Celanese downgraded to Sector Perform from Outperform at RBC Capital

RBC Capital downgraded Celanese (CE) to Sector Perform from Outperform with a price target of $56, down from $84. The company’s overexposure to auto end markets has resulted in near-term earnings headwinds from lower builds and bloated inventories throughout the chain, the analyst tells investors in a research note. The firm remains uncertain as to when Celanese’s earnings could improve significantly. It cites the company’s auto end market headwinds and high leverage for the downgrade.