Chesapeake Utilities Corporation

AI-generated fair value estimate for this company.

Method: 10-year owner-earnings growth model: $150.2M TTM net income growing 7.9%/yr for years 1-3 (consistent with management's disclosed $7.75-$8.00 2028 EPS target vs. $6.27 TTM EPS), 5%/yr years 4-10; 7.5% discount rate (low-beta regulated utility); 3% terminal growth; no explicit net debt subtraction since rate-base growth capex is already embedded in the regulator-sanctioned earnings growth path.

Reasoning: Chesapeake is a rate-regulated utility whose retained earnings fund rate-base growth carrying a contractually allowed return, so an earnings-growth owner-earnings model anchored to management's own disclosed EPS targets is more reliable than a conventional unlevered FCF DCF that would understate value by treating growth capex as a pure cash outflow.