CELANESE CORP (CE) Stock Fundamental Analysis
USA - NYSE:CE - US1508701034 - Common Stock
40.19 USD
+0.21 (+0.53%)
40.19 USD
0 (0%)
CE gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 83 industry peers in the Chemicals industry. CE has a bad profitability rating. Also its financial health evaluation is rather negative. CE is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
CE had positive earnings in the past year.
In the past year CE had a positive cash flow from operations.
CE had positive earnings in 4 of the past 5 years.
Each year in the past 5 years CE had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of -6.83%, CE is not doing good in the industry: 75.90% of the companies in the same industry are doing better.
CE has a worse Return On Equity (-30.71%) than 77.11% of its industry peers.
With a Return On Invested Capital value of 3.49%, CE perfoms like the industry average, outperforming 45.78% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for CE is in line with the industry average of 6.30%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -6.83% | ||
| ROE | -30.71% | ||
| ROIC | 3.49% |
ROA(3y)2.64%
ROA(5y)8.38%
ROE(3y)10.61%
ROE(5y)26.65%
ROIC(3y)4.41%
ROIC(5y)7.05%
1.3 Margins
Looking at the Operating Margin, with a value of 9.38%, CE is in line with its industry, outperforming 53.01% of the companies in the same industry.
CE's Operating Margin has declined in the last couple of years.
CE has a Gross Margin of 21.85%. This is in the lower half of the industry: CE underperforms 60.24% of its industry peers.
In the last couple of years the Gross Margin of CE has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.38% | ||
| PM (TTM) | N/A | ||
| GM | 21.85% |
OM growth 3Y-23.69%
OM growth 5Y-9.25%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-9.98%
GM growth 5Y-2.12%
2. Health
2.1 Basic Checks
CE has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, CE has more shares outstanding
The number of shares outstanding for CE has been reduced compared to 5 years ago.
The debt/assets ratio for CE is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.50, we must say that CE is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.50, CE is not doing good in the industry: 67.47% of the companies in the same industry are doing better.
CE has a debt to FCF ratio of 20.48. This is a negative value and a sign of low solvency as CE would need 20.48 years to pay back of all of its debts.
CE's Debt to FCF ratio of 20.48 is in line compared to the rest of the industry. CE outperforms 49.40% of its industry peers.
CE has a Debt/Equity ratio of 2.43. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 2.43, CE is not doing good in the industry: 84.34% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.43 | ||
| Debt/FCF | 20.48 | ||
| Altman-Z | 1.5 |
ROIC/WACC0.49
WACC7.08%
2.3 Liquidity
A Current Ratio of 2.05 indicates that CE has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.05, CE is in line with its industry, outperforming 51.81% of the companies in the same industry.
CE has a Quick Ratio of 1.22. This is a normal value and indicates that CE is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.22, CE is in line with its industry, outperforming 46.99% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.05 | ||
| Quick Ratio | 1.22 |
3. Growth
3.1 Past
The earnings per share for CE have decreased strongly by -35.87% in the last year.
CE shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -2.59% yearly.
The Revenue has decreased by -5.83% in the past year.
CE shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.30% yearly.
EPS 1Y (TTM)-35.87%
EPS 3Y-22.89%
EPS 5Y-2.59%
EPS Q2Q%-39.5%
Revenue 1Y (TTM)-5.83%
Revenue growth 3Y6.39%
Revenue growth 5Y10.3%
Sales Q2Q%-4.49%
3.2 Future
The Earnings Per Share is expected to grow by 5.09% on average over the next years.
Based on estimates for the next years, CE will show a small growth in Revenue. The Revenue will grow by 0.51% on average per year.
EPS Next Y-46.21%
EPS Next 2Y-14.08%
EPS Next 3Y-2.21%
EPS Next 5Y5.09%
Revenue Next Year-5.33%
Revenue Next 2Y-1.6%
Revenue Next 3Y0.13%
Revenue Next 5Y0.51%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
Based on the Price/Earnings ratio of 6.81, the valuation of CE can be described as very cheap.
Based on the Price/Earnings ratio, CE is valued cheaper than 91.57% of the companies in the same industry.
CE is valuated cheaply when we compare the Price/Earnings ratio to 27.40, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 6.52, which indicates a rather cheap valuation of CE.
CE's Price/Forward Earnings ratio is rather cheap when compared to the industry. CE is cheaper than 91.57% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.94. CE is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.81 | ||
| Fwd PE | 6.52 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CE is valued a bit cheaper than 60.24% of the companies in the same industry.
92.77% of the companies in the same industry are more expensive than CE, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.96 | ||
| EV/EBITDA | 9.33 |
4.3 Compensation for Growth
A cheap valuation may be justified as CE's earnings are expected to decrease with -2.21% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-14.08%
EPS Next 3Y-2.21%
5. Dividend
5.1 Amount
With a yearly dividend of 0.28%, CE is not a good candidate for dividend investing.
In the last 3 months the price of CE has falen by -29.87%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
CE's Dividend Yield is slightly below the industry average, which is at 3.69.
Compared to an average S&P500 Dividend Yield of 2.38, CE's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.28% |
5.2 History
The dividend of CE has a limited annual growth rate of 3.06%.
CE has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of CE decreased recently.
Dividend Growth(5Y)3.06%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
The earnings of CE are negative and hence is the payout ratio. CE will probably not be able to sustain this dividend level.
CE's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP-9.81%
EPS Next 2Y-14.08%
EPS Next 3Y-2.21%
40.19
+0.21 (+0.53%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners107.4%
Inst Owner Change0.5%
Ins Owners0.27%
Ins Owner Change2.52%
Market Cap4.40B
Analysts71.54
Price Target55.66 (38.49%)
Short Float %6.94%
Short Ratio3.33
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.28% |
Yearly Dividend2.81
Dividend Growth(5Y)3.06%
DP-9.81%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)22.13%
Min EPS beat(2)-0.14%
Max EPS beat(2)44.41%
EPS beat(4)2
Avg EPS beat(4)11.14%
Min EPS beat(4)-16.92%
Max EPS beat(4)44.41%
EPS beat(8)4
Avg EPS beat(8)4.27%
EPS beat(12)5
Avg EPS beat(12)1.38%
EPS beat(16)7
Avg EPS beat(16)2.17%
Revenue beat(2)1
Avg Revenue beat(2)0.76%
Min Revenue beat(2)-1.36%
Max Revenue beat(2)2.89%
Revenue beat(4)1
Avg Revenue beat(4)-1.52%
Min Revenue beat(4)-4.71%
Max Revenue beat(4)2.89%
Revenue beat(8)1
Avg Revenue beat(8)-3.21%
Revenue beat(12)1
Avg Revenue beat(12)-3.57%
Revenue beat(16)4
Avg Revenue beat(16)-2.02%
PT rev (1m)-0.46%
PT rev (3m)-9.34%
EPS NQ rev (1m)-0.48%
EPS NQ rev (3m)-28.39%
EPS NY rev (1m)-0.4%
EPS NY rev (3m)-13.78%
Revenue NQ rev (1m)-0.16%
Revenue NQ rev (3m)-2.54%
Revenue NY rev (1m)-0.14%
Revenue NY rev (3m)-1.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.81 | ||
| Fwd PE | 6.52 | ||
| P/S | 0.44 | ||
| P/FCF | 6.96 | ||
| P/OCF | 4.31 | ||
| P/B | 0.83 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.33 |
EPS(TTM)5.9
EY14.68%
EPS(NY)6.16
Fwd EY15.34%
FCF(TTM)5.77
FCFY14.36%
OCF(TTM)9.32
OCFY23.18%
SpS90.77
BVpS48.18
TBVpS-36.18
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -6.83% | ||
| ROE | -30.71% | ||
| ROCE | 4.45% | ||
| ROIC | 3.49% | ||
| ROICexc | 3.7% | ||
| ROICexgc | 6.89% | ||
| OM | 9.38% | ||
| PM (TTM) | N/A | ||
| GM | 21.85% | ||
| FCFM | 6.36% |
ROA(3y)2.64%
ROA(5y)8.38%
ROE(3y)10.61%
ROE(5y)26.65%
ROIC(3y)4.41%
ROIC(5y)7.05%
ROICexc(3y)4.72%
ROICexc(5y)7.67%
ROICexgc(3y)9.71%
ROICexgc(5y)12.05%
ROCE(3y)5.7%
ROCE(5y)9.11%
ROICexcg growth 3Y-25.53%
ROICexcg growth 5Y-7.04%
ROICexc growth 3Y-35.3%
ROICexc growth 5Y-15.71%
OM growth 3Y-23.69%
OM growth 5Y-9.25%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-9.98%
GM growth 5Y-2.12%
F-Score4
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.43 | ||
| Debt/FCF | 20.48 | ||
| Debt/EBITDA | 7.49 | ||
| Cap/Depr | 49.62% | ||
| Cap/Sales | 3.9% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 59.51% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.05 | ||
| Quick Ratio | 1.22 | ||
| Altman-Z | 1.5 |
F-Score4
WACC7.08%
ROIC/WACC0.49
Cap/Depr(3y)81.1%
Cap/Depr(5y)93.82%
Cap/Sales(3y)5.01%
Cap/Sales(5y)5.39%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-35.87%
EPS 3Y-22.89%
EPS 5Y-2.59%
EPS Q2Q%-39.5%
EPS Next Y-46.21%
EPS Next 2Y-14.08%
EPS Next 3Y-2.21%
EPS Next 5Y5.09%
Revenue 1Y (TTM)-5.83%
Revenue growth 3Y6.39%
Revenue growth 5Y10.3%
Sales Q2Q%-4.49%
Revenue Next Year-5.33%
Revenue Next 2Y-1.6%
Revenue Next 3Y0.13%
Revenue Next 5Y0.51%
EBIT growth 1Y-19.24%
EBIT growth 3Y-18.82%
EBIT growth 5Y0.1%
EBIT Next Year22.28%
EBIT Next 3Y12.65%
EBIT Next 5Y9.93%
FCF growth 1Y-41.64%
FCF growth 3Y-25.61%
FCF growth 5Y-13.3%
OCF growth 1Y-39.07%
OCF growth 3Y-18.08%
OCF growth 5Y-7.85%