Analysts have lowered their fair value estimate for Celanese from $53.69 to $52.38. They cite more conservative assumptions for future revenue growth, despite marginal improvements in profit margin projections.
What's in the News
- Celanese reported asset impairments of $1,486 million for the third quarter ended September 30, 2025, mainly due to goodwill and trade name impairments such as Zytel®, compared to $34 million a year ago (Key Developments).
- The company plans to cease operations at its acetate tow facility in Lanaken during the second half of 2026. This move is prompted by challenging demand and high operating costs, which may impact approximately 160 employees (Key Developments).
- Celanese is introducing new digital services and advanced materials at the K Show in Dusseldorf, including the launch of the Chemille® Digital Assistant, an AI-powered platform designed to support rapid and tailored material selection for customers across multiple industries (Key Developments).
- New product rollouts include ultra-low emission automotive grades, innovative blow moldable solutions for industrial applications, and sustainable materials like low carbon POM ECO-C. Each product targets key priorities in performance and environmental standards (Key Developments).
- Expanded capabilities now feature NVH labs and enhanced testing chambers, providing advanced vibration, acoustic, and durability testing for customers (Key Developments).
Valuation Changes
- The Fair Value Estimate has decreased modestly from $53.69 to $52.38.
- The Discount Rate has risen slightly from 12.32% to 12.5%.
- The Revenue Growth Forecast has fallen significantly, dropping from 0.85% to 0.40%.
- The Net Profit Margin Projection has improved marginally, increasing from 7.85% to 7.93%.
- The Future P/E Multiple is essentially unchanged, moving from 10.46x to 10.52x.
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