Chesapeake (CHK) Could Be Worth 4x More Based Oppenheimer's 'Conservative' NAV Estimate

Article Stock Quotes (1) Comments (1)

Oppenheimer has come out with a vigorous defense of Chesapeake Energy (NYSE: CHK) Tuesday, saying the panic sell-off is a buying opportunity.

Despite the relentless attacks by the media, the firm believes Chesapeake's net asset value, after the pending asset sales, is "several times its current share price".

Chesapeake believes its net asset value is in the $50-60B range, or $75-90/share. Oppenheimer doesn't got quite this far but conservatively estimates net asset value in the $22-37B range, or $39-63/share.

Th company has completed $2.6B in transactions YTD and is on track to complete an additional $9.0-11.5B in 2012. Proceeds are expected to fully fund 2012 capex and reduce debt to $9.5B by year-end 2012.
For an analyst ratings summary and ratings history on Chesapeake Energy click here. For more ratings news on Chesapeake Energy click here.

Shares of Chesapeake Energy closed at $14.91 yesterday, with a 52 week range of $13.32-$35.75.

---

Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW

---

*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here

---

---

You May Also Be Interested In

• UPDATE: JPMorgan Downgrades Chesapeake Energy (CHK) to Neutral
• Southwestern Energy Announces Closing Of Acquisition Of Marcellus Shale Properties
• J.C. Penney (JCP) Stock Already Priced For Recovery - Wells Fargo

Create E-mail Alert Related Categories

Analyst Comments, Hot Comments

Comments

Add Your Comment

Name

Subject

Body

Share on Facebook

Verification
can't see the text?
click here to refresh the image.
what's this?