J.P. Morgan analyst Jeffrey Zekauskas upgrades $Celanese Corp (CE.US)$ to a hold rating, and adjusts the target price from $156 to $92.
According to TipRanks data, the analyst has a success rate of 60.8% and a total average return of 6.5% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Celanese Corp (CE.US)$'s main analysts recently are as follows:
The expectation is that Celanese's EPS potential has been recalibrated from the peak influenced by demand and supply disruptions due to COVID in 2021, to a more consistent range projected for 2025. It is anticipated that the stock will remain mostly stable until there is more clear information regarding the broader economic conditions and the funding landscape.
The latest earnings report from Celanese has not significantly changed the perception of the company's asset quality. However, it necessitates a reassessment of the capital structure and the confidence shareholders have in the management.
The recent downgrade in performance following a 26% stock decline post-Q3 earnings did not catch the market off-guard, as the causes were anticipated. These included a swift deceleration in the automotive and industrial sectors in the Western Hemisphere, with particular stress on the European automotive market, alongside subdued demand in the paints, coatings, and construction sectors. Such trends have been consistently reported across the chemical industry this earnings season.
Note:
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Success rate is the number of the analyst's successful ratings, divided by his/her total number of ratings over the past year. A successful rating is one based on if TipRanks' virtual portfolio earned a positive return from the stock. Total average return is the average rate of return that the TipRanks' virtual portfolio has earned over the past year. These portfolios are established based on the analyst's preliminary rating and are adjusted according to the changes in the rating.
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