Celanese Corp. (CE) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

ChampionX Corp.

Ecolab, Inc.

Albemarle Corp.

Linde Plc

NewMarket Corp.

Celanese Corp.

Avantor, Inc.

Dow, Inc.

LyondellBasell Industries NV

Air Products & Chemicals, Inc.

Westlake Corp.

Why is Celanese Corp. ?

The company has declared Negative results for the last 3 consecutive quarters

NET PROFIT(9M) At USD -110 MM has Grown at -110.12%
OPERATING CASH FLOW(Y) Lowest at USD 1,020 MM
ROCE(HY) Lowest at -25.69%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -42.29%, its profits have fallen by -104.1%

Below par performance in long term as well as near term

Along with generating -42.29% returns in the last 1 year, the stock has also underperformed S&P 500 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Celanese Corp. should be less than 10%
Overall Portfolio exposure to Specialty Chemicals should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Specialty Chemicals)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Celanese Corp. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Celanese Corp.

-43.81%

-1.12

63.31%

S&P 500

13.22%

0.64

20.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

11.88%

EBIT Growth (5y)

4.46%

EBIT to Interest (avg)

6.54

Debt to EBITDA (avg)

4.95

Net Debt to Equity (avg)

2.30

Sales to Capital Employed (avg)

0.53

Tax Ratio

42.04%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

11.64%

ROE (avg)

32.55%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

1.82

EV to EBIT

21.34

EV to EBITDA

11.97

EV to Capital Employed

1.25

EV to Sales

2.12

PEG Ratio

Dividend Yield

1.69%

ROCE (Latest)

5.85%

ROE (Latest)

-1.64%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bullish

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

10What is working for the Company

PRE-TAX PROFIT(Q)

Highest at USD 262 MM

NET PROFIT(Q)

Highest at USD 336 MM

EPS(Q)

Highest at USD 1.81

-13What is not working for the Company

NET PROFIT(9M)

At USD -110 MM has Grown at -110.12%

OPERATING CASH FLOW(Y)

Lowest at USD 1,020 MM

ROCE(HY)

Lowest at -25.69%

DIVIDEND PAYOUT RATIO(Y)

Lowest at 1.65%

RAW MATERIAL COST(Y)

Grown by 15.93% (YoY

DEBTORS TURNOVER RATIO(HY)

Lowest at 5.17 times

DIVIDEND PER SHARE(HY)

Lowest at USD 5.17

Here's what is working for Celanese Corp.

Net Profit

At USD 336 MM has Grown at 1,531.45%

over average net sales of the previous four periods of USD -23.47 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (USD MM)

Pre-Tax Profit

At USD 262 MM has Grown at 146.01%

over average net sales of the previous four periods of USD 106.5 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (USD MM)

Pre-Tax Profit

Highest at USD 262 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit

Highest at USD 336 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

EPS

Highest at USD 1.81

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Here's what is not working for Celanese Corp.

Operating Cash Flow

Lowest at USD 1,020 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Debtors Turnover Ratio

Lowest at 5.17 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Dividend per share

Lowest at USD 5.17

in the last five years

MOJO Watch

Company is distributing lower dividend than previous years

DPS (USD)

Dividend Payout Ratio

Lowest at 1.65%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Grown by 15.93% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales