NEW YORK (TheStreet) -- Shares of Chesapeake Energy Corp. (CHK) slipped to a 52-week low of $16.63 after U.S. crude oil futures fell below $60 a barrel for the first time in five years on oversupply fears, CNBC reports.
Deutsche Bank cut its price target on Chesapeake stock today to $24 from $26 in its 2015 E&P outlook, maintaining a "hold" rating.
The Oklahoma-based oil and gas company has "upside risks [that] include accretive divestitures, while downside risks include operational missteps that will impact cash flow and growth," analysts said.
WTI crude was down 1.72% to $59.89 per barrel as of 3:57 p.m. in New York, after hitting a session low at $59.85.
Brent and West Texas Intermediate traded near the lowest price since July 2009, as Saudi Arabia questioned the need to cut output, bolstering speculation that OPEC's biggest producer will defend market share.
Traders warned that a bottom for crude oil remained elusive after a six month selloff, CNBC added.
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."