Celanese (CE) AI Stock Analysis

• Market Cap: $5.86B
• Dividend Yield: 2.79%
• Average Volume (3M): 2.84M
• Price to Earnings (P/E): 6.8
• Beta (1Y): 1.12
• Revenue Growth: -5.98%
• EPS Growth: -183.27%
• Country: US
• Employees: 11,000
• Sector: Basic Materials
• Sector Strength: 63
• Industry: Chemicals
• EPS (TTM): 0.57
• Shares Outstanding: 109,407,364
• 10 Day Avg. Volume: 2,049,884
• 30 Day Avg. Volume: 2,836,585
• PEG Ratio: 0.36
• Price to Book (P/B): 1.08
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 9.28
• Enterprise Value/Market Cap: 0.91
• Enterprise Value/Revenue: 0.13
• Enterprise Value/Gross Profit: 2.38
• Enterprise Value/Ebitda: 1.00
• 1Y Price Target: $57.81
• Price Target Upside: 7.94% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 16

• Rating: 56 Neutral
• Price Target: $56.00 ▲( 4.56% Upside)

Celanese's overall score reflects significant financial challenges with declining revenue and profitability pressures. However, strong cash flow management and positive momentum in cost reduction efforts provide stability. Technical indicators suggest cautious optimism, but valuation concerns persist due to negative earnings. Recent corporate changes could positively impact long-term strategic execution.

Positive Factors

Analyst Rating

The rating on CE has been raised from Underperform to Market Perform, indicating an improved outlook.

Asset Sales

Management's plan to sell Micromax and other assets could generate significant proceeds, helping to reduce leverage faster.

Financial Performance

The company's 1Q results topped expectations and the Q2 guidance was significantly better than expected.

Negative Factors

Acquisition Impact

CE has struggled since the acquisition of the M&M business, leading to a focus on 'cash at all cost' mode at the expense of earnings and equity holders.

Debt Levels

CE has struggled due to significant debt and macroeconomic uncertainty, affecting its financial performance.

Market Uncertainty

CE faces risks due to macro and end-market uncertainty, compounded by significant debt.

Celanese Business Overview & Revenue Model

Company Description

Celanese Corporation, a technology and specialty materials company, manufactures and sells high performance engineered polymers in the United States and internationally. The company operates through three segments: Engineered Materials, Acetate Tow, and Acetyl Chain. The Engineered Materials segment develops, produces, and supplies specialty polymers for automotive and medical applications, as well as for use in industrial products and consumer electronics. It also offers acesulfame potassium, a sweetener for use in various beverages, confections, and dairy products; and food protection ingredients, such as potassium sorbate and sorbic acid for use in foods, beverages, and personal care products. The Acetate Tow segment provides acetate tows and flakes for use in filter products applications. The Acetyl Chain segment produces and supplies acetyl products, including acetic acid, vinyl acetate monomers, acetic anhydride, and acetate esters that are used as starting materials for colorants, paints, adhesives, coatings, and pharmaceuticals; and organic solvents and intermediates for pharmaceutical, agricultural, and chemical products. It also offers vinyl acetate-based emulsions for use in paints and coatings, adhesives, construction, glass fiber, textiles, and paper applications; and ethylene vinyl acetate resins and compounds, as well as low-density polyethylene for use in flexible packaging films, lamination film products, hot melt adhesives, automotive parts, and carpeting applications. In addition, it manufactures ultra-high molecular weight polyethylene. Celanese Corporation was founded in 1918 and is headquartered in Irving, Texas.

How the Company Makes Money

Celanese makes money primarily through the production and sale of acetyl products and engineered materials. The Acetyl Chain segment, which includes acetic acid, vinyl acetate monomer, and other acetyl derivatives, generates revenue by serving as a key supplier to various industries like paints, coatings, adhesives, and pharmaceuticals. The Materials Solutions segment provides high-performance engineering polymers and thermoplastics used in automotive, electronics, and medical applications. The company leverages its global manufacturing footprint and research and development capabilities to innovate and meet customer demands. Additionally, strategic partnerships and long-term contracts with major industrial players contribute significantly to Celanese's earnings, providing a stable revenue stream.

Celanese Financial Statement Overview

Summary

Celanese faces financial headwinds with declining revenue and profitability pressures. The company's cash flow management remains a relative strength, providing some stability amidst operational challenges. However, significant attention is needed to address income statement weaknesses and drive future growth.

Income Statement

The income statement shows a challenging environment for Celanese, with declining revenue and significant losses. Gross profit margin remains positive at 22.33% for TTM, but net profit margin is negative due to substantial net losses. Revenue growth has been negative recently, indicating a downturn in top-line performance. The negative EBIT and EBITDA margins further highlight operational inefficiencies.

Balance Sheet

Celanese's balance sheet reflects a mixed performance. The debt-to-equity ratio has improved to 0.13 in the TTM period, suggesting better capital structure management. However, the return on equity is negative due to net losses. The equity ratio stands at 22.35%, indicating a moderate level of equity financing compared to total assets.

Cash Flow

Cash flow analysis shows stability with a positive operating cash flow to net income ratio, indicating efficient cash generation despite net losses. Free cash flow growth rate has been positive recently, which is a good sign. The ability to generate free cash flow despite adverse income statement figures provides some comfort regarding liquidity.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
10.06B	10.28B	10.94B	9.67B	8.54B	5.66B
	Gross Profit
2.25B	2.36B	2.60B	2.38B	2.68B	1.29B
	EBIT
-668.00M	-697.00M	1.69B	1.38B	1.95B	664.00M
	EBITDA
90.00M	456.00M	2.61B	2.29B	2.72B	2.71B
	Net Income Common Stockholders
-1.66B	-1.52B	1.96B	1.89B	1.89B	1.99B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
951.00M	962.00M	1.80B	1.51B	546.00M	1.49B
	Total Assets
23.20B	22.86B	26.60B	26.27B	11.97B	10.91B
	Total Debt
690.00M	12.95B	14.10B	15.04B	4.17B	3.93B
	Net Debt
-261.00M	11.99B	12.29B	13.54B	3.63B	2.98B
	Total Liabilities
17.58B	17.25B	19.05B	20.17B	7.44B	7.01B
	Stockholders Equity
5.19B	5.17B	7.09B	5.64B	4.19B	3.53B
Cash Flow		Free Cash Flow
604.00M	531.00M	1.33B	1.28B	1.29B	486.00M
	Operating Cash Flow
902.00M	966.00M	1.90B	1.82B	1.76B	850.00M
	Investing Cash Flow
-417.00M	-470.00M	-134.00M	-11.14B	-1.12B	592.00M
	Financing Cash Flow
-1.01B	-1.31B	-1.46B	10.29B	-1.04B	-1.47B

Celanese Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 53.56
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CE, the sentiment is Positive. The current price of 53.56 is above the 20-day moving average (MA) of 49.56, above the 50-day MA of 49.14, and below the 200-day MA of 82.62, indicating a neutral trend. The MACD of 1.88 indicates Negative momentum. The RSI at 60.07 is Neutral, neither overbought nor oversold. The STOCH value of 40.12 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CE.

Celanese Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WLKP	72 Outperform	$794.28M	15.13	10.22%	8.39%	-6.76%	-3.19%
DOW	61 Neutral	$20.27B	71.66	1.60%	9.74%	-2.08%	-76.11%
CE	56 Neutral	$5.86B	6.84	-26.94%	2.79%	-5.98%	-183.27%
HUN	54 Neutral	$2.02B	―	-4.46%	8.53%	0.02%	-43.65%
Sector *	50 Neutral	$1.98B	-1.07	-21.34%	3.71%	2.03%	-30.65%
TROX	48 Neutral	$785.97M	―	-8.44%	10.08%	4.15%	57.25%
BAK	41 Neutral	$1.52B	―	-8638.28%	―	0.81%	-34.74%

Celanese Corporate Events

Celanese Shareholders Approve Key Governance Amendments

During the 2025 Annual Meeting, Celanese shareholders voted on several key proposals including the election of thirteen directors, ratification of KPMG LLP as the independent auditor, and approval of executive compensation. Additionally, shareholders approved amendments to the company’s Charter and By-laws, allowing for changes by majority vote, filling of open Board seats at special meetings, and removal of directors by majority vote. These decisions reflect a significant alignment with shareholder interests and could influence the company’s governance structure and operational flexibility.

The most recent analyst rating on (CE) stock is a Hold with a $66.00 price target. To see the full list of analyst forecasts on Celanese stock, see the CE Stock Forecast page.

Celanese to Present Q1 2025 Financial Results

On May 6, 2025, Celanese Corporation, led by CEO Scott A. Richardson, will present its first quarter 2025 financial results to investors and analysts via a webcast. The presentation will include insights into the company’s financial performance, utilizing both US GAAP and Non-US GAAP financial measures, which are defined and reconciled in accompanying documents available on their website.