Why Chesapeake reported a solid 3Q13 but dropped almost 8% (Part 1 of 6)
Chesapeake Energy (CHK), one of the largest independent oil and gas producers in the U.S., recently reported 3Q13 earnings and provided an operational update. The company reported earnings that were largely in line with adjusted EPS of $0.43 compared to Wall Street analysts’ expectations for the quarter of $0.42.
After having reported earnings after close on November 6, Chesapeake closed at $26.27 per share on November 7, down from $28.50 the day prior, down nearly 8% in one trading session.
Though earnings were largely in line and the company disclosed several key facts that bode positively, Chesapeake stock sold off sharply on the day. In this series, we discuss the positive news that Chesapeake released, and potential reasons why the stock may have sold off.
Browse this series on Market Realist:
- Part 2 - 1 key guidance change that should be positive for CHK’s revenues
- Part 3 - Why did Chesapeake’s 3Q13 spending come in under budget?
- Part 4 - Why Chesapeake expects to spend less on drilling oil wells
- Investment & Company Information
- Chesapeake Energy