Monday, November 8, 2010

Chesapeake Energy (NYSE:CHK) Continues to Struggle with Low Natural Gas Prices

Struggling in the midst of depressed natural gas prices, Chesapeake Energy (NYSE:CHK) has its rating downgraded by BMO Capital from "Outperform" to "Market Perform."

Over the last six months Chesapeake has dropped in share price, and over the last several months they've pretty much remained level.

Chesapeake closed Friday at $22.27, losing $0.02, or 0.09 percent. BMO dropped their price target on them from $30 to $26.

A growing number of natural gas companies have looked to the oil sector to drive up margins and earnings in the tough natural gas conditions, which have far too much supply at this time, and probably will have for years.

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