Education
About Us
Working with TipRanks
Follow Us
Avient (AVNT)
NYSE:AVNT
Top Page
Avient
(NYSE:AVNT)
Select Model
Select Model
Rating:63Neutral
Price Target:
$37.00
▲(7.75% Upside)
Avient's overall stock score reflects a stable financial position with strong cash flow generation, but challenges in revenue growth and operational efficiency. The technical analysis indicates a bearish trend, while the valuation suggests a premium price with a decent dividend yield. The earnings call highlighted both growth and market challenges, with proactive measures in place.
Positive Factors
Cash Flow Generation
Strong cash flow growth indicates efficient operations and provides the company with the flexibility to invest in growth opportunities and manage debt.
Debt Reduction
Reducing debt enhances financial stability and lowers interest expenses, improving long-term financial health and shareholder value.
Productivity Initiatives
Productivity improvements enhance operational efficiency, leading to better margins and profitability, supporting sustainable growth.
Negative Factors
Revenue Growth Challenges
Declining revenue growth suggests challenges in market demand and competitiveness, potentially impacting long-term growth prospects.
Market Weakness
Weak market demand in key sectors can hinder revenue growth and profitability, requiring strategic adjustments to adapt to market conditions.
Operational Efficiency Pressure
Decreasing margins indicate pressure on operational efficiency, which can affect profitability and require cost management strategies.
Avient (AVNT) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$3.14B
Dividend Yield3.48%
Average Volume (3M)702.16K
Price to Earnings (P/E)27.8
Beta (1Y)1.28
Revenue Growth1.03%
EPS Growth-24.57%
CountryUS
Employees9,200
SectorBasic Materials
Sector Strength58
IndustryChemicals - Specialty
Share Statistics
EPS (TTM)0.70
Shares Outstanding91,563,630
10 Day Avg. Volume587,109
30 Day Avg. Volume702,158
Financial Highlights & Ratios
PEG Ratio0.18
Price to Book (P/B)1.61
Price to Sales (P/S)1.15
P/FCF Ratio27.65
Enterprise Value/Market Cap1.45
Enterprise Value/Revenue1.41
Enterprise Value/Gross Profit4.37
Enterprise Value/Ebitda11.40
Forecast
1Y Price Target
$39.80Price Target Upside15.90% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering5
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Avient Business Overview & Revenue Model
Company DescriptionAvient Corporation provides specialized formulator, services, and sustainable material solutions in the United States, Canada, Mexico, Europe, South America, and Asia. It operates through three segments: Color, Additives and Inks; Specialty Engineered Materials; and Distribution. The Color, Additives and Inks segment offers specialized color and additive concentrates in solid and liquid form for thermoplastics; dispersions for thermosets; and specialty inks. This segment products are used in various markets include medical, pharmaceutical devices, food packaging, personal care, cosmetics, transportation, building products, recreational, athletic apparel, construction, filtration, outdoor furniture, healthcare, wire, and cable. The Specialty Engineered Materials segment provides specialty polymer formulations, services, and solutions for designers, assemblers, and processors of thermoplastic materials; and long glass and carbon fiber technology to thermoset and thermoplastic composites. The Distribution segment distributes approximately 4,000 grades of engineering and commodity grade resins to custom injection molders and extruders. The company sells its products through direct sales personnel, distributors, and commissioned sales agents. The company was formerly known as PolyOne Corporation and changed its name to Avient Corporation in June 2020. Avient Corporation was founded in 1885 and is headquartered in Avon Lake, Ohio.
How the Company Makes MoneyAvient generates revenue primarily through the sale of its specialized polymer products and services, which are categorized into several key segments: Color, Additives, and Engineered Materials. The company leverages its extensive expertise in materials science to develop tailored solutions that meet the unique needs of its clients, which helps to foster long-term partnerships. Additionally, Avient has made strategic acquisitions and collaborations that enhance its product offerings and market reach, contributing to consistent revenue growth. The company also focuses on sustainability initiatives, which are increasingly in demand, thus allowing it to tap into new markets and customer bases seeking eco-friendly solutions. Overall, the combination of a diverse product portfolio, strategic partnerships, and a focus on innovation are critical to Avient's revenue generation.
Avient Earnings Call Summary
Earnings Call Date:Nov 05, 2025
(Q3-2025)
| % Change Since: |
Next Earnings Date:Feb 12, 2026
Earnings Call Sentiment Neutral
The earnings call presented a mixed picture. While the company achieved notable growth in adjusted EPS, productivity gains, and resilience in certain segments, it faced challenges with weaker-than-expected sales, declines in consumer and packaging markets, and significant downturns in energy and industrial markets. The company is navigating an uncertain macroeconomic environment with proactive measures for productivity and cost management.Q3-2025 Updates
Positive Updates
Adjusted EPS Growth
Third quarter adjusted EPS of $0.70, marking a 7.7% growth year-over-year and 4.5% growth excluding foreign currency translation impact.
Productivity and Cost Management
The company realized approximately $40 million of productivity benefits in 2025, leading to a 60 basis point expansion in adjusted EBITDA margin.
Resilience in Specific Segments
Defense, healthcare, and telecommunications segments experienced high single-digit growth, expected to continue in Q4.
Debt Reduction
The company reduced total debt by $100 million year-to-date and plans to decrease debt by $150 million by the end of the year.
Innovation and Market Expansion
Growth in the Specialty Engineered Materials segment driven by innovative products in healthcare and defense.
Negative Updates
Weaker-than-Anticipated Sales
Subdued market demand in key markets led to slightly weaker-than-expected sales, affecting revenue growth.
Consumer and Packaging Market Challenges
Consumer sales were down high single digits globally, with significant weakness in Asia. Packaging demand was lower than anticipated, particularly in EMEA.
Energy Market Decline
Energy sales were down more than anticipated due to delays caused by the U.S. government's pause of Infrastructure Investment and Jobs Act funding.
Industrial and Building & Construction Weakness
Continued negative demand territory with no significant recovery expected in the fourth quarter.
Company Guidance
During the call, Avient Corporation provided guidance for the remainder of fiscal year 2025. The company expects to achieve adjusted EPS growth driven by higher margins from favorable mix and productivity initiatives, maintaining a guidance range of $2.77 to $2.87 for the full year. Despite subdued market demand, particularly in consumer and packaging sectors, Avient achieved a third-quarter adjusted EPS of $0.70, reflecting a year-over-year growth of 7.7%. The adjusted EBITDA margin expanded by 60 basis points to 16.5%, supported by productivity benefits expected to reach approximately $40 million for the year. For the fourth quarter, the company anticipates organic sales to be flat to down low single digits, influenced by potential growth in defense, health care, and telecommunications markets. The full-year adjusted EBITDA range is now projected to be $540 million to $550 million, with a focus on reducing debt by $150 million and capital expenditures of approximately $110 million.Avient Financial Statement Overview
Summary
Avient demonstrates a stable financial position with strong cash flow generation, despite challenges in revenue growth and operational efficiency. The decline in margins and revenue growth rate suggests the need for strategic adjustments to enhance profitability and growth.Income Statement
Avient's income statement shows a mixed performance. The TTM (Trailing-Twelve-Months) data indicates a decline in revenue growth rate by 26.7%, which is concerning. However, the company maintains a stable gross profit margin of 32.2% and a net profit margin of 3.5%. The EBIT and EBITDA margins have decreased compared to previous periods, indicating pressure on operational efficiency.Balance Sheet
The balance sheet reflects a moderate financial position. The debt-to-equity ratio has improved to 0.83 in the TTM, indicating a reduction in leverage. Return on equity is relatively low at 5.1%, suggesting limited profitability on shareholder investments. The equity ratio stands at 39.4%, showing a stable capital structure.Cash Flow
Cash flow analysis reveals strong free cash flow growth of 86.8% in the TTM, indicating improved cash generation. The operating cash flow to net income ratio is 2.26, suggesting efficient cash conversion. However, the free cash flow to net income ratio of 0.59 indicates room for improvement in translating earnings into cash.| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 3.25B | 3.24B | 3.14B | 3.40B | 3.32B | 3.24B |
| Gross Profit | 1.05B | 1.06B | 902.70M | 882.70M | 943.80M | 784.30M |
| EBITDA | 400.60M | 510.10M | 391.40M | 346.70M | 424.60M | 328.60M |
| Net Income | 113.30M | 169.50M | 75.70M | 703.10M | 230.80M | 131.60M |
Balance Sheet | ||||||
| Total Assets | 6.06B | 5.81B | 5.97B | 6.08B | 5.00B | 4.87B |
| Cash, Cash Equivalents and Short-Term Investments | 445.60M | 544.50M | 545.80M | 641.10M | 601.20M | 649.50M |
| Total Debt | 1.97B | 2.15B | 2.14B | 2.24B | 1.92B | 1.95B |
| Total Liabilities | 3.67B | 3.48B | 3.63B | 3.73B | 3.21B | 3.16B |
| Stockholders Equity | 2.37B | 2.31B | 2.32B | 2.33B | 1.77B | 1.70B |
Cash Flow | ||||||
| Free Cash Flow | 151.10M | 134.90M | 82.20M | 292.90M | 133.20M | 157.90M |
| Operating Cash Flow | 256.40M | 256.80M | 201.60M | 398.40M | 233.80M | 221.60M |
| Investing Cash Flow | -105.30M | -120.60M | -94.20M | -504.00M | -150.20M | -1.43B |
| Financing Cash Flow | -208.80M | -120.90M | -201.70M | 166.40M | -114.60M | 982.00M |
Avient Technical Analysis
Positive
34.34
Price Trends
30.65
Positive
32.25
Positive
32.99
Positive
Market Momentum
0.81
Negative
71.71
Negative
87.66
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AVNT, the sentiment is Positive. The current price of 34.34 is above the 20-day moving average (MA) of 31.77, above the 50-day MA of 30.65, and above the 200-day MA of 32.99, indicating a bullish trend. The MACD of 0.81 indicates Negative momentum. The RSI at 71.71 is Negative, neither overbought nor oversold. The STOCH value of 87.66 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AVNT.
Avient Risk Analysis
Avient disclosed 14 risk factors in its most recent earnings report. Avient reported the most risks in the "Macro & Political" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Avient Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
66 Neutral | $3.85B | 12.11 | 21.98% | 2.72% | -7.04% | -11.28% | |
63 Neutral | $3.14B | 27.81 | 4.79% | 3.48% | 1.03% | -24.57% | |
62 Neutral | $3.54B | 31.46 | 6.05% | 1.54% | -1.30% | -36.69% | |
62 Neutral | $4.38B | 65.94 | 7.39% | ― | 19.12% | ― | |
61 Neutral | $10.43B | 7.12 | -0.05% | 2.87% | 2.86% | -36.73% | |
58 Neutral | $3.29B | 39.91 | 17.49% | 0.50% | 11.86% | 1.99% | |
52 Neutral | $2.72B | 51.44 | 2.67% | 3.91% | 4.68% | -62.80% |
* Basic Materials Sector Average
AVNT
Avient
34.34
-4.60
-11.82%
CBT
Cabot
73.05
-14.23
-16.30%
FUL
H.B. Fuller Company
66.11
3.40
5.42%
HWKN
Hawkins
159.18
47.87
43.01%
OLN
Olin
23.27
-8.31
-26.31%
PRM
Perimeter Solutions
27.78
14.80
114.02%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.