Chesapeake Financial Shares (CPKF) AI Stock Analysis

• Market Cap: $111.93M
• Dividend Yield: 2.79%
• Average Volume (3M): 1.34K
• Price to Earnings (P/E): 17.0
• Beta (1Y): 0.10
• Revenue Growth: 2.69%
• EPS Growth: -28.99%
• Country: US
• Employees: 124
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 1.03
• Shares Outstanding: 4,702,823
• 10 Day Avg. Volume: 1,477
• 30 Day Avg. Volume: 1,345
• PEG Ratio: 0.63
• Price to Book (P/B): 0.81
• Price to Sales (P/S): 1.34
• P/FCF Ratio: 4.77
• Enterprise Value/Market Cap: 1.01
• Enterprise Value/Revenue: 1.44
• Enterprise Value/Gross Profit: 1.80
• Enterprise Value/Ebitda: 23.05
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 70 Outperform
• Price Target: $26.00 ▲(9.24% Upside)

Chesapeake Financial Shares has a solid financial foundation with consistent revenue growth and effective cost management. The technical indicators show a strong upward trend, although the stock appears overbought. The valuation is fair, with a reasonable P/E ratio and a decent dividend yield. Overall, the company is well-positioned for future growth, but investors should be cautious of potential short-term volatility due to overbought technical signals.

Chesapeake Financial Shares Business Overview & Revenue Model

Company Description

Chesapeake Financial Shares, Inc. operates as the bank holding company for Chesapeake Bank that provides various banking products and services in Virginia. The company accepts interest and noninterest checking, savings, and money market accounts, as well as certificates of deposit. It also offers mortgage loans, single-family residential and residential construction loans, and consumer loans; and commercial loans, including owner-occupied commercial development, retail, builders/contractors, medical, service and professional, hospitality, nonprofits, marine industry, and agricultural and seafood loans. In addition, the company provides merchant processing services, accounts receivable financing, wealth management and trust, mortgage banking, and cash management services. It operates through 16 branches, including 4 in Northern Neck, 3 in Middle Peninsula, 5 in Williamsburg, and 4 in Richmond. The company was founded in 1900 and is based in Kilmarnock, Virginia.

How the Company Makes Money

Chesapeake Financial Shares generates revenue through various channels, primarily driven by interest income from loans and advances made to customers. The company earns interest on a diverse portfolio that includes residential mortgages, commercial real estate loans, and consumer loans. Additionally, CPKF generates non-interest income from fees associated with services such as account maintenance, transaction processing, and wealth management advisory services. Significant partnerships with local businesses and community organizations enhance its market presence and customer base, contributing to its overall earnings. The company's commitment to maintaining a strong loan-to-deposit ratio also plays a critical role in sustaining its profitability.

Chesapeake Financial Shares Financial Statement Overview

Summary

Chesapeake Financial Shares demonstrates solid financial performance with consistent revenue growth, effective cost management, and strong operational cash flows. The balance sheet shows improved leverage and stable financial health, although declining cash reserves could impact liquidity.

Income Statement

Chesapeake Financial Shares has shown a consistent revenue growth, with a notable increase from 2023 to 2024. The gross profit margin is strong as gross profit equals total revenue due to the nature of financial services. The net profit margin has been stable, indicating effective cost management. EBIT margin is solid, showing the company's ability to generate profits from its operations. However, the lack of EBITDA data for 2024 prevents a complete analysis of operational efficiency.

Balance Sheet

The company maintains a healthy balance sheet with a decreasing debt-to-equity ratio indicating improved leverage management. Return on equity has been strong, reflecting good profitability relative to shareholder's equity. The equity ratio suggests a stable financial position with a decent proportion of assets financed by equity. However, the decrease in cash and cash equivalents over time might limit immediate liquidity.

Cash Flow

The operating cash flow has improved significantly, indicating strong cash generation from core operations. Free cash flow growth is positive, showing a capacity to fund operations and investments. The operating cash flow to net income ratio is healthy, suggesting effective conversion of income into cash. However, fluctuations in free cash flow to net income ratio and high investing cash outflows may pose risks.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	78.95M	68.04M	81.15M	65.26M	61.27M	51.19M
Gross Profit	63.02M	68.04M	63.11M	64.32M	58.22M	50.01M
EBITDA	4.93M	13.38M	14.61M	22.33M	18.90M	15.31M
Net Income	4.34M	11.43M	10.12M	17.63M	15.01M	11.75M
Balance Sheet
Total Assets	1.63B	1.52B	1.47B	1.33B	1.39B	1.20B
Cash, Cash Equivalents and Short-Term Investments	630.88M	31.25M	36.24M	500.09M	647.81M	523.83M
Total Debt	52.48M	25.16M	87.58M	71.13M	124.20M	55.16M
Total Liabilities	1.52B	1.41B	1.37B	1.25B	1.26B	1.08B
Stockholders Equity	116.67M	111.74M	98.54M	79.07M	126.14M	122.67M
Cash Flow
Free Cash Flow	0.00	19.10M	12.09M	25.25M	21.35M	4.30M
Operating Cash Flow	0.00	19.83M	12.23M	28.14M	24.86M	8.89M
Investing Cash Flow	0.00	-70.43M	-115.08M	-6.58M	-241.78M	-212.97M
Financing Cash Flow	0.00	45.61M	112.70M	-15.95M	168.06M	225.00M

Chesapeake Financial Shares Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 23.80
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CPKF, the sentiment is Positive. The current price of 23.8 is above the 20-day moving average (MA) of 22.81, above the 50-day MA of 22.12, and above the 200-day MA of 20.35, indicating a bullish trend. The MACD of 0.57 indicates Negative momentum. The RSI at 71.87 is Negative, neither overbought nor oversold. The STOCH value of 95.56 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CPKF.

Chesapeake Financial Shares Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CPKF	―	$111.93M	17.00	3.91%	2.79%	2.69%	-28.99%
PROV	―	$102.14M	17.28	4.68%	3.53%	0.99%	-16.23%
MGYR	―	$111.21M	11.05	8.51%	1.70%	12.08%	29.55%
Sector *	―	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
LSBK	―	$108.67M	15.72	5.94%	2.26%	2.48%	66.28%
RVSB	―	$108.93M	23.47	2.90%	1.54%	8.77%	369.81%
PBHC	―	$93.02M	84.10	2.26%	2.65%	0.84%	―