Latest news with #ElementSolutions
Yahoo
4 days ago
- Business
- Yahoo
Celanese (CE) Up 9.6% Since Last Earnings Report: Can It Continue?
It has been about a month since the last earnings report for Celanese (CE). Shares have added about 9.6% in that time frame, outperforming the S&P 500. Will the recent positive trend continue leading up to its next earnings release, or is Celanese due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers. It turns out, fresh estimates have trended downward during the past month. At this time, Celanese has a subpar Growth Score of D, though it is lagging a bit on the Momentum Score front with an F. However, the stock was allocated a grade of B on the value side, putting it in the second quintile for this investment strategy. Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in. Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, Celanese has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months. Celanese is part of the Zacks Chemical - Specialty industry. Over the past month, Element Solutions (ESI), a stock from the same industry, has gained 3.3%. The company reported its results for the quarter ended March 2025 more than a month ago. Element Solutions reported revenues of $593.7 million in the last reported quarter, representing a year-over-year change of +3.3%. EPS of $0.34 for the same period compares with $0.34 a year ago. Element Solutions is expected to post earnings of $0.33 per share for the current quarter, representing a year-over-year change of -8.3%. Over the last 30 days, the Zacks Consensus Estimate has changed -0.5%. Element Solutions has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of D. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Celanese Corporation (CE) : Free Stock Analysis Report Element Solutions Inc. (ESI) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
25-05-2025
- Business
- Yahoo
Element Solutions (NYSE:ESI) Is Due To Pay A Dividend Of $0.08
The board of Element Solutions Inc (NYSE:ESI) has announced that it will pay a dividend on the 16th of June, with investors receiving $0.08 per share. This means the annual payment will be 1.5% of the current stock price, which is lower than the industry average. Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit. While yield is important, another factor to consider about a company's dividend is whether the current payout levels are feasible. However, Element Solutions' earnings easily cover the dividend. This means that most of what the business earns is being used to help it grow. The next year is set to see EPS grow by 8.5%. If the dividend continues along recent trends, we estimate the payout ratio will be 30%, which is in the range that makes us comfortable with the sustainability of the dividend. Check out our latest analysis for Element Solutions It is great to see that Element Solutions has been paying a stable dividend for a number of years now, however we want to be a bit cautious about whether this will remain true through a full economic cycle. Since 2020, the dividend has gone from $0.20 total annually to $0.32. This implies that the company grew its distributions at a yearly rate of about 9.9% over that duration. Element Solutions has a nice track record of dividend growth but we would wait until we see a longer track record before getting too confident. Some investors will be chomping at the bit to buy some of the company's stock based on its dividend history. We are encouraged to see that Element Solutions has grown earnings per share at 27% per year over the past five years. Earnings have been growing rapidly, and with a low payout ratio we think that the company could turn out to be a great dividend stock. In summary, it is good to see that the dividend is staying consistent, and we don't think there is any reason to suspect this might change over the medium term. Distributions are quite easily covered by earnings, which are also being converted to cash flows. All in all, this checks a lot of the boxes we look for when choosing an income stock. Market movements attest to how highly valued a consistent dividend policy is compared to one which is more unpredictable. However, there are other things to consider for investors when analysing stock performance. For example, we've picked out 2 warning signs for Element Solutions that investors should know about before committing capital to this stock. Looking for more high-yielding dividend ideas? Try our collection of strong dividend payers. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
16-05-2025
- Business
- Yahoo
Element Solutions' (NYSE:ESI) 17% CAGR outpaced the company's earnings growth over the same five-year period
Element Solutions Inc (NYSE:ESI) shareholders might be concerned after seeing the share price drop 15% in the last quarter. But that doesn't change the fact that shareholders have received really good returns over the last five years. We think most investors would be happy with the 102% return, over that period. We think it's more important to dwell on the long term returns than the short term returns. The more important question is whether the stock is too cheap or too expensive today. The past week has proven to be lucrative for Element Solutions investors, so let's see if fundamentals drove the company's five-year performance. We've discovered 2 warning signs about Element Solutions. View them for free. While the efficient markets hypothesis continues to be taught by some, it has been proven that markets are over-reactive dynamic systems, and investors are not always rational. By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. Over half a decade, Element Solutions managed to grow its earnings per share at 27% a year. The EPS growth is more impressive than the yearly share price gain of 15% over the same period. So it seems the market isn't so enthusiastic about the stock these days. You can see how EPS has changed over time in the image below (click on the chart to see the exact values). We know that Element Solutions has improved its bottom line lately, but is it going to grow revenue? This free report showing analyst revenue forecasts should help you figure out if the EPS growth can be sustained. It is important to consider the total shareholder return, as well as the share price return, for any given stock. The TSR is a return calculation that accounts for the value of cash dividends (assuming that any dividend received was reinvested) and the calculated value of any discounted capital raisings and spin-offs. It's fair to say that the TSR gives a more complete picture for stocks that pay a dividend. In the case of Element Solutions, it has a TSR of 115% for the last 5 years. That exceeds its share price return that we previously mentioned. And there's no prize for guessing that the dividend payments largely explain the divergence! Investors in Element Solutions had a tough year, with a total loss of 5.6% (including dividends), against a market gain of about 13%. Even the share prices of good stocks drop sometimes, but we want to see improvements in the fundamental metrics of a business, before getting too interested. On the bright side, long term shareholders have made money, with a gain of 17% per year over half a decade. If the fundamental data continues to indicate long term sustainable growth, the current sell-off could be an opportunity worth considering. It's always interesting to track share price performance over the longer term. But to understand Element Solutions better, we need to consider many other factors. Even so, be aware that Element Solutions is showing 2 warning signs in our investment analysis , you should know about... Of course Element Solutions may not be the best stock to buy. So you may wish to see this free collection of growth stocks. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on American exchanges. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
10-05-2025
- Business
- Yahoo
Element Solutions Inc (ESI): Among Billionaire Larry Robbins' Stock Picks with Huge Upside Potential
We recently published a list of Billionaire Larry Robbins' 10 Stock Picks with Huge Upside Potential. In this article, we are going to take a look at where Element Solutions Inc (NYSE:ESI) stands against other stock picks with huge upside potential. Larry Robbins is an American hedge fund manager and philanthropist who founded Glenview Capital Management in 2000. The firm manages capital for investors across a range of private investment funds. Robbins is currently the CEO of his firm. He graduated with honors from the Jerome Fisher Program in Management and Technology at the University of Pennsylvania in 1992 and earned a BS in economics with concentrations in accounting, finance, and marketing. He also has a BS in engineering with a major in systems engineering. He became a Certified Public Accountant in Illinois in 1991. Before founding Glenview Capital, Robbins worked as a portfolio manager at Omega Advisors, which is a prominent hedge fund founded by Leon Cooperman. In 2017, Larry Robbins also began serving as chairman of the Robin Hood Foundation, which fights poverty in New York City. Through his Family Foundation, he is an active supporter of education reform both in NYC and on the national level. He also serves as Chairman of the Board of KIPP NY and is a Board Member of Zearn and Relay Graduate School of Education. Due to his sharp analytical skills and a focus on the healthcare sector, Robbins has built a reputation as one of the most influential figures in the hedge fund industry. Glenview Capital Management has 6 clients and discretionary assets under management (AUM) of $5.6 billion as reported in its Form ADV dated 4 March 2025. The last reported 13F filing for Q4 2024 included $3.95 billion in managed 13F securities and a top 10 holdings concentration of 65.22%. Earlier in September 2024, Institutional Investor reported that Glenview Capital Management was on track for its best year in 5 years. The flagship Glenview Capital Partners fund was up 3.45% in August 2024 and 17.2% through the first 8 months of the year. One of the reasons behind this performance is the hedge fund's diversification away from a historically heavy concentration in healthcare stocks. Glenview Capital Management has now expanded its investments into the tech sector and other industries. Larry Robbins believes in a straightforward investment strategy: 'There are only two things that matter in investing. What are they going to earn, and what multiple are people going to put on that. Let's not make our business any more complicated than this.' To compile the list of billionaire Larry Robbins' 10 stock picks with huge upside potential, we sifted through Q4 2024 13F filings of Glenview Capital from Insider Monkey. From these filings, we checked the upside potential from CNN for the top 30 stock picks and ranked the stocks in ascending order of this upside potential. We have also added Glenview Capital's stake in each stock as well as the broader hedge fund sentiment for it. Note: All data was sourced on May 8. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here). An industrial worker in a protective suit operating a complex chemical process.I Glenview Capital's Stake: $62.32 million Number of Hedge Fund Holders: 51 Average Upside Potential as of May 8: 26.61% Element Solutions Inc (NYSE:ESI) is a specialty chemicals company. Its Electronics segment provides assembly solutions, like surface mount technologies, fluxes, thermal management materials, and other attachment materials. The Industrial & Specialty segment offers industrial solutions like electroless nickel, plating products, pre-treatment & cleaning solutions, and water treatment. In Q1 2025, the Electronics segment grew 10% organically year-over-year due to historically higher-margin categories in circuitry and semiconductor, as well as assembly materials for consumer electronics. This translated to a 9% growth in adjusted EBITDA for the segment. Within Electronics, the sales from wafer-level packaging products also surged by ~20% due to the ramp-up of programs on leading-edge nodes. The Semiconductor Solutions business achieved a 17% organic net sales growth due to the demand in wafer-level packaging for semi-fab OSAT customers in Asia. The viaform copper-damaging product line particularly grew ~20% in the quarter. Element Solutions Inc (NYSE:ESI) is also increasing manufacturing capacity for future growth areas like nano copper and power electronics. It's also building research and applications development in high-leverage geographies. The London Company SMID Cap Strategy stated the following regarding Element Solutions Inc (NYSE:ESI) in its Q4 2024 investor letter: 'Initiated: Element Solutions Inc (NYSE:ESI) – ESI is a specialty chemicals producer serving electronics and industrial markets. Electronics is ESI's primary growth engine, supported by content growth in circuit boards, semiconductors, and EV markets. A variable cost structure and sticky, spec'd-in products bolster earnings stability across cycles. ESI offers consistent cash flow and benefits from strong capital allocation led by management aligned with long-term incentives. More recently, management has been divesting non-core assets and reinvesting back into its growth segments. Trading at an attractive discount to intrinsic value, we believe ESI offers upside from a recovering electronics cycle, margin expansion from improved product mix, and pricing power due to high customer switching costs.' Overall, ESI ranks 9th on our list of billionaire Larry Robbins' stock picks with huge upside potential. While we acknowledge the potential of ESI as an investment, our conviction lies in the belief that AI stocks hold great promise for delivering high returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than ESI but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. 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Yahoo
26-04-2025
- Business
- Yahoo
Element Solutions Inc Just Recorded A 62% EPS Beat: Here's What Analysts Are Forecasting Next
Element Solutions Inc (NYSE:ESI) defied analyst predictions to release its quarterly results, which were ahead of market expectations. The company beat forecasts, with revenue of US$594m, some 3.0% above estimates, and statutory earnings per share (EPS) coming in at US$0.40, 62% ahead of expectations. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year. We've discovered 2 warning signs about Element Solutions. View them for free. Taking into account the latest results, the current consensus, from the ten analysts covering Element Solutions, is for revenues of US$2.41b in 2025. This implies a noticeable 2.6% reduction in Element Solutions' revenue over the past 12 months. Statutory earnings per share are forecast to shrink 5.4% to US$1.11 in the same period. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$2.43b and earnings per share (EPS) of US$1.09 in 2025. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results. View our latest analysis for Element Solutions There were no changes to revenue or earnings estimates or the price target of US$27.58, suggesting that the company has met expectations in its recent result. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. Currently, the most bullish analyst values Element Solutions at US$31.00 per share, while the most bearish prices it at US$23.00. Even so, with a relatively close grouping of estimates, it looks like the analysts are quite confident in their valuations, suggesting Element Solutions is an easy business to forecast or the the analysts are all using similar assumptions. Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. These estimates imply that revenue is expected to slow, with a forecast annualised decline of 3.4% by the end of 2025. This indicates a significant reduction from annual growth of 5.6% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 3.9% annually for the foreseeable future. It's pretty clear that Element Solutions' revenues are expected to perform substantially worse than the wider industry. The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that Element Solutions' revenue is expected to perform worse than the wider industry. The consensus price target held steady at US$27.58, with the latest estimates not enough to have an impact on their price targets. Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. We have forecasts for Element Solutions going out to 2027, and you can see them free on our platform here. That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 2 warning signs with Element Solutions , and understanding them should be part of your investment process. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
