Chesapeake Utilities (CPK) AI Stock Analysis

• Market Cap: $3.25B
• Dividend Yield: 2.08%
• Average Volume (3M): 140.54K
• Price to Earnings (P/E): 24.3
• Beta (1Y): 0.02
• Revenue Growth: 17.15%
• EPS Growth: 15.00%
• Country: US
• Employees: 1,200
• Sector: Utilities
• Sector Strength: 65
• Industry: Regulated Gas
• EPS (TTM): 0.82
• Shares Outstanding: 23,650,684
• 10 Day Avg. Volume: 154,570
• 30 Day Avg. Volume: 140,545
• PEG Ratio: 2.06
• Price to Book (P/B): 1.96
• Price to Sales (P/S): 3.46
• P/FCF Ratio: -23.53
• Enterprise Value/Market Cap: 1.46
• Enterprise Value/Revenue: 5.37
• Enterprise Value/Gross Profit: 12.86
• Enterprise Value/Ebitda: 13.67
• 1Y Price Target: $151.17
• Price Target Upside: 18.70% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 64 Neutral
• Price Target: $135.00 ▲(6.01% Upside)

Chesapeake Utilities' overall stock score is driven by strong financial performance and positive earnings call sentiment, highlighting growth and strategic investments. However, technical analysis indicates bearish trends, and valuation metrics suggest potential overvaluation, which tempers the overall score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, supporting long-term financial stability.

Customer Growth

Strong customer growth enhances revenue potential and market share, contributing to sustained business expansion and competitive positioning.

Capital Investments

Strategic capital investments in infrastructure support long-term growth and operational efficiency, strengthening the company's service capabilities.

Negative Factors

Regulatory Delays

Regulatory delays can hinder project timelines and increase costs, impacting operational efficiency and financial performance over time.

Increased Operating Expenses

Rising operating expenses can pressure profit margins, reducing overall profitability and potentially affecting long-term financial health.

Weather Impact on Consumption

Weather-related consumption declines can affect revenue stability, particularly in regions reliant on seasonal energy demand.

Chesapeake Utilities Business Overview & Revenue Model

Company Description

Chesapeake Utilities Corporation (CPK) is a diversified energy company based in the United States, primarily engaged in the distribution of natural gas and electricity. The company operates through multiple subsidiaries, providing services across various sectors including utility services, propane distribution, and renewable energy solutions. Chesapeake Utilities serves residential, commercial, and industrial customers, delivering reliable energy solutions while focusing on safety, sustainability, and community engagement.

How the Company Makes Money

Chesapeake Utilities generates revenue primarily through the distribution of natural gas and electricity to its customers. The company operates under regulated utility frameworks, which allows it to earn a return on its investments in infrastructure, such as pipelines and distribution networks. Key revenue streams include sales of natural gas and electricity, as well as fees for services related to the maintenance and operation of its energy systems. Additionally, Chesapeake Utilities has expanded its revenue sources through its propane distribution segment and investments in renewable energy projects, allowing it to tap into emerging markets and diversify its earnings. Significant partnerships with local governments and businesses also play a crucial role in securing contracts and expanding its customer base, thereby contributing to its overall financial performance.

Chesapeake Utilities Financial Statement Overview

Summary

Chesapeake Utilities demonstrates solid financial performance with steady revenue growth and strong profitability margins. The company has improved its leverage position significantly, enhancing financial stability. While cash flow has shown improvement, historical fluctuations indicate potential areas for better cash management.

Income Statement

Chesapeake Utilities shows consistent revenue growth with a TTM increase of 2.25%. The company maintains strong profitability with a TTM gross profit margin of 33.01% and a net profit margin of 14.77%. However, there is a slight decline in margins compared to the previous year, indicating potential pressure on profitability.

Balance Sheet

The company's debt-to-equity ratio has improved significantly to 0.03 in the TTM, indicating better financial leverage management. Return on equity is stable at 8.94%, showing efficient use of equity. However, the equity ratio is not explicitly provided, which limits a full assessment of asset financing.

Cash Flow

Chesapeake Utilities has shown a substantial improvement in free cash flow with a growth rate of 108.70% in the TTM. The operating cash flow to net income ratio is healthy at 0.63, indicating good cash generation relative to earnings. However, historical volatility in free cash flow suggests potential cash flow management challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	886.15M	787.20M	670.60M	680.70M	569.97M	488.20M
Gross Profit	370.05M	334.80M	255.30M	237.50M	217.93M	192.62M
EBITDA	348.10M	311.70M	229.60M	228.00M	205.72M	183.66M
Net Income	130.85M	118.60M	87.20M	89.80M	83.47M	71.50M
Balance Sheet
Total Assets	3.86B	3.58B	3.30B	2.22B	2.11B	1.93B
Cash, Cash Equivalents and Short-Term Investments	1.80M	7.90M	4.90M	6.20M	4.98M	3.50M
Total Debt	1.58B	1.49B	1.40B	814.42M	798.07M	707.62M
Total Liabilities	2.34B	2.19B	2.06B	1.38B	1.34B	1.24B
Stockholders Equity	1.52B	1.39B	1.25B	832.80M	774.13M	697.09M
Cash Flow
Free Cash Flow	-197.88M	-115.90M	14.86M	30.61M	-36.42M	-6.59M
Operating Cash Flow	220.03M	239.40M	203.48M	158.88M	150.50M	158.92M
Investing Cash Flow	-412.09M	-349.90M	-1.11B	-136.45M	-223.02M	-181.63M
Financing Cash Flow	192.26M	113.50M	906.61M	-21.21M	74.00M	19.23M

Chesapeake Utilities Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 127.35
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CPK, the sentiment is Negative. The current price of 127.35 is below the 20-day moving average (MA) of 133.04, below the 50-day MA of 133.21, and above the 200-day MA of 126.58, indicating a neutral trend. The MACD of -1.75 indicates Positive momentum. The RSI at 37.49 is Neutral, neither overbought nor oversold. The STOCH value of 19.94 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CPK.

Chesapeake Utilities Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SWX	74 Outperform	$5.78B	12.48	5.42%	3.10%	-23.15%	157.45%
NWN	73 Outperform	$1.94B	18.62	7.20%	4.20%	11.27%	20.04%
UGI	70 Outperform	$8.20B	12.35	14.87%	3.93%	1.10%	140.04%
OGS	67 Neutral	$4.72B	18.36	8.51%	3.48%	15.06%	12.27%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
CPK	64 Neutral	$3.25B	24.34	9.13%	2.08%	17.15%	15.00%
SR	64 Neutral	$4.85B	18.79	8.20%	3.82%	-4.50%	2.49%

Chesapeake Utilities Corporate Events

Chesapeake Utilities Reports Strong Q3 2025 Financial Results

On November 6, 2025, Chesapeake Utilities Corporation reported its financial results for the third quarter and the first nine months of 2025. The company achieved net income of $19.4 million for the third quarter and $94.2 million for the nine months, showing growth compared to the previous year. This growth was driven by natural gas demand, regulatory initiatives, and infrastructure programs. The company reaffirmed its 2025 and 2028 earnings per share guidance and increased its 2025 capital guidance range, reflecting its ongoing commitment to operational excellence and strategic growth initiatives.

Chesapeake Utilities Expands Board, Appoints New Director

On September 12, 2025, Chesapeake Utilities Corporation expanded its Board of Directors from seven to eight members, appointing Elisabeth A. Eden as a Class II director effective September 15, 2025. Ms. Eden, who qualifies as an independent director and an audit committee financial expert, will also serve on the Audit Committee and receive standard non-employee director compensation. Her appointment is expected to enhance the board’s expertise and governance capabilities.