Chemours Company (CC) AI Stock Analysis

• Market Cap: $1.71B
• Dividend Yield: 3.07%
• Average Volume (3M): 3.83M
• Price to Earnings (P/E): 55.4
• Beta (1Y): 1.74
• Revenue Growth: -0.68%
• EPS Growth: N/A
• Country: US
• Employees: 6,000
• Sector: Basic Materials
• Sector Strength: 63
• Industry: Chemicals - Specialty
• EPS (TTM): 0.13
• Shares Outstanding: 149,674,210
• 10 Day Avg. Volume: 3,540,033
• 30 Day Avg. Volume: 3,832,723
• PEG Ratio: 10.12
• Price to Book (P/B): 4.30
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 10.64
• Enterprise Value/Market Cap: 4.38
• Enterprise Value/Revenue: 0.32
• Enterprise Value/Gross Profit: 6.78
• Enterprise Value/Ebitda: 3.01
• 1Y Price Target: $15.05
• Price Target Upside: 28.85% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 11

• Rating: 48 Neutral
• Price Target: $11.00 ▼(-5.82%Downside)

Chemours Company's overall stock score is primarily driven by significant financial difficulties and bearish technical indicators. The high P/E ratio suggests overvaluation, compounded by reduced dividend attractiveness. Positives from the earnings call, such as strategic growth initiatives, are countered by operational challenges and financial constraints.

Positive Factors

Growth Opportunities

Management expects growth driven by HFOs and regulatory changes that will increase demand for their products.

Market Outperformance

Chemours is expected to outperform the market with attractive longer-term options in its APM and TSS businesses and cost savings in the TT business.

Negative Factors

Earnings Pressure

The stock has come under pressure since earnings fell 18% as investors questioned the earnings trajectory in TSS.

Profitability Challenges

Chemours' earnings per share estimates have been revised downward, indicating potential challenges in profitability.

Chemours Company Business Overview & Revenue Model

Company Description

The Chemours Company provides performance chemicals in North America, the Asia Pacific, Europe, the Middle East, Africa, and Latin America. It operates through four segments: Titanium Technologies, Thermal & Specialized Solutions, Advanced Performance Materials, and Chemical Solutions. The Titanium Technologies segment provides TiO2 pigment under the Ti-Pure and BaiMax brands for delivering whiteness, brightness, opacity, and protection in various of applications, such as architectural and industrial coatings, flexible and rigid plastic packaging, polyvinylchloride, laminate papers used for furniture and building materials, coated paper, and coated paperboard used for packaging. The Thermal & Specialized Solutions segment offers of refrigerants, thermal management solutions, propellants, foam blowing agents, and specialty solvents. The Advanced Performance Materials segment products portfolio includes various industrial resins, specialty products, membranes, and coatings for consumer electronics, semiconductors, digital communications, transportation, energy, oil and gas, and medical, and others applications. The Chemical Solutions segment comprises a portfolio of industrial chemicals used as raw materials and catalysts for gold production, clean and disinfect, oil and gas, water treatment, electronics, and automotive applications. The company sells its products through direct and indirect channels, as well as through a network of resellers and distributors. The Chemours Company was founded in 2014 and is headquartered in Wilmington, Delaware.

How the Company Makes Money

Chemours Company generates revenue through the sale of its chemical products to a diverse range of industries. The company's income streams are primarily derived from three segments: Titanium Technologies, Thermal & Specialized Solutions, and Advanced Performance Materials. The Titanium Technologies segment, which produces titanium dioxide used in coatings, plastics, and laminates, is a major revenue driver. The Thermal & Specialized Solutions segment focuses on refrigerants and industrial solutions, while Advanced Performance Materials offers high-performance polymers. Chemours maintains strategic partnerships and collaborations with key industrial clients, which enhance its market presence and drive sales. Additionally, the company benefits from its strong global distribution network, enabling it to efficiently reach a wide customer base and sustain its revenue growth.

Chemours Company Financial Statement Overview

Summary

Chemours Company is struggling with profitability and high leverage. The income statement shows declining margins, the balance sheet indicates significant financial risk due to high debt, and cash flows are negative, indicating liquidity issues.

Income Statement

Chemours Company's revenue has shown volatility with a slight increase in the TTM. Gross profit margin has decreased to 19% from previous highs, indicating pressure on cost management. Net profit margin is notably low at 0.53% TTM, suggesting weak profitability. EBIT and EBITDA margins have decreased, reflecting operational challenges. Overall, the income statement reveals challenges in maintaining profitability and controlling costs.

Balance Sheet

The company's balance sheet shows a high debt-to-equity ratio of 7.57 TTM, indicating significant leverage and potential financial risk. The equity ratio has dropped to 7.83%, showing weakened equity base relative to total assets. Return on equity is only 5.35% TTM, reflecting limited returns for shareholders. Overall, the balance sheet indicates high leverage and decreased equity strength.

Cash Flow

Chemours Company is facing cash flow difficulties, with negative operating cash flow and free cash flow in the TTM. Free cash flow growth rate is negative, contributing to liquidity concerns. The operating cash flow to net income ratio is also negative, indicating cash flow challenges in relation to profitability. Overall, cash flow management is a significant issue for the company.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.80B	5.78B	6.03B	6.79B	6.34B	4.97B
Gross Profit	1.10B	1.15B	1.31B	1.62B	1.38B	1.07B
EBITDA	640.00M	692.00M	197.00M	1.20B	1.21B	767.00M
Net Income	31.00M	86.00M	-238.00M	578.00M	608.00M	219.00M
Balance Sheet
Total Assets	7.39B	7.51B	8.25B	7.64B	7.55B	7.08B
Cash, Cash Equivalents and Short-Term Investments	464.00M	713.00M	1.20B	1.10B	1.45B	1.10B
Total Debt	4.38B	4.36B	4.30B	3.81B	3.93B	4.28B
Total Liabilities	6.81B	6.91B	7.51B	6.53B	6.47B	6.27B
Stockholders Equity	579.00M	604.00M	737.00M	1.11B	1.08B	813.00M
Cash Flow
Free Cash Flow	-797.00M	-993.00M	186.00M	447.00M	543.00M	540.00M
Operating Cash Flow	-455.00M	-633.00M	556.00M	754.00M	820.00M	807.00M
Investing Cash Flow	-338.00M	-353.00M	-229.00M	-284.00M	220.00M	-234.00M
Financing Cash Flow	-39.00M	-36.00M	172.00M	-685.00M	-560.00M	-449.00M

Chemours Company Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 11.68
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CC, the sentiment is Positive. The current price of 11.68 is above the 20-day moving average (MA) of 10.93, above the 50-day MA of 11.21, and below the 200-day MA of 15.69, indicating a neutral trend. The MACD of 0.09 indicates Negative momentum. The RSI at 57.77 is Neutral, neither overbought nor oversold. The STOCH value of 81.86 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CC.

Chemours Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AVNT	71 Outperform	$3.00B	30.31	4.32%	3.29%	3.58%	-5.17%
Sector *	70 Neutral	¥168.08B	10.80	6.37%	3.58%	3.93%	6.25%
EMN	68 Neutral	$8.79B	9.66	16.16%	4.38%	2.78%	1.50%
IOSP	63 Neutral	$2.08B	78.87	2.21%	2.01%	-7.91%	-81.73%
ALB	53 Neutral	$7.10B	―	-10.58%	2.54%	-39.34%	-500.52%
SSL	50 Neutral	$2.83B	―	-28.05%	2.00%	-4.31%	-1421.83%
CC	48 Neutral	$1.71B	55.39	4.66%	3.07%	-0.68%	―

Chemours Company Corporate Events

Chemours Company Appoints Leslie Turner to Board

On February 10, 2025, Chemours Company announced the appointment of Leslie M. Turner to its Board of Directors, effective February 19, 2025, increasing the board size from eleven to twelve members. Turner, with extensive experience in corporate governance and legal matters from her previous roles at Hershey and Coca-Cola, will serve on the Nominating and Corporate Governance Committee and the Compensation and Leadership Development Committee. This appointment is part of Chemours’ ongoing strategy to strengthen its board with diverse expertise to support its refreshed business strategy, ‘Pathway to Thrive,’ aimed at creating long-term shareholder value. Additionally, the company confirmed its 2025 Annual Meeting of Shareholders will be held on April 22, 2025, which marks a return to its regular meeting schedule.