Oppenheimer analyst Fadel Gheit weighed in with a few insights on Chesapeake Energy Corporation (NYSE:CHK) after analyzing the negative impact that low oil prices and production have had on earnings and cash flow. The analyst downgraded the stock from an Outperform to a Market Perform rating, and removed the price target (previously $22). Shares of CHK closed yesterday at $12.90, down $0.16, or -1.23%.

Gheit said, “Based on the future strip benchmark oil and gas prices, we expect CHK to report losses of $544M this year and $833M next year, or $0.48/share and $0.84/ share, respectively. We expect operating cash flow of $2.1B this year and $1.5B next year. Assuming CAPEX of $3.7B, annual dividends of ~$230M and preferred dividend of ~$220M, we expect free cash flow deficits of $2.1B and $2.7B, respectively.”

According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Fadel Gheit has a total average return of -15.3% and a 12.6% success rate. Gheit has a -43.3% average return when recommending CHK, and is ranked #3621 out of 3621 analysts.