CELANESE CORP (CE) Stock Fundamental Analysis
NYSE:CE - New York Stock Exchange, Inc. - US1508701034 - Common Stock - Currency: USD
CE gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 85 industry peers in the Chemicals industry. CE has a bad profitability rating. Also its financial health evaluation is rather negative. CE has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year CE was profitable.
CE had a positive operating cash flow in the past year.
Of the past 5 years CE 4 years were profitable.
CE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CE has a worse Return On Assets (-7.17%) than 72.94% of its industry peers.
With a Return On Equity value of -32.09%, CE is not doing good in the industry: 77.65% of the companies in the same industry are doing better.
CE's Return On Invested Capital of 3.81% is in line compared to the rest of the industry. CE outperforms 44.71% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CE is below the industry average of 6.84%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -7.17% | ||
| ROE | -32.09% | ||
| ROIC | 3.81% |
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 9.92%, CE is in line with its industry, outperforming 57.65% of the companies in the same industry.
CE's Operating Margin has declined in the last couple of years.
CE has a Gross Margin (22.65%) which 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 | 9.92% | ||
| PM (TTM) | N/A | ||
| GM | 22.65% |
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.
CE has more shares outstanding than it did 1 year ago.
CE has less shares outstanding than it did 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 1.60, we must say that CE is in the distress zone and has some risk of bankruptcy.
CE has a Altman-Z score of 1.60. This is in the lower half of the industry: CE underperforms 63.53% of its industry peers.
The Debt to FCF ratio of CE is 25.47, which is on the high side as it means it would take CE, 25.47 years of fcf income to pay off all of its debts.
CE has a Debt to FCF ratio of 25.47. This is comparable to the rest of the industry: CE outperforms 45.88% of its industry peers.
A Debt/Equity ratio of 2.45 is on the high side and indicates that CE has dependencies on debt financing.
CE has a worse Debt to Equity ratio (2.45) than 85.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.45 | ||
| Debt/FCF | 25.47 | ||
| Altman-Z | 1.6 |
ROIC/WACC0.46
WACC8.2%
2.3 Liquidity
CE has a Current Ratio of 1.94. This is a normal value and indicates that CE is financially healthy and should not expect problems in meeting its short term obligations.
CE has a Current ratio (1.94) which is in line with its industry peers.
A Quick Ratio of 1.11 indicates that CE should not have too much problems paying its short term obligations.
CE has a Quick ratio of 1.11. This is comparable to the rest of the industry: CE outperforms 44.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.94 | ||
| Quick Ratio | 1.11 |
3. Growth
3.1 Past
CE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -23.92%.
CE shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -2.59% yearly.
CE shows a decrease in Revenue. In the last year, the revenue decreased by -5.98%.
The Revenue has been growing by 10.30% on average over the past years. This is quite good.
EPS 1Y (TTM)-23.92%
EPS 3Y-22.89%
EPS 5Y-2.59%
EPS Q2Q%-72.6%
Revenue 1Y (TTM)-5.98%
Revenue growth 3Y6.39%
Revenue growth 5Y10.3%
Sales Q2Q%-8.5%
3.2 Future
CE is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.19% yearly.
Based on estimates for the next years, CE will show a small growth in Revenue. The Revenue will grow by 1.05% on average per year.
EPS Next Y-37.02%
EPS Next 2Y-8.31%
EPS Next 3Y1.86%
EPS Next 5Y7.19%
Revenue Next Year-4.35%
Revenue Next 2Y-0.52%
Revenue Next 3Y1.02%
Revenue Next 5Y1.05%
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 8.92, the valuation of CE can be described as very reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of CE indicates a rather cheap valuation: CE is cheaper than 90.59% of the companies listed in the same industry.
CE is valuated cheaply when we compare the Price/Earnings ratio to 27.41, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 8.69 indicates a reasonable valuation of CE.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CE indicates a rather cheap valuation: CE is cheaper than 88.24% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of CE to the average of the S&P500 Index (35.19), we can say CE is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.92 | ||
| Fwd PE | 8.69 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as CE.
CE's Price/Free Cash Flow ratio is rather cheap when compared to the industry. CE is cheaper than 84.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.3 | ||
| EV/EBITDA | 10.19 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-8.31%
EPS Next 3Y1.86%
5. Dividend
5.1 Amount
With a yearly dividend of 0.19%, CE is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.53, CE is paying slightly less dividend.
With a Dividend Yield of 0.19, CE pays less dividend than the S&P500 average, which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.19% |
5.2 History
The dividend of CE has a limited annual growth rate of 3.06%.
CE has been paying a dividend for at least 10 years, so it has 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-14%
EPS Next 2Y-8.31%
EPS Next 3Y1.86%
61.03
-1.36 (-2.18%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners108.54%
Inst Owner Change-0.02%
Ins Owners0.27%
Ins Owner Change2.9%
Market Cap6.68B
Analysts71.54
Price Target61.4 (0.61%)
Short Float %7.2%
Short Ratio3.57
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.19% |
Yearly Dividend2.81
Dividend Growth(5Y)3.06%
DP-14%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)30.81%
Min EPS beat(2)17.22%
Max EPS beat(2)44.41%
EPS beat(4)2
Avg EPS beat(4)7.51%
Min EPS beat(4)-16.92%
Max EPS beat(4)44.41%
EPS beat(8)4
Avg EPS beat(8)2.1%
EPS beat(12)6
Avg EPS beat(12)1.91%
EPS beat(16)8
Avg EPS beat(16)2.76%
Revenue beat(2)1
Avg Revenue beat(2)0.01%
Min Revenue beat(2)-2.87%
Max Revenue beat(2)2.89%
Revenue beat(4)1
Avg Revenue beat(4)-2.81%
Min Revenue beat(4)-6.52%
Max Revenue beat(4)2.89%
Revenue beat(8)1
Avg Revenue beat(8)-4.06%
Revenue beat(12)2
Avg Revenue beat(12)-3.36%
Revenue beat(16)5
Avg Revenue beat(16)-1.37%
PT rev (1m)-4.06%
PT rev (3m)-10.16%
EPS NQ rev (1m)-0.04%
EPS NQ rev (3m)-2.13%
EPS NY rev (1m)0.79%
EPS NY rev (3m)-7.5%
Revenue NQ rev (1m)-0.19%
Revenue NQ rev (3m)1.38%
Revenue NY rev (1m)-0.21%
Revenue NY rev (3m)0.64%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.92 | ||
| Fwd PE | 8.69 | ||
| P/S | 0.66 | ||
| P/FCF | 13.3 | ||
| P/OCF | 7.4 | ||
| P/B | 1.29 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.19 |
EPS(TTM)6.84
EY11.21%
EPS(NY)7.02
Fwd EY11.5%
FCF(TTM)4.59
FCFY7.52%
OCF(TTM)8.24
OCFY13.51%
SpS91.93
BVpS47.4
TBVpS-35.62
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -7.17% | ||
| ROE | -32.09% | ||
| ROCE | 4.89% | ||
| ROIC | 3.81% | ||
| ROICexc | 3.99% | ||
| ROICexgc | 7.38% | ||
| OM | 9.92% | ||
| PM (TTM) | N/A | ||
| GM | 22.65% | ||
| FCFM | 4.99% |
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 Turnover0.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.45 | ||
| Debt/FCF | 25.47 | ||
| Debt/EBITDA | 7.11 | ||
| Cap/Depr | 50.83% | ||
| Cap/Sales | 3.98% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 50.53% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.94 | ||
| Quick Ratio | 1.11 | ||
| Altman-Z | 1.6 |
F-Score4
WACC8.2%
ROIC/WACC0.46
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)-23.92%
EPS 3Y-22.89%
EPS 5Y-2.59%
EPS Q2Q%-72.6%
EPS Next Y-37.02%
EPS Next 2Y-8.31%
EPS Next 3Y1.86%
EPS Next 5Y7.19%
Revenue 1Y (TTM)-5.98%
Revenue growth 3Y6.39%
Revenue growth 5Y10.3%
Sales Q2Q%-8.5%
Revenue Next Year-4.35%
Revenue Next 2Y-0.52%
Revenue Next 3Y1.02%
Revenue Next 5Y1.05%
EBIT growth 1Y-14.63%
EBIT growth 3Y-18.82%
EBIT growth 5Y0.1%
EBIT Next Year26.72%
EBIT Next 3Y14.95%
EBIT Next 5Y11.2%
FCF growth 1Y-40.02%
FCF growth 3Y-25.61%
FCF growth 5Y-13.3%
OCF growth 1Y-35.89%
OCF growth 3Y-18.08%
OCF growth 5Y-7.85%