Will Chesapeake Energy Beat These Analyst Estimates?

Updated

Chesapeake Energy (NYS: CHK) is expected to report Q1 earnings on May 1. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Chesapeake Energy's revenues will grow 30.6% and EPS will grow 38.9%.

The average estimate for revenue is $3.16 billion. On the bottom line, the average EPS estimate is $0.25.


Revenue details
Last quarter, Chesapeake Energy tallied revenue of $3.54 billion. GAAP reported sales were 30% higher than the prior-year quarter's $2.73 billion.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, non-GAAP EPS came in at $0.26. GAAP EPS of $0.40 for Q4 were 37% lower than the prior-year quarter's $0.63 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
For the preceding quarter, gross margin was 40.7%, 10 basis points better than the prior-year quarter. Operating margin was 14.6%, 220 basis points better than the prior-year quarter. Net margin was 8.5%, 880 basis points worse than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $12.52 billion. The average EPS estimate is $1.39.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 7,419 members out of 7,653 rating the stock outperform, and 234 members rating it underperform. Among 1,287 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 1,250 give Chesapeake Energy a green thumbs-up, and 37 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Chesapeake Energy is outperform, with an average price target of $23.78.

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The article Will Chesapeake Energy Beat These Analyst Estimates? originally appeared on Fool.com.

Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has the following options: Long Jan 2014 $20 Calls on Chesapeake Energy, Long Jan 2014 $30 Calls on Chesapeake Energy, and Short Jan 2014 $15 Puts on Chesapeake Energy. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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