CORP (CPK) is 5 / 10 and the dividend payout ratio is 44.49%.