NEW YORK (TheStreet) -- Shares of Chesapeake Energy (CHK) are falling, lower by 4.55% to $17.51 in late morning trading Wednesday, after data from the Energy Information Administration showed U.S. commercial crude inventories climbed by 1.5 million barrels last week, while analysts expected a draw down of 2.2 million barrels, CNBC reports.
U.S. crude futures are down 4.15% to $61.17 per barrel as of 11:05 a.m. today.
Additionally, the Organization of Petroleum Exporting Countries lowered its projection for global demand for its oil in 2015 to the lowest in 12 years as U.S. shale supplies continue to surge amid reduced estimates for global consumption, Bloomberg reports.
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OPEC now expects demand for its oil to decline to 28.9 million barrels a day next year, down from 29.4 million barrels a day in 2014, the Wall Street Journal reports.
Separately, TheStreet Ratings team rates CHESAPEAKE ENERGY CORP as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
"We rate CHESAPEAKE ENERGY CORP (CHK) a BUY. This is driven by multiple strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its robust revenue growth, growth in earnings per share, increase in net income, reasonable valuation levels and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company shows weak operating cash flow."