CHESAPEAKE UTILITIES CORP (CPK) Stock Fundamental Analysis
NYSE:CPK - New York Stock Exchange, Inc. - US1653031088 - Common Stock - Currency: USD
Overall CPK gets a fundamental rating of 4 out of 10. We evaluated CPK against 14 industry peers in the Gas Utilities industry. While CPK has a great profitability rating, there are quite some concerns on its financial health. While showing a medium growth rate, CPK is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
CPK had positive earnings in the past year.
CPK had a positive operating cash flow in the past year.
In the past 5 years CPK has always been profitable.
Each year in the past 5 years CPK had a positive operating cash flow.
1.2 Ratios
CPK has a Return On Assets of 3.09%. This is comparable to the rest of the industry: CPK outperforms 57.14% of its industry peers.
Looking at the Return On Equity, with a value of 7.96%, CPK is in line with its industry, outperforming 57.14% of the companies in the same industry.
The Return On Invested Capital of CPK (4.98%) 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 7.81%.
The last Return On Invested Capital (4.98%) for CPK is above the 3 year average (4.66%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.09% | ||
| ROE | 7.96% | ||
| ROIC | 4.98% |
ROA(3y)3.55%
ROA(5y)3.6%
ROE(3y)9.52%
ROE(5y)10.09%
ROIC(3y)4.66%
ROIC(5y)4.72%
1.3 Margins
With an excellent Profit Margin value of 14.16%, CPK belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
CPK's Profit Margin has improved in the last couple of years.
The Operating Margin of CPK (28.80%) is better than 78.57% of its industry peers.
In the last couple of years the Operating Margin of CPK has grown nicely.
CPK's Gross Margin of 71.74% is fine compared to the rest of the industry. CPK outperforms 64.29% of its industry peers.
In the last couple of years the Gross Margin of CPK has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.8% | ||
| PM (TTM) | 14.16% | ||
| GM | 71.74% |
OM growth 3Y1.38%
OM growth 5Y4.47%
PM growth 3Y-3.88%
PM growth 5Y2.41%
GM growth 3Y-1.91%
GM growth 5Y2.04%
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.
Compared to 5 years ago, CPK has more shares outstanding
The debt/assets ratio for CPK is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.34, we must say that CPK is in the distress zone and has some risk of bankruptcy.
CPK has a Altman-Z score of 1.34. This is in the better half of the industry: CPK outperforms 78.57% of its industry peers.
CPK has a Debt/Equity ratio of 1.03. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of CPK (1.03) is better than 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.03 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.34 |
ROIC/WACC0.69
WACC7.2%
2.3 Liquidity
A Current Ratio of 0.38 indicates that CPK may have some problems paying its short term obligations.
CPK's Current ratio of 0.38 is on the low side compared to the rest of the industry. CPK is outperformed by 85.71% of its industry peers.
A Quick Ratio of 0.31 indicates that CPK may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.31, CPK is doing worse than 71.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.38 | ||
| Quick Ratio | 0.31 |
3. Growth
3.1 Past
The earnings per share for CPK have decreased by -0.20% in the last year.
CPK shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.34% yearly.
Looking at the last year, CPK shows a quite strong growth in Revenue. The Revenue has grown by 12.63% in the last year.
Measured over the past years, CPK shows a small growth in Revenue. The Revenue has been growing by 6.46% on average per year.
EPS 1Y (TTM)-0.2%
EPS 3Y3.88%
EPS 5Y7.34%
EPS Q2Q%47.17%
Revenue 1Y (TTM)12.63%
Revenue growth 3Y11.16%
Revenue growth 5Y6.46%
Sales Q2Q%21.73%
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 11.01% on average per year.
Based on estimates for the next years, CPK will show a quite strong growth in Revenue. The Revenue will grow by 8.40% on average per year.
EPS Next Y14.83%
EPS Next 2Y15.46%
EPS Next 3Y12.96%
EPS Next 5Y11.01%
Revenue Next Year16.64%
Revenue Next 2Y11.69%
Revenue Next 3Y9.43%
Revenue Next 5Y8.4%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 25.44, which means the current valuation is very expensive for CPK.
Based on the Price/Earnings ratio, CPK is valued a bit more expensive than the industry average as 78.57% of the companies are valued more cheaply.
CPK's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.58.
The Price/Forward Earnings ratio is 19.89, which indicates a rather expensive current valuation of CPK.
CPK's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. CPK is more expensive than 71.43% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 95.03, CPK is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.44 | ||
| Fwd PE | 19.89 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CPK is valued expensively inside the industry as 92.86% of the companies are valued cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 14.11 |
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.
A more expensive valuation may be justified as CPK's earnings are expected to grow with 12.96% in the coming years.
PEG (NY)1.72
PEG (5Y)3.47
EPS Next 2Y15.46%
EPS Next 3Y12.96%
5. Dividend
5.1 Amount
CPK has a Yearly Dividend Yield of 2.08%.
Compared to an average industry Dividend Yield of 3.89, 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!
CPK's Dividend Yield is comparable with the S&P500 average which is at 2.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.08% |
5.2 History
The dividend of CPK is nicely growing with an annual growth rate of 8.27%!
CPK has paid a dividend for at least 10 years, which is a reliable track record.
CPK has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)8.27%
Div Incr Years21
Div Non Decr Years34
5.3 Sustainability
46.97% of the earnings are spent on dividend by CPK. This is a bit on the high side, but may be sustainable.
CPK's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP46.97%
EPS Next 2Y15.46%
EPS Next 3Y12.96%
CHESAPEAKE UTILITIES CORP
NYSE:CPK (2/5/2025, 7:00:00 PM)
After market: 125.4 0 (0%)125.4
+2.12 (+1.72%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryGas Utilities
Earnings (Last)
Earnings (Next)
Inst Owners84.63%
Inst Owner Change0.06%
Ins Owners1.51%
Ins Owner Change0%
Market Cap2.86B
Analysts80
Price Target136.1 (8.53%)
Short Float %1.45%
Short Ratio3.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.08% |
Yearly Dividend2
Dividend Growth(5Y)8.27%
DP46.97%
Div Incr Years21
Div Non Decr Years34
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.38%
Min EPS beat(2)1.69%
Max EPS beat(2)15.07%
EPS beat(4)2
Avg EPS beat(4)-1.65%
Min EPS beat(4)-19.93%
Max EPS beat(4)15.07%
EPS beat(8)3
Avg EPS beat(8)-4.16%
EPS beat(12)5
Avg EPS beat(12)-3.83%
EPS beat(16)9
Avg EPS beat(16)0.18%
Revenue beat(2)0
Avg Revenue beat(2)-11.59%
Min Revenue beat(2)-15.45%
Max Revenue beat(2)-7.74%
Revenue beat(4)0
Avg Revenue beat(4)-12.86%
Min Revenue beat(4)-21.78%
Max Revenue beat(4)-6.47%
Revenue beat(8)0
Avg Revenue beat(8)-11.15%
Revenue beat(12)3
Avg Revenue beat(12)-6.74%
Revenue beat(16)5
Avg Revenue beat(16)-6.01%
PT rev (1m)-1.62%
PT rev (3m)3.84%
EPS NQ rev (1m)-2.79%
EPS NQ rev (3m)-10.09%
EPS NY rev (1m)-0.26%
EPS NY rev (3m)-0.23%
Revenue NQ rev (1m)16.39%
Revenue NQ rev (3m)-0.44%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.6%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.44 | ||
| Fwd PE | 19.89 | ||
| P/S | 3.77 | ||
| P/FCF | N/A | ||
| P/OCF | 12.01 | ||
| P/B | 2.12 | ||
| P/tB | 3.46 | ||
| EV/EBITDA | 14.11 |
EPS(TTM)4.93
EY3.93%
EPS(NY)6.31
Fwd EY5.03%
FCF(TTM)-3.19
FCFYN/A
OCF(TTM)10.44
OCFY8.32%
SpS33.25
BVpS59.19
TBVpS36.21
PEG (NY)1.72
PEG (5Y)3.47
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.09% | ||
| ROE | 7.96% | ||
| ROCE | 7.19% | ||
| ROIC | 4.98% | ||
| ROICexc | 4.98% | ||
| ROICexgc | 5.94% | ||
| OM | 28.8% | ||
| PM (TTM) | 14.16% | ||
| GM | 71.74% | ||
| FCFM | N/A |
ROA(3y)3.55%
ROA(5y)3.6%
ROE(3y)9.52%
ROE(5y)10.09%
ROIC(3y)4.66%
ROIC(5y)4.72%
ROICexc(3y)4.67%
ROICexc(5y)4.73%
ROICexgc(3y)5.04%
ROICexgc(5y)5%
ROCE(3y)6.94%
ROCE(5y)7.13%
ROICexcg growth 3Y-1.24%
ROICexcg growth 5Y-1.18%
ROICexc growth 3Y-6.34%
ROICexc growth 5Y-4.37%
OM growth 3Y1.38%
OM growth 5Y4.47%
PM growth 3Y-3.88%
PM growth 5Y2.41%
GM growth 3Y-1.91%
GM growth 5Y2.04%
F-Score4
Asset Turnover0.22
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.03 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 4.9 | ||
| Cap/Depr | 476.63% | ||
| Cap/Sales | 40.99% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 83.93% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.38 | ||
| Quick Ratio | 0.31 | ||
| Altman-Z | 1.34 |
F-Score4
WACC7.2%
ROIC/WACC0.69
Cap/Depr(3y)257.42%
Cap/Depr(5y)291.9%
Cap/Sales(3y)26.59%
Cap/Sales(5y)30.44%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-0.2%
EPS 3Y3.88%
EPS 5Y7.34%
EPS Q2Q%47.17%
EPS Next Y14.83%
EPS Next 2Y15.46%
EPS Next 3Y12.96%
EPS Next 5Y11.01%
Revenue 1Y (TTM)12.63%
Revenue growth 3Y11.16%
Revenue growth 5Y6.46%
Sales Q2Q%21.73%
Revenue Next Year16.64%
Revenue Next 2Y11.69%
Revenue Next 3Y9.43%
Revenue Next 5Y8.4%
EBIT growth 1Y45.12%
EBIT growth 3Y12.7%
EBIT growth 5Y11.22%
EBIT Next Year91.94%
EBIT Next 3Y33.06%
EBIT Next 5Y21.83%
FCF growth 1Y-2316.65%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y77.82%
OCF growth 3Y8.59%
OCF growth 5Y11.63%