Chesapeake Utilities Corporation
Chesapeake Utilities Corporation Fundamental Analysis
Chesapeake Utilities Corporation (CPK) shows moderate financial fundamentals with a PE ratio of 23.23, profit margin of 14.24%, and ROE of 8.31%. The company generates $0.9B in annual revenue with strong year-over-year growth of 18.14%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 28.9/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze CPK's fundamental strength across five key dimensions:
Efficiency Score
WeakCPK struggles to generate sufficient returns from assets.
Valuation Score
ExcellentCPK trades at attractive valuation levels.
Growth Score
ExcellentCPK delivers strong and consistent growth momentum.
Financial Health Score
WeakCPK carries high financial risk with limited liquidity.
Profitability Score
WeakCPK struggles to sustain strong margins.
Key Financial Metrics
Is CPK Expensive or Cheap?
P/E Ratio
CPK trades at 23.23 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, CPK's PEG of -6.93 indicates potential undervaluation.
Price to Book
The market values Chesapeake Utilities Corporation at 1.83 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 4.36 times EBITDA. This is generally considered low.
How Well Does CPK Make Money?
Net Profit Margin
For every $100 in sales, Chesapeake Utilities Corporation keeps $14.24 as profit after all expenses.
Operating Margin
Core operations generate 26.45 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $8.31 in profit for every $100 of shareholder equity.
ROA
Chesapeake Utilities Corporation generates $3.11 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Chesapeake Utilities Corporation generates strong operating cash flow of $248.82M, reflecting robust business health.
Free Cash Flow
Chesapeake Utilities Corporation generates weak or negative free cash flow of $-321.96M, restricting financial flexibility.
FCF Per Share
Each share generates $-13.45 in free cash annually.
FCF Yield
CPK converts -9.73% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
23.23
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-6.93
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.83
vs 25 benchmark
P/S Ratio
Price to sales ratio
3.52
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.02
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.45
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.08
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.07
vs 25 benchmark
How CPK Stacks Against Its Sector Peers
| Metric | CPK Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 23.23 | 19.72 | Worse (Expensive) |
| ROE | 8.31% | 908.00% | Weak |
| Net Margin | 14.24% | 8804.00% | Weak |
| Debt/Equity | 1.02 | 1.80 | Strong (Low Leverage) |
| Current Ratio | 0.45 | 1.50 | Weak Liquidity |
| ROA | 3.11% | -6152.00% (disorted) | Weak |
CPK outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Chesapeake Utilities Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
36.11%
Industry Style: Defensive, Dividend, Income
High GrowthEPS CAGR
40.21%
Industry Style: Defensive, Dividend, Income
High GrowthFCF CAGR
-100.00%
Industry Style: Defensive, Dividend, Income
Declining