Avient (AVNT) AI Stock Analysis

• Market Cap: $3.28B
• Dividend Yield: 2.92%
• Average Volume (3M): 598.32K
• Price to Earnings (P/E): 33.2
• Beta (1Y): 1.43
• Revenue Growth: 3.58%
• EPS Growth: -5.17%
• Country: US
• Employees: 9,200
• Sector: Basic Materials
• Sector Strength: 64
• Industry: Chemicals - Specialty
• EPS (TTM): 0.76
• Shares Outstanding: 91,532,720
• 10 Day Avg. Volume: 461,947
• 30 Day Avg. Volume: 598,320
• PEG Ratio: 1.48
• Price to Book (P/B): 1.44
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 24.97
• Enterprise Value/Market Cap: 1.51
• Enterprise Value/Revenue: 0.39
• Enterprise Value/Gross Profit: 4.71
• Enterprise Value/Ebitda: 2.28
• 1Y Price Target: $41.50
• Price Target Upside: 15.66% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 4

• Rating: 72 Outperform
• Price Target: $40.00 ▲( 11.48% Upside)

Avient's overall stock score reflects stable financial health and consistent growth in key regions, balanced by valuation concerns and challenges in North America. Strong cash flow and proactive management strategies enhance its potential, although profitability pressures and market conditions present some risks.

Positive Factors

Debt Management

AVNT plans to pay down $100-200 million of debt by year-end due to strong expected free cash flow.

Innovation and Growth

A sustained innovation cycle could support a stretch target of EBITDA margins of 25%-30%, with potential share price implications.

Market Expansion

AVNT sees growth in packaging, defense, and healthcare markets as positive drivers.

Negative Factors

Economic Conditions

Concerns over end-market headwinds will likely overshadow improving mix near-term.

Foreign Exchange

FX headwinds are expected to be a $15MM headwind to EBITDA for the year.

Tax Rates

A higher than previously modeled tax rate is anticipated, impacting financial estimates.

Avient Business Overview & Revenue Model

Company Description

Avient Corporation (AVNT) is a global provider of specialized and sustainable material solutions, primarily serving the plastics and polymer industries. The company operates in sectors including healthcare, packaging, consumer goods, and transportation, offering a broad range of products such as color and additive systems, specialty engineered materials, and thermoplastic resins. Avient is committed to innovation and sustainability, focusing on developing materials that improve performance while reducing environmental impact.

How the Company Makes Money

Avient Corporation makes money through the manufacturing and sale of high-performance materials and solutions tailored to customer specifications across various industries. The company's primary revenue streams include sales of its color and additives products, specialty engineered materials, and distribution services. Avient benefits from its global reach, serving a diverse customer base that spans multiple sectors, which helps mitigate risks associated with reliance on a single market. Strategic partnerships and collaborations with industry leaders enable Avient to leverage cutting-edge technologies and enhance its product offerings, further driving revenue growth. Additionally, the company's focus on innovation and sustainability attracts customers seeking environmentally friendly solutions, contributing to its earnings.

Avient Financial Statement Overview

Summary

Avient demonstrates stable revenue growth and improved profit margins, with a strong equity base and solid cash flow generation. The company effectively manages operational efficiency, reflected in improved EBIT and gross profit margins, although there is room for enhancing free cash flow.

Income Statement

Avient demonstrates stable revenue growth with a 3.11% increase from 2023 to 2024, indicating a positive growth trajectory. The gross profit margin improved to 32.60%, reflecting effective cost management. The net profit margin of 5.23% shows profitability, though there's room for enhancement. The EBIT margin increased to 10.16%, showing operational efficiency. Overall, the income statement indicates a robust performance with potential for further profit margin improvements.

Balance Sheet

The company's debt-to-equity ratio of 0.89 reflects moderate leverage, which is manageable but should be monitored. Avient's return on equity improved to 7.27%, indicating efficient equity usage to generate profits. The equity ratio of 40.08% shows a strong equity base. While the balance sheet is stable, maintaining or improving equity levels could bolster financial strength.

Cash Flow

Operating cash flow improved, showing a 27.38% increase, highlighting better cash generation from operations. The free cash flow to net income ratio of 0.80 suggests a strong capacity to convert income into cash flow, though there is scope to enhance free cash flow growth. Overall, cash flow is solid but could benefit from further growth in free cash flow.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
3.24B	3.14B	3.40B	4.82B	3.24B
	Gross Profit
1.06B	902.70M	882.70M	1.10B	784.30M
	EBIT
329.30M	221.50M	183.60M	381.20M	189.30M
	EBITDA
510.10M	391.40M	427.20M	472.90M	352.90M
	Net Income Common Stockholders
169.50M	75.70M	83.10M	230.80M	131.60M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
544.50M	545.80M	641.10M	601.20M	649.50M
	Total Assets
5.81B	5.97B	6.08B	5.00B	4.87B
	Total Debt
2.15B	2.14B	2.24B	1.93B	1.95B
	Net Debt
1.60B	1.59B	1.60B	1.33B	1.30B
	Total Liabilities
3.48B	3.63B	3.73B	3.21B	3.17B
	Stockholders Equity
2.33B	2.32B	2.33B	1.77B	1.68B
Cash Flow		Free Cash Flow
134.90M	82.20M	292.90M	133.20M	157.90M
	Operating Cash Flow
256.80M	201.60M	398.40M	233.80M	221.60M
	Investing Cash Flow
-120.60M	-94.20M	-504.00M	-150.20M	-1.43B
	Financing Cash Flow
-120.90M	-201.70M	166.40M	-114.60M	982.00M

Avient Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 35.88
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AVNT, the sentiment is Negative. The current price of 35.88 is below the 20-day moving average (MA) of 36.09, above the 50-day MA of 35.41, and below the 200-day MA of 42.98, indicating a neutral trend. The MACD of 0.57 indicates Positive momentum. The RSI at 49.37 is Neutral, neither overbought nor oversold. The STOCH value of 10.19 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AVNT.

Avient Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SXT	74 Outperform	$3.99B	31.10	11.87%	1.75%	6.30%	41.01%
HWKN	73 Outperform	$2.67B	31.90	19.47%	0.55%	6.01%	12.38%
AVNT	72 Outperform	$3.28B	33.18	4.32%	2.92%	3.58%	-5.17%
IOSP	66 Neutral	$2.14B	80.83	2.21%	1.80%	-7.91%	-81.73%
FUL	65 Neutral	$2.97B	27.62	6.35%	1.65%	0.99%	-27.62%
OLN	58 Neutral	$2.25B	38.48	2.94%	4.10%	-1.13%	-81.74%
Sector *	50 Neutral	$1.99B	-1.06	-21.34%	3.71%	2.03%	-30.65%

Avient Corporate Events

Avient Elects Board and Approves Executive Compensation

At the Annual Meeting of Shareholders held on May 14, 2025, Avient Corporation announced the election of its board of directors for the upcoming year, with all nominees successfully elected. Additionally, shareholders approved the executive officer compensation and ratified Ernst & Young LLP as the independent auditor for the fiscal year ending December 31, 2025.

The most recent analyst rating on (AVNT) stock is a Buy with a $58.00 price target. To see the full list of analyst forecasts on Avient stock, see the AVNT Stock Forecast page.