CELANESE CORP (CE)
US1508701034 - Common Stock
We assign a fundamental rating of 5 out of 10 to CE. CE was compared to 83 industry peers in the Chemicals industry. While CE is still in line with the averages on profitability rating, there are concerns on its financial health. CE is valued quite cheap, while showing a decent growth score. This is a good combination! Finally CE also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
CE had positive earnings in the past year.
CE had a positive operating cash flow in the past year.
In the past 5 years CE has always been profitable.
In the past 5 years CE always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.21%, CE is in the better half of the industry, outperforming 65.06% of the companies in the same industry.
With a decent Return On Equity value of 14.98%, CE is doing good in the industry, outperforming 79.52% of the companies in the same industry.
The Return On Invested Capital of CE (3.96%) is comparable to the rest of the industry.
CE had an Average Return On Invested Capital over the past 3 years of 8.23%. This is in line with the industry average of 7.24%.
The last Return On Invested Capital (3.96%) for CE is well below the 3 year average (8.23%), which needs to be investigated, but indicates that CE had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.21% | ||
| ROE | 14.98% | ||
| ROIC | 3.96% |
ROA(3y)10.12%
ROA(5y)11.51%
ROE(3y)35.45%
ROE(5y)39.33%
ROIC(3y)8.23%
ROIC(5y)8.18%
1.3 Margins
CE has a better Profit Margin (10.40%) than 85.54% of its industry peers.
CE's Profit Margin has been stable in the last couple of years.
Looking at the Operating Margin, with a value of 10.50%, CE is in line with its industry, outperforming 57.83% of the companies in the same industry.
CE's Operating Margin has declined in the last couple of years.
The Gross Margin of CE (23.19%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of CE has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.5% | ||
| PM (TTM) | 10.4% | ||
| GM | 23.19% |
OM growth 3Y-4.2%
OM growth 5Y-9.74%
PM growth 3Y-20.08%
PM growth 5Y1.21%
GM growth 3Y1.34%
GM growth 5Y-2.9%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CE is still creating some value.
The number of shares outstanding for CE has been increased compared to 1 year ago.
CE has less shares outstanding than it did 5 years ago.
The debt/assets ratio for CE has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.56, we must say that CE is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of CE (1.56) is worse than 61.45% of its industry peers.
The Debt to FCF ratio of CE is 15.32, which is on the high side as it means it would take CE, 15.32 years of fcf income to pay off all of its debts.
CE has a Debt to FCF ratio of 15.32. This is comparable to the rest of the industry: CE outperforms 44.58% of its industry peers.
CE has a Debt/Equity ratio of 1.59. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.59, CE is doing worse than 81.93% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.59 | ||
| Debt/FCF | 15.32 | ||
| Altman-Z | 1.56 |
ROIC/WACC0.54
WACC7.3%
2.3 Liquidity
A Current Ratio of 1.37 indicates that CE should not have too much problems paying its short term obligations.
With a Current ratio value of 1.37, CE is not doing good in the industry: 79.52% of the companies in the same industry are doing better.
CE has a Quick Ratio of 1.37. This is a bad value and indicates that CE is not financially healthy enough and could expect problems in meeting its short term obligations.
CE has a Quick ratio of 0.76. This is amonst the worse of the industry: CE underperforms 87.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.37 | ||
| Quick Ratio | 0.76 |
3. Growth
3.1 Past
CE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 12.56%, which is quite good.
Measured over the past years, CE shows a decrease in Earnings Per Share. The EPS has been decreasing by -4.16% on average per year.
Looking at the last year, CE shows a decrease in Revenue. The Revenue has decreased by -2.24% in the last year.
The Revenue has been growing by 8.86% on average over the past years. This is quite good.
EPS 1Y (TTM)12.56%
EPS 3Y5.34%
EPS 5Y-4.16%
EPS Q2Q%-2.4%
Revenue 1Y (TTM)-2.24%
Revenue growth 3Y24.6%
Revenue growth 5Y8.86%
Sales Q2Q%-2.75%
3.2 Future
The Earnings Per Share is expected to grow by 8.71% on average over the next years. This is quite good.
The Revenue is expected to grow by 0.99% on average over the next years.
EPS Next Y-5.81%
EPS Next 2Y4.67%
EPS Next 3Y9.97%
EPS Next 5Y8.71%
Revenue Next Year-6.11%
Revenue Next 2Y-2.18%
Revenue Next 3Y0.19%
Revenue Next 5Y0.99%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 7.47, the valuation of CE can be described as very cheap.
95.18% of the companies in the same industry are more expensive than CE, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.73. CE is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 6.98, the valuation of CE can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CE indicates a rather cheap valuation: CE is cheaper than 93.98% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.83, CE is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.47 | ||
| Fwd PE | 6.98 |
4.2 Price Multiples
CE's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CE indicates a rather cheap valuation: CE is cheaper than 84.34% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.84 | ||
| EV/EBITDA | 9.96 |
4.3 Compensation for Growth
CE has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y4.67%
EPS Next 3Y9.97%
5. Dividend
5.1 Amount
CE has a Yearly Dividend Yield of 4.18%, which is a nice return.
The stock price of CE dropped by -46.22% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 3.28, CE pays a better dividend. On top of this CE pays more dividend than 84.34% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.34, CE pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.18% |
5.2 History
The dividend of CE has a limited annual growth rate of 5.80%.
CE has been paying a dividend for at least 10 years, so it has a reliable track record.
CE has decreased its dividend recently.
Dividend Growth(5Y)5.8%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
28.17% of the earnings are spent on dividend by CE. This is a low number and sustainable payout ratio.
The dividend of CE is growing, but earnings are growing more, so the dividend growth is sustainable.
DP28.17%
EPS Next 2Y4.67%
EPS Next 3Y9.97%
CELANESE CORP
NYSE:CE (12/20/2024, 8:04:00 PM)
After market: 68.25 0 (0%)68.25
+1.22 (+1.82%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners103.49%
Inst Owner Change0.17%
Ins Owners0.36%
Ins Owner Change-0.47%
Market Cap7.46B
Analysts51.72
Price Target110.62 (62.08%)
Short Float %4.35%
Short Ratio2.02
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.18% |
Dividend Growth(5Y)5.8%
DP28.17%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-15.8%
Min EPS beat(2)-16.92%
Max EPS beat(2)-14.68%
EPS beat(4)1
Avg EPS beat(4)-7.94%
Min EPS beat(4)-16.92%
Max EPS beat(4)5.55%
EPS beat(8)3
Avg EPS beat(8)-5.15%
EPS beat(12)5
Avg EPS beat(12)-2.1%
EPS beat(16)8
Avg EPS beat(16)0.89%
Revenue beat(2)0
Avg Revenue beat(2)-5.62%
Min Revenue beat(2)-6.52%
Max Revenue beat(2)-4.71%
Revenue beat(4)0
Avg Revenue beat(4)-5.06%
Min Revenue beat(4)-6.52%
Max Revenue beat(4)-3.82%
Revenue beat(8)0
Avg Revenue beat(8)-5.08%
Revenue beat(12)2
Avg Revenue beat(12)-2.87%
Revenue beat(16)6
Avg Revenue beat(16)-0.6%
PT rev (1m)-26.62%
PT rev (3m)-28.53%
EPS NQ rev (1m)-13.02%
EPS NQ rev (3m)-60.39%
EPS NY rev (1m)-2.71%
EPS NY rev (3m)-21.65%
Revenue NQ rev (1m)-2.11%
Revenue NQ rev (3m)-11.79%
Revenue NY rev (1m)-0.53%
Revenue NY rev (3m)-3.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.47 | ||
| Fwd PE | 6.98 | ||
| P/S | 0.71 | ||
| P/FCF | 8.84 | ||
| P/OCF | 5.73 | ||
| P/B | 1.03 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.96 |
EPS(TTM)9.14
EY13.39%
EPS(NY)9.77
Fwd EY14.32%
FCF(TTM)7.72
FCFY11.31%
OCF(TTM)11.91
OCFY17.45%
SpS95.86
BVpS66.54
TBVpS-32.76
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.21% | ||
| ROE | 14.98% | ||
| ROCE | 5.06% | ||
| ROIC | 3.96% | ||
| ROICexc | 4.11% | ||
| ROICexgc | 8.44% | ||
| OM | 10.5% | ||
| PM (TTM) | 10.4% | ||
| GM | 23.19% | ||
| FCFM | 8.05% |
ROA(3y)10.12%
ROA(5y)11.51%
ROE(3y)35.45%
ROE(5y)39.33%
ROIC(3y)8.23%
ROIC(5y)8.18%
ROICexc(3y)8.77%
ROICexc(5y)8.89%
ROICexgc(3y)13.97%
ROICexgc(5y)12.84%
ROCE(3y)10.7%
ROCE(5y)10.69%
ROICexcg growth 3Y0.42%
ROICexcg growth 5Y-11.83%
ROICexc growth 3Y-15.36%
ROICexc growth 5Y-20.61%
OM growth 3Y-4.2%
OM growth 5Y-9.74%
PM growth 3Y-20.08%
PM growth 5Y1.21%
GM growth 3Y1.34%
GM growth 5Y-2.9%
F-Score5
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.59 | ||
| Debt/FCF | 15.32 | ||
| Debt/EBITDA | 5.99 | ||
| Cap/Depr | 55.25% | ||
| Cap/Sales | 4.37% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 67.5% | ||
| Profit Quality | 77.43% | ||
| Current Ratio | 1.37 | ||
| Quick Ratio | 0.76 | ||
| Altman-Z | 1.56 |
F-Score5
WACC7.3%
ROIC/WACC0.54
Cap/Depr(3y)104.67%
Cap/Depr(5y)104.04%
Cap/Sales(3y)5.43%
Cap/Sales(5y)5.72%
Profit Quality(3y)67.84%
Profit Quality(5y)76.02%
High Growth Momentum
Growth
EPS 1Y (TTM)12.56%
EPS 3Y5.34%
EPS 5Y-4.16%
EPS Q2Q%-2.4%
EPS Next Y-5.81%
EPS Next 2Y4.67%
EPS Next 3Y9.97%
EPS Next 5Y8.71%
Revenue 1Y (TTM)-2.24%
Revenue growth 3Y24.6%
Revenue growth 5Y8.86%
Sales Q2Q%-2.75%
Revenue Next Year-6.11%
Revenue Next 2Y-2.18%
Revenue Next 3Y0.19%
Revenue Next 5Y0.99%
EBIT growth 1Y10.33%
EBIT growth 3Y19.37%
EBIT growth 5Y-1.74%
EBIT Next Year37.76%
EBIT Next 3Y16.6%
EBIT Next 5Y10.55%
FCF growth 1Y-35.03%
FCF growth 3Y10.78%
FCF growth 5Y1.74%
OCF growth 1Y-30.08%
OCF growth 3Y12.24%
OCF growth 5Y4.04%