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Yep we have a seller here...Chesapeake Energy Stock's Biggest Holder Just Made a Huge Sale -- Barrons.comToday 6:59 AM ET (Dow Jones)Print By Ed Lin Chesapeake stock has gained exactly one dollar to $3.10 so far in 2019, but that is a 48% surge in value. Shares tumbled 47% last year to end 2018 at $2.10. Barron's noted that Chesapeake insiders were buying stock in late December, at average per-share prices as low as $2.02. The company's shares have climbed on higher oil prices and on Chesapeake's strong outlook. Private-equity firm NGP Energy Capital Management found itself as Chesapeake's largest holder as of Feb. 1, when Chesapeake closed the acquisition of NGP portfolio company WildHorse Resource Development. WildHorse equity held by NGP subsidiaries was exchanged for a total of 317.3 million Chesapeake shares, giving NGP a 19.4% stake. NGP trimmed that large position last week, and NGP subsidiaries sold a total of 5.9 million Chesapeake shares on March 20 and 21 for $19.5 million, an average per-share price of $3.29. According to a form NGP filed with the Securities and Exchange Commission, it now owns a total of 311.4 million Chesapeake shares. That is a 19.3% stake in Chesapeake stock, according to S&P Capital IQ. NGP and Chesapeake didn't respond to requests for comment on the stock sale. According to S&P Capital IQ, NGP's sale was the largest on the open market of Chesapeake stock by an insider or large investor since September 2016, when entities controlled by Carl Icahn sold $270 million in shares. Icahn is no longer a Chesapeake shareholder. Wall Street is decidedly on the sidelines about Chesapeake stock. A survey of 24 analysts as of Monday has a consensus rating of Hold on the shares, according to S&P Capital IQ. Raymond James analyst John Freeman is bucking his peers by being bullish on the stock with an Outperform rating. In a March 18 report, Freeman edged up the target price of Chesapeake stock to $4.50 from $4. The analyst noted that the integration of WildHorse assets "looks to be progressing well," and that Chesapeake "has a good chance of being roughly cash flow neutral in 2020, a very positive step." Write to Ed Lin at edward.lin@barrons.com and follow @BarronsEdLin. (END) Dow Jones Newswires |
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Msg # | Subject | Author | Recs | Date Posted |
71425 | Re: Yep we have a seller here... | movin_on_again | 0 | 3/27/2019 8:08:27 AM |