A Fresh Look at DuPont (DD) Valuation Following Major China Specialty Lubricants Expansion

DuPont de Nemours (NYSE:DD) has launched construction on a new specialty lubricants plant in Zhangjiagang, China. This marks a strategic push to expand its manufacturing footprint and better serve fast-growing regional markets.

See our latest analysis for DuPont de Nemours.

Alongside kicking off its new plant in China, DuPont wrapped up a major tender offer to streamline its debt, which is one of several recent steps aimed at bolstering its balance sheet. That said, the 1-year total shareholder return stands out at 16.2%, even as the share price has taken a steep hit over the past month. This split view highlights both a track record of delivering value for patient shareholders and the potential for renewed momentum as the company targets growth and operational efficiency.

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With recent expansion and a debt streamlining push, DuPont’s fundamentals have shifted. However, its shares still trade nearly 19% below analyst price targets. Is this a window for value investors, or is the market already factoring in future growth?

Most Popular Narrative: 25% Undervalued

Compared to its recent close at $39.77, the most widely followed narrative places DuPont de Nemours’ fair value much higher, suggesting a meaningful valuation gap for investors to consider.

DuPont's accelerated growth in Electronics, particularly from AI-driven applications, advanced packaging, and high-performance computing, positions the company to capture outsized revenue expansion as node migrations and broader electronics market recovery unfold through 2025 and beyond.

Read the complete narrative.

How does projected sector dominance in electronics and strategic portfolio moves add up to this bold valuation? The narrative’s calculations hinge on rapid margin expansion and an ambitious earnings transformation. Can DuPont deliver? The secrets behind these upward forecasts are waiting for curious readers.

Result: Fair Value of $53.25 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, ongoing legal liabilities and exposure to changing global trade policies could disrupt DuPont's projected earnings rebound and challenge renewed investor optimism.

Find out about the key risks to this DuPont de Nemours narrative.

Another View: The Market’s Multiple Tells a Different Story

Looking at DuPont’s valuation using price-to-earnings, the stock trades at 22.8x earnings, which is identical to the US Chemicals industry average but higher than peer companies at 19x, and above its fair ratio of 22.2x. This implies less margin for error and raises the stakes for future performance. Will value eventually align with market expectations, or does risk outweigh the upside?

See what the numbers say about this price — find out in our valuation breakdown.

Build Your Own DuPont de Nemours Narrative

If you’re the type who likes to dig into the numbers firsthand or craft your own perspective, you can put together a personal view in just a few minutes. Do it your way

A great starting point for your DuPont de Nemours research is our analysis highlighting 3 key rewards and 4 important warning signs that could impact your investment decision.

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This 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.

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