Published on 8 Apr 2024 on Simply Wall St. via Yahoo Finance
Are Investors Undervaluing Chesapeake Utilities Corporation (NYSE:CPK) By 31%?
Key Insights
The projected fair value for Chesapeake Utilities is US$149 based on 2 Stage Free Cash Flow to EquityCurrent share price of US$103 suggests Chesapeake Utilities is potentially 31% undervalued Analyst price target for CPK is US$124 which is 17% below our fair value estimate
Today we will run through one way of estimating the intrinsic value of Chesapeake Utilities Corporation (NYSE:CPK) by taking the expected future cash flows and discounting them to their present value. One way to achieve this is by employing the Discounted Cash Flow (DCF) model. Before you think you won't be able to understand it, just read on! It's actually much less complex than you'd imagine.