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Chesapeake Energy

Chesapeake Energy Corp is a us-based exploration and production company. It is engaged in the acquisition, exploration, and development of properties for the production of oil, natural gas, and natural gas liquids from underground reservoirs. Geographically, the company focuses on areas of Marcellus, Northern Appalachian Basin in Pennsylvania; Haynesville, Northwestern Louisiana (Gulf Coast); and Eagle Ford, South Texas.

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The U.S. Energy Department&#39;s weekly inventory release showed that natural gas supplies increased more than expected. The bearish inventory numbers, together with signs of production gains, affected natural gas futures, which settled with a heavy loss week over week.

Natural Gas Markets Endure a Rocky Week: What Happened?

The U.S. Energy Department&#39;s weekly inventory release showed that natural gas supplies increased more than expected. The bearish inventory numbers affected natural gas futures, which settled with a loss week over week.


How Did the Weekly EIA Data Impact the Natural Gas Market?

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Ratings for Chesapeake Energy (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CHK#NASDAQ">CHK</a>) were provided by 5 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.
The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.
<table>
<thead>
<tr>
<th></th>
<th style="text-align: right;">Bullish</th>
<th style="text-align: right;">Somewhat Bullish</th>
<th style="text-align: right;">Indifferent</th>
<th style="text-align: right;">Somewhat Bearish</th>
<th style="text-align: right;">Bearish</th>
</tr>
</thead>
<tbody>
<tr>
<td>Total Ratings</td>
<td style="text-align: right;">4</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">1</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>Last 30D</td>
<td style="text-align: right;">1</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>1M Ago</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>2M Ago</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>3M Ago</td>
<td style="text-align: right;">3</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">1</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
</tbody>
</table>
Analysts have recently evaluated Chesapeake Energy and provided 12-month price targets. The average target is $106.0, accompanied by a high estimate of $117.00 and a low estimate of $93.00. This current average represents a 1.12% decrease from the previous average price target of $107.20. 
<img src="https://www.benzinga.com/files/images/story/2024/1721674864_0.png" alt="price target chart" />
<h2>Interpreting Analyst Ratings: A Closer Look</h2>
A clear picture of Chesapeake Energy's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
<table>
<thead>
<tr>
<th>Analyst</th>
<th>Analyst Firm</th>
<th>Action Taken</th>
<th>Rating</th>
<th>Current Price Target</th>
<th>Prior Price Target</th>
</tr>
</thead>
<tbody>
<tr>
<td>Neal Dingmann</td>
<td>Truist Securities</td>
<td>Lowers</td>
<td>Buy</td>
<td>$108.00</td>
<td>$112.00</td>
</tr>
<tr>
<td>Nitin Kumar</td>
<td>Mizuho</td>
<td>Raises</td>
<td>Buy</td>
<td>$111.00</td>
<td>$101.00</td>
</tr>
<tr>
<td>Subash Chandra</td>
<td>Benchmark</td>
<td>Lowers</td>
<td>Buy</td>
<td>$93.00</td>
<td>$107.00</td>
</tr>
<tr>
<td>Mike Scialla</td>
<td>Stephens &amp; Co.</td>
<td>Raises</td>
<td>Equal-Weight</td>
<td>$117.00</td>
<td>$116.00</td>
</tr>
<tr>
<td>Nitin Kumar</td>
<td>Mizuho</td>
<td>Raises</td>
<td>Buy</td>
<td>$101.00</td>
<td>$100.00</td>
</tr>
</tbody>
</table>
<h3>Key Insights:</h3>
<ul>
<li>Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Chesapeake Energy. This information provides a snapshot of how analysts perceive the current state of the company.</li>
<li>Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Chesapeake Energy compared to the broader market.</li>
<li>Price Targets: Gaining insights, analysts provide estimates for the future value of Chesapeake Energy's stock. This comparison reveals trends in analysts' expectations over time.</li>
</ul>
To gain a panoramic view of Chesapeake Energy's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.
<a href="https://www.benzinga.com/quote/CHK/analyst-ratings?utm_source=Benzinga Insights">Stay up to date on Chesapeake Energy analyst ratings.</a>
<h2>Unveiling the Story Behind Chesapeake Energy</h2>
Chesapeake Energy Corp is a us-based exploration and production company. It is engaged in the acquisition, exploration, and development of properties for the production of oil, natural gas, and natural gas liquids from underground reservoirs. Geographically, the company focuses on areas of Marcellus, Northern Appalachian Basin in Pennsylvania; Haynesville, Northwestern Louisiana (Gulf Coast); and Eagle Ford, South Texas.
<h3>Unraveling the Financial Story of Chesapeake Energy</h3>
Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.
Negative Revenue Trend: Examining Chesapeake Energy's financials over 3 months reveals challenges. As of 31 March, 2024, the company experienced a decline of approximately -64.65% in revenue growth, reflecting a decrease in top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Energy sector.
Net Margin: Chesapeake Energy's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of 2.42%, the company may encounter challenges in effective cost control.
Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of 0.24%, the company may need to address challenges in generating satisfactory returns for shareholders.
Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of 0.18%, the company may need to address challenges in generating satisfactory returns from its assets.
Debt Management: Chesapeake Energy's debt-to-equity ratio is below the industry average. With a ratio of 0.2, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.
<h2>Analyst Ratings: What Are They?</h2>
Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter. 
Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.
This article was generated by Benzinga's automated content engine and reviewed by an editor.

Beyond The Numbers: 5 Analysts Discuss Chesapeake Energy Stock

Truist Securities analyst Neal Dingmann maintains Chesapeake Energy (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CHK#NASDAQ">CHK</a>) with a Buy and lowers the price target from $112 to $108.

Price Target

Truist Securities Maintains Buy on Chesapeake Energy, Lowers Price Target to $108

Wolfe Research analyst Doug Leggate reinstates Chesapeake Energy (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CHK#NASDAQ">CHK</a>) with a Outperform.

Initiation

Wolfe Research Reinstates Outperform on Chesapeake Energy

The U.S. Energy Department&#39;s weekly inventory release showed that natural gas supplies increased more than expected. The bearish inventory numbers, together with signs of production gains, affected natural gas futures, which settled with a heavy loss week over week.
Meanwhile, forecasts for higher weather-related demand and a resurgence of LNG exports represent a few bright spots for the fuel.
Considering that the space remains highly susceptible to unpredictable weather patterns that impact prices and market stability, at this time we advise investors to snap up Buy-rated stocks like Coterra Energy (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/ctra#NYSE">CTRA</a>) and hold onto others like Cheniere Energy (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/lng#NYSE">LNG</a>).
<h3>EIA Reports a Build Slightly Larger Than Market Expectations</h3>
Stockpiles held in underground storage in the lower 48 states rose 32 billion cubic feet (Bcf) for the week ended Jun 28, above the analyst guidance of a 30 Bcf addition. The latest increase puts total natural gas stocks at 3,134 Bcf, 275 Bcf (9.6%) above the 2023 level and 496 Bcf (18.8%) higher than the five-year average.
<h3>Natural Gas Prices Finish Significantly Lower</h3>
Natural gas prices trended southward last week, following the higher-than-expected inventory build. Futures for August delivery ended Friday at $2.32 on the New York Mercantile Exchange, plunging some 10.8% from the previous week&#39;s closing. Despite this dip, the commodity has been resurgent over the past few months &mdash; gaining 47.5% in the second quarter &mdash; and wiped out almost all its deficit since the start of this year.
Investors should know that natural gas realization has been under pressure from strong production, elevated stockpiles, and tepid weather-related demand. It&#39;s worth mentioning that the current inventory levels are well above the year-ago figure and the five-year average. The bearish sentiment surrounding the commodity even prompted shale producers Chesapeake Energy (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/chk#NASDAQ">CHK</a>) and EQT Corporation (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/eqt#NYSE">EQT</a>) to hit the brakes on new drilling. Chesapeake announced a reduction in its drilling rigs to lower volume, with the Appalachian Basin-focused EQT following on.
However, both these companies have recently started bringing earlier-deferred production back online following the recovery in prices. It appears that the increased output has put renewed pressure on natural gas prices. This is despite the predictions of hotter-than-normal weather over the coming weeks.
Meanwhile, a stable demand catalyst in the form of continued strong LNG feed gas deliveries is supporting natural gas. LNG shipments for export from the United States have been elevated of late due to environmental reasons and Europe&#39;s endeavor to move away from its dependence on Russian natural gas supplies due to the war in Ukraine.
At the same time, the increase in gas flows due to the full restart of the Freeport LNG export plant in Texas has translated into more of the commodity being loaded onto ships. A heatwave blanketing Southeast Asia has also led to a jump in power demand for air conditioning, increasing exports of the super-chilled fuel.
<h3>Final Thoughts</h3>
The upshot of all these factors &mdash; the natural gas market &mdash; despite improving, remains an oversupplied one. It endured a torrid 2023, briefly breaking below the $2 threshold for the first time since 2020. The situation was not much different in early 2024, with the fuel reaching a multi-year low near $1.48 in late March and struggling to sustain a rally over the psychological mark of $2.
While natural gas staged quite the turnaround in a matter of weeks, given the favorable temperature and lower production outlook, it has dropped again as producers plan to bring back those volumes.
Based on these factors, the space is currently quite unpredictable and spooked by sudden changes in weather and production patterns. As such, investors are advised to continue exercising caution, and preferably buy/hold on to fundamentally strong stocks like Coterra Energy and Cheniere Energy.
Coterra Energy: It is an independent upstream operator primarily engaged in the exploration, development and production of natural gas. Headquartered in Houston, TX, the firm owns some 183,000 net acres in the gas-producing Marcellus Shale of the Appalachian Basin. This Zacks Rank #2 (Buy) company churned out an average of 2,262.7 million cubic feet daily from these assets in 2023.
Coterra beat the Zacks Consensus Estimate for earnings in three of the trailing four quarters and missed in the other, the average being 9.8%. Valued at around $19.5 billion, CTRA has risen 5.9% in a year.
Cheniere Energy: Being the first company to receive regulatory approval to export LNG from its 2.6 billion cubic feet per day Sabine Pass terminal, Cheniere Energy enjoys a distinct competitive advantage.
Cheniere Energy beat the Zacks Consensus Estimate for earnings in two of the last four quarters and missed in the other two. This Zacks Rank #3 (Hold) natural gas exporter has a trailing four-quarter earnings surprise of roughly 58.9%, on average. LNG shares have moved up 15.2% in a year.
<a href="https://www.zacks.com/stock/news/2297613/natural-gas-markets-endure-a-rocky-week-what-happened?cid=CS-BENZ-FT-analyst_blog|industry_focus-2297613">To read this article on Zacks.com click here.</a>

Providing a diverse range of perspectives from bullish to bearish, 11 analysts have published ratings on Chesapeake Energy (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CHK#NASDAQ">CHK</a>) in the last three months.
The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.
<table>
<thead>
<tr>
<th></th>
<th style="text-align: right;">Bullish</th>
<th style="text-align: right;">Somewhat Bullish</th>
<th style="text-align: right;">Indifferent</th>
<th style="text-align: right;">Somewhat Bearish</th>
<th style="text-align: right;">Bearish</th>
</tr>
</thead>
<tbody>
<tr>
<td>Total Ratings</td>
<td style="text-align: right;">7</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">4</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>Last 30D</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>1M Ago</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>2M Ago</td>
<td style="text-align: right;">3</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">1</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>3M Ago</td>
<td style="text-align: right;">4</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">3</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
</tbody>
</table>
Analysts have set 12-month price targets for Chesapeake Energy, revealing an average target of $104.36, a high estimate of $117.00, and a low estimate of $93.00. Experiencing a 0.8% decline, the current average is now lower than the previous average price target of $105.20. 
<img src="https://www.benzinga.com/files/images/story/2024/1719507678_0.png" alt="price target chart" />
<h2>Deciphering Analyst Ratings: An In-Depth Analysis</h2>
An in-depth analysis of recent analyst actions unveils how financial experts perceive Chesapeake Energy. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
<table>
<thead>
<tr>
<th>Analyst</th>
<th>Analyst Firm</th>
<th>Action Taken</th>
<th>Rating</th>
<th>Current Price Target</th>
<th>Prior Price Target</th>
</tr>
</thead>
<tbody>
<tr>
<td>Nitin Kumar</td>
<td>Mizuho</td>
<td>Raises</td>
<td>Buy</td>
<td>$111.00</td>
<td>$101.00</td>
</tr>
<tr>
<td>Subash Chandra</td>
<td>Benchmark</td>
<td>Lowers</td>
<td>Buy</td>
<td>$93.00</td>
<td>$107.00</td>
</tr>
<tr>
<td>Mike Scialla</td>
<td>Stephens &amp; Co.</td>
<td>Raises</td>
<td>Equal-Weight</td>
<td>$117.00</td>
<td>$116.00</td>
</tr>
<tr>
<td>Nitin Kumar</td>
<td>Mizuho</td>
<td>Raises</td>
<td>Buy</td>
<td>$101.00</td>
<td>$100.00</td>
</tr>
<tr>
<td>Cameron Bean</td>
<td>Scotiabank</td>
<td>Raises</td>
<td>Sector Perform</td>
<td>$110.00</td>
<td>$92.00</td>
</tr>
<tr>
<td>Nitin Kumar</td>
<td>Mizuho</td>
<td>Maintains</td>
<td>Buy</td>
<td>$100.00</td>
<td>$100.00</td>
</tr>
<tr>
<td>Josh Silverstein</td>
<td>UBS</td>
<td>Raises</td>
<td>Neutral</td>
<td>$94.00</td>
<td>$92.00</td>
</tr>
<tr>
<td>Betty Jiang</td>
<td>Barclays</td>
<td>Announces</td>
<td>Equal-Weight</td>
<td>$102.00</td>
<td>-</td>
</tr>
<tr>
<td>Lloyd Byrne</td>
<td>Jefferies</td>
<td>Lowers</td>
<td>Buy</td>
<td>$115.00</td>
<td>$118.00</td>
</tr>
<tr>
<td>Subash Chandra</td>
<td>Benchmark</td>
<td>Lowers</td>
<td>Buy</td>
<td>$93.00</td>
<td>$107.00</td>
</tr>
<tr>
<td>Neal Dingmann</td>
<td>Truist Securities</td>
<td>Lowers</td>
<td>Buy</td>
<td>$112.00</td>
<td>$119.00</td>
</tr>
</tbody>
</table>
<h3>Key Insights:</h3>
<ul>
<li>Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Chesapeake Energy. This information offers a snapshot of how analysts perceive the current state of the company.</li>
<li>Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Chesapeake Energy compared to the broader market.</li>
<li>Price Targets: Analysts predict movements in price targets, offering estimates for Chesapeake Energy's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.</li>
</ul>
Considering these analyst evaluations in conjunction with other financial indicators can offer a comprehensive understanding of Chesapeake Energy's market position. Stay informed and make well-informed decisions with our Ratings Table.
<a href="https://www.benzinga.com/quote/CHK/analyst-ratings?utm_source=Benzinga Insights">Stay up to date on Chesapeake Energy analyst ratings.</a>
<h2>Get to Know Chesapeake Energy Better</h2>
Chesapeake Energy Corp is a us-based exploration and production company. It is engaged in the acquisition, exploration, and development of properties for the production of oil, natural gas, and natural gas liquids from underground reservoirs. Geographically, the company focuses on areas of Marcellus, Northern Appalachian Basin in Pennsylvania; Haynesville, Northwestern Louisiana (Gulf Coast); and Eagle Ford, South Texas.
<h3>Chesapeake Energy: Delving into Financials</h3>
Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.
Decline in Revenue: Over the 3 months period, Chesapeake Energy faced challenges, resulting in a decline of approximately -64.65% in revenue growth as of 31 March, 2024. This signifies a reduction in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Energy sector.
Net Margin: Chesapeake Energy's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of 2.42%, the company may encounter challenges in effective cost control.
Return on Equity (ROE): Chesapeake Energy's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of 0.24%, the company may face hurdles in generating optimal returns for shareholders.
Return on Assets (ROA): Chesapeake Energy's ROA is below industry standards, pointing towards difficulties in efficiently utilizing assets. With an ROA of 0.18%, the company may encounter challenges in delivering satisfactory returns from its assets.
Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.2.
<h2>How Are Analyst Ratings Determined?</h2>
Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.
Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.
Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.
This article was generated by Benzinga's automated content engine and reviewed by an editor.

A Glimpse Into The Expert Outlook On Chesapeake Energy Through 11 Analysts

Keybanc analyst Tim Rezvan initiates coverage on Chesapeake Energy (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CHK#NASDAQ">CHK</a>) with a Sector Weight rating.

Keybanc Initiates Coverage On Chesapeake Energy with Sector Weight Rating

The U.S. Energy Department&#39;s weekly inventory release showed that natural gas supplies increased more than expected. The bearish inventory numbers affected natural gas futures, which settled with a loss week over week. 
However, signs of production pullback, resurgence of LNG exports, and heatwave-related summer demand are set to support near-term prices. The commodity is already on an upswing, gaining some 30% in May &mdash; its best monthly performance since July 2022 &mdash; driven by an improved macro backdrop. 
Considering that the space remains highly susceptible to unpredictable weather patterns that impact prices and market stability, at this time we advise investors to snap up Buy-rated stocks like Coterra Energy (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/ctra#NYSE">CTRA</a>) and hold onto others like Cheniere Energy (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/lng#NYSE">LNG</a>).
<h3>EIA Reports a Build Slightly Larger Than Market Expectations</h3>
Stockpiles held in underground storage in the lower 48 states rose 71 billion cubic feet (Bcf) for the week ended Jun 14, above the analyst guidance of a 69 Bcf addition. The increase compared with the five-year (2019-2023) average net injection of 83 Bcf. 
The latest increase puts total natural gas stocks at 3,045 Bcf, 343 Bcf (12.7%) above the 2023 level and 561 Bcf (22.6%) higher than the five-year average.
<h3>Natural Gas Prices Finish Lower</h3>
Natural gas prices trended southward last week, following the higher-than-expected inventory build. Futures for July delivery ended Friday at $2.71 on the New York Mercantile Exchange, down some 6.1% from the previous week&#39;s closing. Despite this dip, the commodity has been resurgent over the past couple of months &mdash; gaining 13% in April, followed by 30% in May &mdash; and wiped out all its deficit since the start of this year to be up nearly 8% in 2024. 
Investors should know that natural gas realization has been under pressure from strong production, elevated stockpiles, and tepid weather-related demand. It&#39;s worth mentioning that the current inventory levels are well above the year-ago figure and the five-year average. The bearish sentiment surrounding the commodity even prompted shale producers Chesapeake Energy (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/chk#NASDAQ">CHK</a>) and EQT Corporation (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/eqt#NYSE">EQT</a>) to hit the brakes on new drilling. 
Chesapeake announced a reduction in its drilling rigs to lower volume, with the Appalachian Basin-focused EQT following on. CHK has decided to curb the second quarter&#39;s gas production expectations by 400 million cubic feet per day (MMcf/d), doubling the previous curtailment announced in March. Separately, EQT &mdash; the largest domestic producer of natural gas &mdash; said that it will lower its daily output by 1 Bcf through May to combat the supply glut in the U.S. market. 
According to EQT, the revised plan will likely reduce the full-year sales volume to 2,100-2,200 billion cubic feet equivalent (Bcfe) from 2,200-2,300 Bcfe earlier. It appears that these production cut announcements have been partly responsible for driving natural gas prices higher and galvanizing the market. 
As is the norm with natural gas, changes in temperature and weather can lead to price swings. With low heating demand this winter, usage of the commodity to generate electricity took a hit. However, predictions of hotter-than-normal weather over the coming weeks should boost demand. 
Moreover, there are signs of curtailment in U.S. production. According to energy services provider Baker Hughes (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/bkr#NASDAQ">BKR</a>), the U.S. natural gas rig count &mdash; a pointer to where production is headed &mdash; is down around 25% from last year to its lowest level since October 2021. Industry observers believe that this could set the stage for a pullback in near-term drilling and supplies. 
Meanwhile, a stable demand catalyst in the form of continued strong LNG feed gas deliveries is supporting natural gas. LNG shipments for export from the United States have been elevated of late due to environmental reasons and Europe&#39;s endeavor to move away from its dependence on Russian natural gas supplies due to the war in Ukraine. At the same time, the increase in gas flows due to the full restart of the Freeport LNG export plant in Texas has translated into more of the commodity being loaded onto ships. A heatwave blanketing Southeast Asia has also led to a jump in power demand for air conditioning, increasing exports of the super-chilled fuel.
<h3>Final Thoughts</h3>
The upshot of all these factors &mdash; the natural gas market &mdash; despite improving, remains an oversupplied one. It endured a torrid 2023, briefly breaking below the $2 threshold for the first time since 2020. The situation was not much different in early 2024, with the fuel reaching a multi-year low near $1.48 in late March and struggling to sustain a rally over the psychological mark of $2. 
However, natural gas has staged quite the turnaround in a matter of weeks and looks to improve even further, given the favorable temperature and lower production outlook. While that&#39;s not to say there won&#39;t be some hiccups along the way, things are starting to look up for the sector. 
Nevertheless, based on several factors, the space is currently quite unpredictable and spooked by sudden changes in weather and production patterns. As such, investors are advised to still exercise caution, and preferably buy/hold on to fundamentally strong stocks like Coterra Energy and Cheniere Energy. 
Coterra Energy: It is an independent upstream operator primarily engaged in the exploration, development and production of natural gas. Headquartered in Houston, TX, the firm owns some 183,000 net acres in the gas-producing Marcellus Shale of the Appalachian Basin. This Zacks Rank #2 (Buy) company churned out an average of 2,262.7 million cubic feet daily from these assets in 2023. 
Coterra beat the Zacks Consensus Estimate for earnings in three of the trailing four quarters and missed in the other, the average being 9.8%. Valued at around $19.8 billion, CTRA has risen 14.5% in a year. 
Cheniere Energy: Being the first company to receive regulatory approval to export LNG from its 2.6 billion cubic feet per day Sabine Pass terminal, Cheniere Energy enjoys a distinct competitive advantage. 
Cheniere Energy beat the Zacks Consensus Estimate for earnings in two of the last four quarters and missed in the other two. This Zacks Rank #3 (Hold) natural gas exporter has a trailing four-quarter earnings surprise of roughly 58.9%, on average. LNG shares have moved up 13% in a year.
<a href="https://www.zacks.com/stock/news/2292099/how-did-the-weekly-eia-data-impact-the-natural-gas-market?cid=CS-BENZ-FT-analyst_blog|industry_focus-2292099">To read this article on Zacks.com click here.</a>

WIIM

KLXE

NINE

TALO

Shares of several oil and gas companies are trading higher amid a rise in the price of crude. Strength is due to potential demand and growing tension in the Middle East.

The U.S. <a href="https://apnews.com/article/us-extreme-heat-wave-f4877dd84b047cdb7f4b5f2ae61da106">faces</a> severe heat waves, impacting areas from the Midwest into much of the Ohio Valley, Great Lakes, Northeast, and Mid-Atlantic through <a href="https://www.benzinga.com/topic/weather">the next few days.</a>
According to the latest updates from the National Oceanic and Atmospheric Administration (NOAA), high temperatures and warm overnight lows will likely challenge daily and even some monthly records.
Heat index readings are expected to peak from 100 to 105 degrees in many locations. 
&#8220;Those without access to reliable air conditioning are urged to find a way to cool down. Record warm overnight temperatures will prevent natural cooling and allow the heat danger to build over time indoors without air conditioning,&#8221; the NOAA wrote.
<h3 class="wp-block-heading">Increased Demand and Rising Prices</h3>
During heat waves, electricity demand typically surges. People rely heavily on air conditioning to cool their homes and businesses.
This surge in electricity use typically drives up natural gas prices. For example, in June 2023, U.S. natural gas prices — as tracked by the US Natural Gas Fund LP (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/UNG#NYSE">UNG</a>) — climbed for four consecutive weeks due to elevated temperatures boosting electricity demand.
A similar trend is emerging this year. <a href="https://www.benzinga.com/news/21/08/22684772/henry-hub-remains-the-center-of-natural-gas-markets">Henry Hub gas prices</a> are poised for their third consecutive month of increases, fueled by higher-than-average temperatures in late spring.
<h3 class="wp-block-heading">Analyst Insights</h3>
As the summer of 2024 heats up, investors and analysts are closely watching the implications of soaring temperatures on natural gas prices and related stocks. 
Eli Rubin, a senior analyst at EBW Analytics Group, told Natural Gas Intelligence that the market is poised to seize upon the heat theme throughout the summer. 
&#8220;Chances for significantly hotter-than-normal weather during July and August could raise natural gas demand and drive prices higher,&#8221; Rubin stated.
Cooling degree days (CDD) are increasing. Forecasters use these to estimate the energy demand for air conditioning. DTN's 15-day forecast called for 57 CDD above the 30-year averages, with every single day exceeding peak summer CDD averages.
The combination of shrinking storage surpluses and scorching record heat could drive natural gas prices to exceed long-term fundamentals over the next 30-45 days. &#8220;Medium-term bullish upside is likely, but it is increasingly dependent on blistering weather forecasts coming to fruition,&#8221; Rubin added.
In major areas across the Midwest and Northeast, observers expect heat waves to span at least three days with temperatures of 90 degrees or higher. And tropical storm Alberto — the first tropical storm of the hurricane season — is <a href="https://www.nbcnews.com/news/us-news/tropical-storm-texas-extreme-heat-wave-northeast-rcna157893">currently</a> aiming for Texas and Mexico, putting the Gulf Coast region on flood watch.
AccuWeather forecasts that these high temperatures will likely persist throughout the week, contributing to increased natural gas consumption. &#8220;The increased demand for cooling is going to be a problem here. This could have some impacts on the power grid,&#8221; AccuWeather meteorologist Bernie Rayno warned.
<a href="https://www.benzinga.com/news/24/06/39360337/heat-wave-hits-us-10-stocks-to-watch-during-junes-sweltering-temperatures">Heat Wave Hits US: 10 Stocks To Watch During June&#8217;s Sweltering Temperatures</a>
<h3 class="wp-block-heading">10 Stocks To Watch</h3>
Here are some key stocks for investors to watch:
<ul>
<li>EQT Corporation (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/EQT#NYSE">EQT</a>):&nbsp;The largest producer of natural gas in the United States, focusing on the Appalachian Basin.</li>
<li>Chesapeake Energy (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CHK#NYSE">CHK</a>): A leading producer of natural gas, oil, and natural gas liquids in the U.S.</li>
<li>Cheniere Energy (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LNG#NYSE">LNG</a>):&nbsp;The top exporter of liquefied natural gas (LNG) in the U.S., operating the Sabine Pass and Corpus Christi LNG terminals.</li>
<li>Canadian Natural Resources Ltd. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CNQ#NYSE">CNQ</a>):&nbsp;One of the largest independent producers of crude oil and natural gas in the world.</li>
<li>Antero Resources (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AR#NYSE">AR</a>)&nbsp;A top producer of natural gas and natural gas liquids, primarily operating in the Appalachian Basin.</li>
<li>EOG Resources Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/EOG#NYSE">EOG</a>)&nbsp;A producer of crude oil and natural gas, with operations across the U.S.</li>
<li>Kinder Morgan Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/KMI#NYSE">KMI</a>)&nbsp;A major energy infrastructure company, operating one of the largest natural gas pipeline networks in North America. The company&#8217;s extensive midstream assets are critical for the transportation and storage of natural gas.</li>
<li>Diamondback Energy Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FANG#NYSE">FANG</a>)&nbsp;An independent oil and natural gas company with significant operations in the Permian Basin.</li>
<li>ONEOK Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/OKE#NYSE">OKE</a>)&nbsp;A leading midstream service provider, focusing on natural gas gathering, processing, storage, and transportation.</li>
<li>Vistra Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VST#NYSE">VST</a>)&nbsp;An integrated power company combining power generation, retail electricity, and natural gas-fired power plants.</li>
</ul>
Now Read: <a href="https://www.benzinga.com/markets/esg/24/05/39012013/noaa-meteorologists-predict-aggressive-hurricane-season-what-it-means-for-home-depot-generac-other-s">NOAA Meteorologists Predict Aggressive Hurricane Season: What It Means For Home Depot, Generac, Other Storm-Related Stocks</a>
Image by Ron Porter from Pixabay

The U.S. Energy Department&#39;s weekly inventory release showed that natural gas supplies increased more than expected. The bearish inventory numbers notwithstanding, futures settled with a week-over-week gain on signs of production pullback, resurgence of LNG exports and robust summer demand.
To be precise, the fuel reached a 21-week high on Friday, after gaining some 30% in May &mdash; its best monthly performance since July 2022 &mdash; supported by an improved macro backdrop. Despite the spike, the space remains highly susceptible to unpredictable weather patterns, impacting prices and market stability.
At this time, we advise investors to focus on stocks like Coterra Energy (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/ctra#NYSE">CTRA</a>) and Cheniere Energy (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/lng#NYSE">LNG</a>).
<h3>EIA Reports a Build Larger Than Market Expectations</h3>
Stockpiles held in underground storage in the lower 48 states rose 98 billion cubic feet (Bcf) for the week ended May 31, above the analyst guidance of a 90 Bcf addition. The increase compared with the five-year (2019-2023) average net injection of 103 Bcf and last year&#39;s growth of 105 Bcf for the reported week.
The latest increase puts total natural gas stocks at 2,893 Bcf, which is 373 Bcf (14.8%) above the 2023 level and 581 Bcf (25.1%) higher than the five-year average.
The total supply of natural gas averaged 105.1 Bcf per day, down 0.7 Bcf per day on a weekly basis, primarily due to a healthy pullback in dry production.
Meanwhile, daily consumption &mdash; at 95.5 Bcf &mdash; essentially remained unchanged from the previous week, as higher power and industrial generation were offset by a dip in residential/commercial usage and a decrease in Mexico exports.
<h3>Natural Gas Prices Still Finish Higher</h3>
Natural gas prices trended northward last week despite the higher-than-expected inventory build. Futures for July delivery ended Friday at $2.92 on the New York Mercantile Exchange, up some 12.8% from the previous week&#39;s closing. As a matter of fact, the commodity&#39;s resurgence over the past couple of months &mdash; 13% in April followed by 30% in May &mdash; wiped out all its deficit since the start of this year and is up more than 16% so far this year.
Investors should know that natural gas realization has been under pressure from strong production, elevated stockpiles and tepid weather-related demand. It&#39;s worth mentioning that the current inventory levels are well above the year-ago figure and the five-year average. The bearish sentiment surrounding the commodity even prompted shale producers Chesapeake Energy (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/chk#NASDAQ">CHK</a>) and EQT Corporation (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/eqt#NYSE">EQT</a>) to hit the brakes on new drilling.
Chesapeake announced a reduction in its drilling rigs to lower volume, with the Appalachian Basin-focused EQT following on. CHK has decided to curb the second quarter&#39;s gas production expectations by 400 million cubic feet per day (MMcf/d), doubling the previous curtailment announced in March. Separately, EQT &mdash; the largest domestic producer of natural gas &mdash; said that it will lower its daily output by 1 Bcf through May to combat the supply glut in the U.S. market. According to EQT, the revised plan will likely reduce full-year sales volume to 2,100-2,200 billion cubic feet equivalent (Bcfe) from 2,200-2,300 Bcfe earlier. It appears that these production cut announcements have been partly responsible for driving natural gas prices higher and galvanizing the market.&nbsp;
As is the norm with natural gas, changes in temperature and weather can lead to price swings. With low heating demand this winter, usage of the commodity to generate electricity took a hit. However, predictions of an impending heat wave in the near future should boost demand.&nbsp;
Moreover, there are signs of curtailment in U.S. production. According to energy services provider Baker Hughes, the U.S. natural gas rig count &mdash; a pointer to where production is headed &mdash; is down around 27% from last year to its lowest level since October 2021. Industry observers believe that this could set the stage for a pullback in near-term drilling and supplies.&nbsp;
Meanwhile, a stable demand catalyst in the form of continued strong LNG feedgas deliveries, is supporting natural gas. LNG shipments for export from the United States have been elevated of late, due to environmental reasons and Europe&#39;s endeavor to move away from its dependence on Russian natural gas supplies due to the war in Ukraine. At the same time, the increase in gas flows due to the full restart of the Freeport LNG export plant in Texas has translated into more of the commodity being loaded onto ships. A heatwave blanketing Southeast Asia has also led to a jump in power demand for air conditioning, increasing exports of the super-chilled fuel.
<h3>Final Thoughts</h3>
The upshot of all these factors &mdash; the natural gas market &mdash; despite improving, remains an oversupplied one. It endured a torrid 2023, briefly breaking below the $2 threshold for the first time since 2020. The situation was not much different in early 2024, with the fuel reaching a multi-year low near $1.48 in late March and struggling to sustain a rally over the psychological mark of $2. However, natural gas has staged quite the turnaround in a matter of weeks and looks to improve even further, given the favorable temperature and lower production outlook.
Nevertheless, based on several factors, the space is currently quite unpredictable and spooked by sudden changes in weather and production patterns. As such, investors are advised to still exercise caution, and preferably hold on to fundamentally strong stocks like Coterra Energy and Cheniere Energy.
Coterra Energy: It is an independent upstream operator primarily engaged in the exploration, development and production of natural gas. Headquartered in Houston, TX, the firm owns some 183,000 net acres in the gas-producing Marcellus Shale of the Appalachian Basin. This Zacks Rank #3 (Hold) company churned out an average of 2,262.7 million cubic feet on a daily basis from these assets in 2023.
Coterra beat the Zacks Consensus Estimate for earnings in three of the trailing four quarters and missed in the other, the average being 9.8%. Valued at around $20.5 billion, CTRA has risen 12.3% in a year.
Cheniere Energy: Being the first company to receive regulatory approval to export LNG from its 2.6 billion cubic feet per day Sabine Pass terminal, Cheniere Energy enjoys a distinct competitive advantage.
Cheniere Energy beat the Zacks Consensus Estimate for earnings in two of the last four quarters and missed in the other two. This #3 Ranked natural gas exporter has a trailing four-quarter earnings surprise of roughly 58.9%, on average. LNG shares have moved up 8.5% in a year.
<a href="https://www.zacks.com/stock/news/2285884/reasons-behind-last-week-s-rally-in-natural-gas-prices?cid=CS-BENZ-FT-analyst_blog|industry_focus-2285884">To read this article on Zacks.com click here.</a>

Global

Reasons Behind Last Week's Rally in Natural Gas Prices

A new SEC filing reveals that TIMOTHY S DUNCAN, Board Member at Chesapeake Energy (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CHK#NASDAQ">CHK</a>), made a notable insider purchase on June 6,.
What Happened: A Form 4 filing from the <a href="https://www.sec.gov/Archives/edgar/data/0000895126/000089512624000084//Archives/edgar/data/895126/000089512624000084/0000895126-24-000084-index.htm">U.S. Securities and Exchange Commission</a> on Thursday showed that DUNCAN purchased 2,457 shares of Chesapeake Energy. The total transaction amounted to $220,024. 
Chesapeake Energy shares are trading down 0.92% at $87.5 at the time of this writing on Friday morning.
<h3>About Chesapeake Energy</h3>
Chesapeake Energy Corp is a us-based exploration and production company. It is engaged in the acquisition, exploration, and development of properties for the production of oil, natural gas, and natural gas liquids from underground reservoirs. Geographically, the company focuses on areas of Marcellus, Northern Appalachian Basin in Pennsylvania; Haynesville, Northwestern Louisiana (Gulf Coast); and Eagle Ford, South Texas.
<h3>Financial Insights: Chesapeake Energy</h3>
Negative Revenue Trend: Examining Chesapeake Energy's financials over 3 months reveals challenges. As of 31 March, 2024, the company experienced a decline of approximately -64.65% in revenue growth, reflecting a decrease in top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Energy sector.
Analyzing Profitability Metrics:
<ul>
<li>
Gross Margin: The company issues a cost efficiency warning with a low gross margin of 41.19%, indicating potential difficulties in maintaining profitability compared to its peers.
</li>
<li>
Earnings per Share (EPS): With an EPS below industry norms, Chesapeake Energy exhibits below-average bottom-line performance with a current EPS of 0.2.
</li>
</ul>
Debt Management: Chesapeake Energy's debt-to-equity ratio is below the industry average at 0.2, reflecting a lower dependency on debt financing and a more conservative financial approach.
Evaluating Valuation:
<ul>
<li>
Price to Earnings (P/E) Ratio: The current P/E ratio of 11.77 is below industry norms, indicating potential undervaluation and presenting an investment opportunity.
</li>
<li>
Price to Sales (P/S) Ratio: With a P/S ratio of 2.16 below industry standards, the stock shows potential undervaluation, making it an appealing investment option for those focusing on sales performance.
</li>
<li>
EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation &amp; Amortization): At 4.18, Chesapeake Energy's EV/EBITDA ratio reflects a below-par valuation compared to industry averages signalling undervaluation
</li>
</ul>
Market Capitalization Analysis: Reflecting a smaller scale, the company's market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.
<a href="https://www.schwab.com/brokerage?aff=XEC">Now trade stocks online commission free with Charles Schwab, a trusted and complete investment firm.</a>
<h3>Exploring the Significance of Insider Trading</h3>
In the complex landscape of investment decisions, investors should approach insider transactions as part of a comprehensive analysis, considering various elements.
In legal terms, an "insider" refers to any officer, director, or beneficial owner of more than ten percent of a company's equity securities registered under Section 12 of the Securities Exchange Act of 1934. This can include executives in the c-suite and large hedge funds. These insiders are required to let the public know of their transactions via a Form 4 filing, which must be filed within two business days of the transaction.
When a company insider makes a new purchase, that is an indication that they expect the stock to rise.
Insider sells, on the other hand, can be made for a variety of reasons, and may not necessarily mean that the seller thinks the stock will go down. 
<h3>Navigating the World of Insider Transaction Codes</h3>
For <a href="https://www.benzinga.com/money/investing-tools">investors</a>, a primary focus lies on transactions occurring in the open market, as indicated in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies a sale. Transaction code C signals the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.
<a href="https://www.benzinga.com/sec/insider-trades/search/index?company_cik=0000895126">Check Out The Full List Of Chesapeake Energy's Insider Trades.</a>
This article was generated by Benzinga's automated content engine and reviewed by an editor.

Insider Trades

Chesapeake Energy Board Member Makes $220K Stock Purchase

A significant insider buy by BRIAN STECK, Board Member at Chesapeake Energy (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CHK#NASDAQ">CHK</a>), was executed on June 6, and reported in the recent SEC filing.
What Happened: In a recent Form 4 filing with the <a href="https://www.sec.gov/Archives/edgar/data/0000895126/000089512624000086//Archives/edgar/data/895126/000089512624000086/0000895126-24-000086-index.htm">U.S. Securities and Exchange Commission</a> on Thursday, STECK increased their investment in Chesapeake Energy by purchasing 2,513 shares through open-market transactions, signaling confidence in the company's potential. The total transaction value is $225,039.
Chesapeake Energy's shares are actively trading at $87.5, experiencing a down of 0.92% during Friday's morning session.
<h3>About Chesapeake Energy</h3>
Chesapeake Energy Corp is a us-based exploration and production company. It is engaged in the acquisition, exploration, and development of properties for the production of oil, natural gas, and natural gas liquids from underground reservoirs. Geographically, the company focuses on areas of Marcellus, Northern Appalachian Basin in Pennsylvania; Haynesville, Northwestern Louisiana (Gulf Coast); and Eagle Ford, South Texas.
<h3>Chesapeake Energy: Financial Performance Dissected</h3>
Revenue Growth: Chesapeake Energy's revenue growth over a period of 3 months has faced challenges. As of 31 March, 2024, the company experienced a revenue decline of approximately -64.65%. This indicates a decrease in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Energy sector.
Exploring Profitability:
<ul>
<li>
Gross Margin: The company shows a low gross margin of 41.19%, indicating concerns regarding cost management and overall profitability relative to its industry counterparts.
</li>
<li>
Earnings per Share (EPS): Chesapeake Energy's EPS lags behind the industry average, indicating concerns and potential challenges with a current EPS of 0.2.
</li>
</ul>
Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.2.
Insights into Valuation Metrics:
<ul>
<li>
Price to Earnings (P/E) Ratio: Chesapeake Energy's P/E ratio of 11.77 is below the industry average, suggesting the stock may be undervalued.
</li>
<li>
Price to Sales (P/S) Ratio: With a P/S ratio of 2.16 below industry standards, the stock shows potential undervaluation, making it an appealing investment option for those focusing on sales performance.
</li>
<li>
EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation &amp; Amortization): The company's EV/EBITDA ratio of 4.18 trails industry averages, indicating a potential disparity in market valuation that could be advantageous for investors.
</li>
</ul>
Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.
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<h3>Understanding the Significance of Insider Transactions</h3>
Investors should view insider transactions as part of a multifaceted analysis and not rely solely on them for decision-making.
When discussing legal matters, the term "insider" refers to any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, as stipulated in Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and significant hedge funds. Such insiders are required to report their transactions through a Form 4 filing, which must be completed within two business days of the transaction.
A new purchase by a company insider is a indication that they anticipate the stock will rise.
On the other hand, insider sells may not necessarily indicate a bearish view and can be motivated by various factors.
<h3>Breaking Down the Significance of Transaction Codes</h3>
Taking a closer look at transactions, <a href="https://www.benzinga.com/money/investing-tools">investors</a> often prioritize those unfolding in the open market, meticulously cataloged in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies a sale. Transaction code C denotes the conversion of an option, and transaction code A signifies a grant, award, or other acquisition of securities from the company.
<a href="https://www.benzinga.com/sec/insider-trades/search/index?company_cik=0000895126">Check Out The Full List Of Chesapeake Energy's Insider Trades.</a>
This article was generated by Benzinga's automated content engine and reviewed by an editor.

BRIAN STECK Takes a Bullish Stance: Acquires $225K In Chesapeake Energy Stock

MATTHEW GALLAGHER, Director at Chesapeake Energy (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CHK#NASDAQ">CHK</a>), disclosed an insider purchase on June 6, based on a new SEC filing.
What Happened: GALLAGHER made a significant move by purchasing 2,234 shares of Chesapeake Energy as reported in a Form 4 filing with the <a href="https://www.sec.gov/Archives/edgar/data/0000895126/000089512624000088//Archives/edgar/data/895126/000089512624000088/0000895126-24-000088-index.htm">U.S. Securities and Exchange Commission</a>. The transaction's total worth stands at $200,054.
As of Friday morning, Chesapeake Energy shares are down by 0.29%, currently priced at $88.05.
<h3>Discovering Chesapeake Energy: A Closer Look</h3>
Chesapeake Energy Corp is a us-based exploration and production company. It is engaged in the acquisition, exploration, and development of properties for the production of oil, natural gas, and natural gas liquids from underground reservoirs. Geographically, the company focuses on areas of Marcellus, Northern Appalachian Basin in Pennsylvania; Haynesville, Northwestern Louisiana (Gulf Coast); and Eagle Ford, South Texas.
<h3>Unraveling the Financial Story of Chesapeake Energy</h3>
Decline in Revenue: Over the 3 months period, Chesapeake Energy faced challenges, resulting in a decline of approximately -64.65% in revenue growth as of 31 March, 2024. This signifies a reduction in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Energy sector.
Interpreting Earnings Metrics:
<ul>
<li>
Gross Margin: The company faces challenges with a low gross margin of 41.19%, suggesting potential difficulties in cost control and profitability compared to its peers.
</li>
<li>
Earnings per Share (EPS): Chesapeake Energy's EPS is below the industry average. The company faced challenges with a current EPS of 0.2. This suggests a potential decline in earnings.
</li>
</ul>
Debt Management: With a below-average debt-to-equity ratio of 0.2, Chesapeake Energy adopts a prudent financial strategy, indicating a balanced approach to debt management.
Valuation Analysis:
<ul>
<li>
Price to Earnings (P/E) Ratio: With a lower-than-average P/E ratio of 11.77, the stock indicates an attractive valuation, potentially presenting a buying opportunity.
</li>
<li>
Price to Sales (P/S) Ratio: With a lower-than-average P/S ratio of 2.16, the stock presents an attractive valuation, potentially signaling a buying opportunity for investors interested in sales performance.
</li>
<li>
EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation &amp; Amortization): The company's EV/EBITDA ratio of 4.18 trails industry averages, indicating a potential disparity in market valuation that could be advantageous for investors.
</li>
</ul>
Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.
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<h3>Why Insider Activity Matters in Finance</h3>
Emphasizing the importance of a comprehensive approach, considering insider transactions is valuable, but it's crucial to evaluate them in conjunction with other investment factors.
In the context of legal matters, the term "insider" refers to any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, as outlined by Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and significant hedge funds. Such insiders are obligated to report their transactions through a Form 4 filing, which must be completed within two business days of the transaction.
Pointing towards optimism, a company insider's new purchase signals their positive anticipation for the stock to rise.
Despite insider sells not always signaling a bearish sentiment, they can be driven by various factors.
<h3>Understanding Crucial Transaction Codes</h3>
For <a href="https://www.benzinga.com/money/investing-tools">investors</a>, a primary focus lies on transactions occurring in the open market, as indicated in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies a sale. Transaction code C signals the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.
<a href="https://www.benzinga.com/sec/insider-trades/search/index?company_cik=0000895126">Check Out The Full List Of Chesapeake Energy's Insider Trades.</a>
This article was generated by Benzinga's automated content engine and reviewed by an editor.

Positive Signal: MATTHEW GALLAGHER Shows Faith, Buying $200K In Chesapeake Energy Stock

A notable insider purchase on June 6, was reported by SARAH A EMERSON, Director at Chesapeake Energy (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CHK#NASDAQ">CHK</a>), based on the most recent SEC filing.
What Happened: In a significant move reported in a Form 4 filing with the <a href="https://www.sec.gov/Archives/edgar/data/0000895126/000089512624000090//Archives/edgar/data/895126/000089512624000090/0000895126-24-000090-index.htm">U.S. Securities and Exchange Commission</a> on Thursday, EMERSON purchased 2,234 shares of Chesapeake Energy, demonstrating confidence in the company's growth potential. The total value of the transaction stands at $200,054.
During Friday's morning session, Chesapeake Energy shares down by 0.92%, currently priced at $87.5.
<h3>Unveiling the Story Behind Chesapeake Energy</h3>
Chesapeake Energy Corp is a us-based exploration and production company. It is engaged in the acquisition, exploration, and development of properties for the production of oil, natural gas, and natural gas liquids from underground reservoirs. Geographically, the company focuses on areas of Marcellus, Northern Appalachian Basin in Pennsylvania; Haynesville, Northwestern Louisiana (Gulf Coast); and Eagle Ford, South Texas.
<h3>Chesapeake Energy: Financial Performance Dissected</h3>
Revenue Growth: Chesapeake Energy's revenue growth over a period of 3 months has faced challenges. As of 31 March, 2024, the company experienced a revenue decline of approximately -64.65%. This indicates a decrease in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Energy sector.
Analyzing Profitability Metrics:
<ul>
<li>
Gross Margin: The company faces challenges with a low gross margin of 41.19%, suggesting potential difficulties in cost control and profitability compared to its peers.
</li>
<li>
Earnings per Share (EPS): Chesapeake Energy's EPS is below the industry average, signaling challenges in bottom-line performance with a current EPS of 0.2.
</li>
</ul>
Debt Management: Chesapeake Energy's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.2.
Market Valuation:
<ul>
<li>
Price to Earnings (P/E) Ratio: The Price to Earnings ratio of 11.77 is lower than the industry average, indicating potential undervaluation for the stock.
</li>
<li>
Price to Sales (P/S) Ratio: The current P/S ratio of 2.16 is below industry norms, suggesting potential undervaluation and presenting an investment opportunity for those considering sales performance.
</li>
<li>
EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation &amp; Amortization): At 4.18, Chesapeake Energy's EV/EBITDA ratio reflects a below-par valuation compared to industry averages signalling undervaluation
</li>
</ul>
Market Capitalization Analysis: Reflecting a smaller scale, the company's market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.
<a href="https://www.schwab.com/brokerage?aff=XEC">Now trade stocks online commission free with Charles Schwab, a trusted and complete investment firm.</a>
<h3>Delving Into the Significance of Insider Transactions</h3>
Investors should view insider transactions as part of a multifaceted analysis and not rely solely on them for decision-making.
Exploring the legal landscape, an "insider" is defined as any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, as stipulated by Section 12 of the Securities Exchange Act of 1934. This encompasses executives in the c-suite and major hedge funds. These insiders are required to report their transactions through a Form 4 filing, which must be submitted within two business days of the transaction.
Highlighted by a company insider's new purchase, there's a positive anticipation for the stock to rise.
But, insider sells may not necessarily indicate a bearish view and can be motivated by various factors.
<h3>Understanding Crucial Transaction Codes</h3>
Navigating through the landscape of transactions, <a href="https://www.benzinga.com/money/investing-tools">investors</a> often prioritize those unfolding in the open market, precisely detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies a sale. Transaction code C signals the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.
<a href="https://www.benzinga.com/sec/insider-trades/search/index?company_cik=0000895126">Check Out The Full List Of Chesapeake Energy's Insider Trades.</a>
This article was generated by Benzinga's automated content engine and reviewed by an editor.

Noteworthy Insider Activity: SARAH A EMERSON Invests $200K In Chesapeake Energy Stock

A new SEC filing reveals that BENJAMIN DUSTER, Board Member at Chesapeake Energy (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CHK#NASDAQ">CHK</a>), made a notable insider purchase on June 6,.
What Happened: In a significant move reported in a Form 4 filing with the <a href="https://www.sec.gov/Archives/edgar/data/0000895126/000089512624000092//Archives/edgar/data/895126/000089512624000092/0000895126-24-000092-index.htm">U.S. Securities and Exchange Commission</a> on Thursday, DUSTER purchased 2,234 shares of Chesapeake Energy, demonstrating confidence in the company's growth potential. The total value of the transaction stands at $200,054.
During Friday's morning session, Chesapeake Energy shares down by 0.29%, currently priced at $88.05.
<h3>Unveiling the Story Behind Chesapeake Energy</h3>
Chesapeake Energy Corp is a us-based exploration and production company. It is engaged in the acquisition, exploration, and development of properties for the production of oil, natural gas, and natural gas liquids from underground reservoirs. Geographically, the company focuses on areas of Marcellus, Northern Appalachian Basin in Pennsylvania; Haynesville, Northwestern Louisiana (Gulf Coast); and Eagle Ford, South Texas.
<h3>Understanding the Numbers: Chesapeake Energy's Finances</h3>
Negative Revenue Trend: Examining Chesapeake Energy's financials over 3 months reveals challenges. As of 31 March, 2024, the company experienced a decline of approximately -64.65% in revenue growth, reflecting a decrease in top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Energy sector.
Interpreting Earnings Metrics:
<ul>
<li>
Gross Margin: With a low gross margin of 41.19%, the company exhibits below-average profitability, signaling potential struggles in cost efficiency compared to its industry peers.
</li>
<li>
Earnings per Share (EPS): With an EPS below industry norms, Chesapeake Energy exhibits below-average bottom-line performance with a current EPS of 0.2.
</li>
</ul>
Debt Management: Chesapeake Energy's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.2.
Understanding Financial Valuation:
<ul>
<li>
Price to Earnings (P/E) Ratio: The current P/E ratio of 11.77 is below industry norms, indicating potential undervaluation and presenting an investment opportunity.
</li>
<li>
Price to Sales (P/S) Ratio: The P/S ratio of 2.16 is lower than the industry average, implying a discounted valuation for Chesapeake Energy's stock in relation to sales performance.
</li>
<li>
EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation &amp; Amortization): Indicated by a lower-than-industry-average EV/EBITDA ratio of 4.18, the company suggests a potential undervaluation, which might be advantageous for value-focused investors.
</li>
</ul>
Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.
<a href="https://www.schwab.com/brokerage?aff=XEC">Now trade stocks online commission free with Charles Schwab, a trusted and complete investment firm.</a>
<h3>Unmasking the Significance of Insider Transactions</h3>
While insider transactions should not be the sole basis for making investment decisions, they can play a significant role in an investor's decision-making process.
Within the legal framework, an "insider" is defined as any officer, director, or beneficial owner holding more than ten percent of a company's equity securities as per Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and major hedge funds. These insiders are mandated to disclose their transactions through a Form 4 filing, to be submitted within two business days of the transaction.
The initiation of a new purchase by a company insider serves as a strong indication that they expect the stock to rise.
However, insider sells may not always signal a bearish view and can be influenced by various factors.
<h3>Breaking Down the Significance of Transaction Codes</h3>
When dissecting transactions, the focal point for <a href="https://www.benzinga.com/money/investing-tools">investors</a> is often those occurring in the open market, meticulously detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies a sale. Transaction code C indicates the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.
<a href="https://www.benzinga.com/sec/insider-trades/search/index?company_cik=0000895126">Check Out The Full List Of Chesapeake Energy's Insider Trades.</a>
This article was generated by Benzinga's automated content engine and reviewed by an editor.

Chesapeake Energy Insider Trades SendAa Signal

A notable insider purchase on June 6, was reported by MICHAEL WICHTERICH, Board Member at Chesapeake Energy (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CHK#NASDAQ">CHK</a>), based on the most recent SEC filing.
What Happened: A Form 4 filing from the <a href="https://www.sec.gov/Archives/edgar/data/0000895126/000089512624000094//Archives/edgar/data/895126/000089512624000094/0000895126-24-000094-index.htm">U.S. Securities and Exchange Commission</a> on Thursday showed that WICHTERICH purchased 3,909 shares of Chesapeake Energy. The total transaction amounted to $350,050. 
Monitoring the market, Chesapeake Energy's shares down by 0.92% at $87.5 during Friday's morning.
<h3>Get to Know Chesapeake Energy Better</h3>
Chesapeake Energy Corp is a us-based exploration and production company. It is engaged in the acquisition, exploration, and development of properties for the production of oil, natural gas, and natural gas liquids from underground reservoirs. Geographically, the company focuses on areas of Marcellus, Northern Appalachian Basin in Pennsylvania; Haynesville, Northwestern Louisiana (Gulf Coast); and Eagle Ford, South Texas.
<h3>Chesapeake Energy's Financial Performance</h3>
Decline in Revenue: Over the 3 months period, Chesapeake Energy faced challenges, resulting in a decline of approximately -64.65% in revenue growth as of 31 March, 2024. This signifies a reduction in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Energy sector.
Interpreting Earnings Metrics:
<ul>
<li>
Gross Margin: The company shows a low gross margin of 41.19%, indicating concerns regarding cost management and overall profitability relative to its industry counterparts.
</li>
<li>
Earnings per Share (EPS): Chesapeake Energy's EPS is below the industry average, signaling challenges in bottom-line performance with a current EPS of 0.2.
</li>
</ul>
Debt Management: Chesapeake Energy's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.2.
Financial Valuation:
<ul>
<li>
Price to Earnings (P/E) Ratio: Chesapeake Energy's P/E ratio of 11.77 is below the industry average, suggesting the stock may be undervalued.
</li>
<li>
Price to Sales (P/S) Ratio: The current P/S ratio of 2.16 is below industry norms, suggesting potential undervaluation and presenting an investment opportunity for those considering sales performance.
</li>
<li>
EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation &amp; Amortization): With an EV/EBITDA ratio lower than industry benchmarks at 4.18, Chesapeake Energy presents an attractive value opportunity.
</li>
</ul>
Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.
<a href="https://www.schwab.com/brokerage?aff=XEC">Now trade stocks online commission free with Charles Schwab, a trusted and complete investment firm.</a>
<h3>Why Insider Transactions Are Key in Investment Decisions</h3>
In the complex landscape of investment decisions, investors should approach insider transactions as part of a comprehensive analysis, considering various elements.
Considering the legal perspective, an "insider" is defined as any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, according to Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and major hedge funds. These insiders are mandated to disclose their transactions through a Form 4 filing, to be submitted within two business days of the transaction.
Pointing towards optimism, a company insider's new purchase signals their positive anticipation for the stock to rise.
Nevertheless, insider sells may not necessarily indicate a bearish view and can be influenced by various factors.
<h3>Cracking Transaction Codes</h3>
When dissecting transactions, the focal point for <a href="https://www.benzinga.com/money/investing-tools">investors</a> is often those occurring in the open market, meticulously detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies a sale. Transaction code C indicates the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.
<a href="https://www.benzinga.com/sec/insider-trades/search/index?company_cik=0000895126">Check Out The Full List Of Chesapeake Energy's Insider Trades.</a>
This article was generated by Benzinga's automated content engine and reviewed by an editor.

MICHAEL WICHTERICH Of Chesapeake Energy Shows Optimism, Buys $350K In Stock

AESI

VIST

Shares of several oil companies are trading lower amid a drop in oil prices. Stocks may be moving on continued weakness following Sunday's OPEC+ meeting.

The U.S. Energy Department&#39;s weekly inventory release showed that natural gas supplies increased less than expected. The positive inventory numbers, together with signs of production pullback and upcoming summer demand, buoyed natural gas futures, which settled with a healthy gain week over week.
Despite this spike, which saw natural gas hit its highest since January, the space remains highly susceptible to unpredictable weather patterns, impacting prices and market stability.
At this time, we advise investors to focus on stocks like Coterra Energy (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/ctra#NYSE">CTRA</a>) and Cheniere Energy (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/lng#NYSE">LNG</a>).
EIA Reports a Build Smaller Than Market Expectations
Stockpiles held in underground storage in the lower 48 states rose 70 billion cubic feet (Bcf) for the week ended May 10, below the guidance of a 76 Bcf addition, per a survey conducted by S&amp;P Global Commodity Insights. The increase compared with the five-year (2019-2023) average net injection of 90 Bcf and last year&#39;s growth of 93 Bcf for the reported week.
The latest increase puts total natural gas stocks at 2,633 Bcf, which is 421 Bcf (19%) above the 2023 level and 620 Bcf (30.8%) higher than the five-year average.
The total supply of natural gas averaged 104.5 Bcf per day, up 0.2 Bcf per day on a weekly basis due to higher dry production, partly offset by lower shipments from Canada.&nbsp;
Meanwhile, daily consumption fell to 94.5 Bcf from 95.5 Bcf in the previous week, mainly reflecting a drop in natural gas consumed for power generation.
<h3>Natural Gas Prices Finish Sharply Higher</h3>
Natural gas prices trended northward last week following the lower-than-expected inventory build. Futures for June delivery ended Friday at $2.49 on the New York Mercantile Exchange, up some 16.6% from the previous week&#39;s closing. As a matter of fact, the commodity&#39;s resurgence over the past few weeks wiped out all of its losses since the start of this year.&nbsp;
Investors should know that natural gas realization has been under pressure from strong production, elevated stockpiles and tepid weather-related demand. It&#39;s worth mentioning that the current inventory levels are well above the year-ago figure and the five-year average. The bearish sentiment surrounding the commodity even prompted shale producers Chesapeake Energy (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/chk#NASDAQ">CHK</a>) and EQT Corporation (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/eqt#NYSE">EQT</a>) to hit the brakes on new drilling.
Chesapeake announced a reduction in its drilling rigs so as to lower volume, with the Appalachian Basin-focused EQT following on. CHK has decided to curb the second quarter&#39;s gas production expectations by 400 million cubic feet per day (MMcf/d), doubling the previous curtailment announced in March. Separately, EQT &mdash; the largest domestic producer of natural gas &mdash; said that it will lower its daily output by 1 Bcf through May to combat the supply glut in the U.S. market. According to EQT, the revised plan will likely reduce full-year sales volume to 2,100-2,200 billion cubic feet equivalent (Bcfe) from 2,200-2,300 Bcfe earlier. It appears that these production cut announcements have been partly responsible in driving natural gas prices higher and galvanizing the market.&nbsp;
As is the norm with natural gas, changes in temperature and weather can lead to price swings. With low heating demand this winter, usage of the commodity to generate electricity took a hit. However, predictions of warmer-than-normal weather over most of the United States should boost demand.&nbsp;
Moreover, there are signs of curtailment in U.S. production. According to energy services provider Baker Hughes, the U.S. natural gas rig count &mdash; a pointer to where production is headed &mdash; is down around 27% from last year. Industry observers believe this could set the stage for a pullback in near-term drilling and supplies.
Meanwhile, a stable demand catalyst in the form of continued strong LNG feedgas deliveries, is supporting natural gas. As a matter of fact, LNG shipments for export from the United States have been elevated of late, due to environmental reasons and Europe&#39;s endeavor to move away from its dependence on Russian natural gas supplies due to the war in Ukraine. At the same time, the increase in gas flows due to the full restart of the Freeport LNG export plant in Texas has translated into more of the commodity being loaded onto ships. A heatwave blanketing Southeast Asia has also led to a jump in power demand for air conditioning, increasing exports of the super-chilled fuel.
<h3>Final Thoughts</h3>
The upshot of all these factors &mdash; the natural gas market &mdash; despite improving, remains an oversupplied one. As mentioned above, it endured a torrid year in 2023, briefly breaking below the $2 threshold for the first time since 2020. The situation was not much different in the early parts of 2024, with the fuel reaching a multi-year low near $1.48 in late March and struggling to sustain a rally over the psychological mark of $2. However, natural gas has staged quite the turnaround in a matter of weeks, and looks to improve even further given the favorable temperature outlook.
Nevertheless, based on several factors, the space is currently quite unpredictable and spooked by sudden changes in weather and production patterns. As such, investors are advised to still exercise caution and preferably hold on to fundamentally strong stocks like Coterra Energy and Cheniere Energy.
Coterra Energy: It is an independent upstream operator primarily engaged in the exploration, development and production of natural gas. Headquartered in Houston, TX, the firm owns some 183,000 net acres in the gas-producing Marcellus Shale of the Appalachian Basin. This Zacks Rank #3 (Hold) company churned out an average of 2,262.7 million cubic feet on a daily basis from these assets in 2023.
Coterra beat the Zacks Consensus Estimate for earnings in three of the trailing four quarters and missed in the other, the average being 9.8%. Valued at around $21 billion, CTRA has risen 8.9% in a year.
Cheniere Energy: Being the first company to receive regulatory approval to export LNG from its 2.6 billion cubic feet per day Sabine Pass terminal, Cheniere Energy enjoys a distinct competitive advantage.
Cheniere Energy beat the Zacks Consensus Estimate for earnings in two of the last four quarters and missed in the other two. This #3 Ranked natural gas exporter has a trailing four-quarter earnings surprise of roughly 58.9%, on average. LNG shares have moved up 11.3% in a year.
<a href="https://www.zacks.com/stock/news/2276137/why-did-u-s-natural-gas-prices-move-up-16-6-last-week?cid=CS-BENZ-FT-analyst_blog|industry_focus-2276137">To read this article on Zacks.com click here.</a>

Why Did U.S. Natural Gas Prices Move Up 16.6% Last Week?

The West Texas Intermediate (WTI) crude spot price, as tracked by the United States Oil Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/USO#NYSE">USO</a>), hovered below $80 a barrel on Monday, remaining relatively stable despite significant geopolitical developments <a href="https://www.benzinga.com/topic/middle-east">in the Middle East.</a>
Indeed, natural gas prices have experienced a substantial increase, although for different reasons. Henry Hub front-month futures for June delivery, as closely followed by the United States Natural Gas Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/UNG#NYSE">UNG</a>), surged by over 4% to $2.64/MMBTu, marking the highest level since Jan. 19, 2024.
The price has escalated by 40% since the beginning of May, making it the strongest monthly performance for natural gas since July 2022.
Chart: US Natural Gas Eyes Best Monthly Performance In Nearly Two Years
<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="495" src="https://editorial-assets.benzinga.com/wp-content/uploads/2024/05/20102635/image-80-1024x495.png" alt="" class="wp-image-345957" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2024/05/20102635/image-80-1024x495.png 1024w,https://editorial-assets.benzinga.com/wp-content/uploads/2024/05/20102635/image-80-300x145.png 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2024/05/20102635/image-80-768x372.png 768w,https://editorial-assets.benzinga.com/wp-content/uploads/2024/05/20102635/image-80-1536x743.png 1536w,https://editorial-assets.benzinga.com/wp-content/uploads/2024/05/20102635/image-80.png 1920w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure>
<h3 class="wp-block-heading">Latest Geopolitical Events In Middle East</h3>
The International Criminal Court (ICC) has requested arrest warrants for top Israeli officials, including President Benjamin Netanyahu and Defense Minister Yoav Gallant, as well as three senior Hamas leaders, a move that could potentially escalate tensions in the already volatile region.
Iran&#8217;s President Ebrahim Raisi and Foreign Minister Hossein Amirabdollahian died in a helicopter crash near the Iran-Azerbaijan border on Sunday. In response, Iran's Supreme Leader Ayatollah Ali Khamenei has appointed First Vice President Mohammad Mokhber as acting president and Ali Bagheri as acting foreign minister. Bagheri is known for his close ties to Iran's ultraconservatives, which could influence the country&#8217;s foreign policy direction.
Independent aviation analyst Alex Macheras told Al Jazeera that decades-long sanctions on Iran might have contributed to the helicopter crash, given the age and condition of Iran&#8217;s aviation fleet. The helicopter, a Bell 212, was manufactured in the U.S. decades ago and had a capacity of 15 people.
"The helicopter involved was acquired over 40 years ago… Iran is home to the world's oldest commercial aviation fleet. It is a similar scenario to those aircraft that are owned privately," Macheras noted. 
Adding to the Middle Eastern geopolitical complexity, Saudi Arabia&#8217;s Crown Prince Mohammed bin Salman has postponed a planned visit to Japan due to King Salman's health issues. The 88-year-old king is receiving treatment for lung inflammation, as reported by the Saudi state news agency. The Crown Prince's trip, originally scheduled for May 20-23, included planned meetings with Japanese Emperor Naruhito and Prime Minister Fumio Kishida.
<h3 class="wp-block-heading">Natural Gas Market Dynamics</h3>
The surge in natural gas prices can be attributed to several factors. 
<ul>
<li>Rising demand: Warmer weather forecasts have led to increased electricity consumption as power generators ramp up to meet the heightened demand for air conditioning. Weather predictions indicate that these higher temperatures will continue until May 31, further driving gas consumption.</li>
<li>Tighter production despite elevated inventories: U.S. gas production has declined by 10% in 2024. Major energy companies such as EQT Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/EQT#NYSE">EQT</a>) and Chesapeake Energy Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CHK#NASDAQ">CHK</a>) have postponed well completions and scaled back drilling operations, leading to a tighter supply. Still, according to the latest Energy Information Administration (EIA) estimates, current gas storage levels are approximately 30% higher than the seasonal average.</li>
</ul>
Read now: <a href="https://www.benzinga.com/economics/macro-economic-events/24/05/38901984/silver-rockets-to-11-year-highs-copper-hits-record-peak-gold-approaches-historic-">Silver Rockets To 11-Year Highs, Copper Hits Record Peak, Gold Approaches Historic Close: Mining Stocks&#8217; Wild Ride</a>
Photo: Shutterstock

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AMZA

CHKEL

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EPDU

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Small Cap

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How Europe Can Win the Energy War With Russia

CHESAPEAKE ENERGY CORPORATION PROVIDES 2024 FIRST QUARTER EARNINGS CONFERENCE CALL INFORMATION

CHESAPEAKE ENERGY CORPORATION REPORTS FIRST QUARTER 2024 RESULTS

SOUTHWESTERN ENERGY INVESTOR ALERT by the Former Attorney General of Louisiana: Kahn Swick & Foti, LLC Investigates Adequacy of Price and Process in Proposed Sale of Southwestern Energy Company - SWN

CHESAPEAKE ENERGY CORPORATION RELEASES 2023 SUSTAINABILITY REPORT

CHESAPEAKE ENERGY CORPORATION PROVIDES 2024 SECOND QUARTER EARNINGS CONFERENCE CALL INFORMATION

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Chesapeake Energy

Chesapeake Energy (CHK) Forecast

Chesapeake Energy (NASDAQ:CHK) Stock, Quote.Headers.trade-ideas