Why DuPont Is Trading at a Premium Compared to Its Peers
As of February 22, 2017, DD traded at a one-year forward PE multiple of 21.4x.
42% of analysts recommended “buys” for DuPont stock, 52% recommended “holds,” and 6% recommended “sells.”
Since 2012, DuPont’s dividend yield has been falling.
On January 27, 2017, DuPont (DD) declared a dividend of $0.38 per share for 1Q17 on the company’s outstanding common stock.
DuPont (DD) stock has had a good performance in 2017 and has outperformed the SPDR S&P 500 ETF (SPY), which has returned 5.8%. On a year-to-date basis, DuPont has risen 8.4%.
On February 13, 2017, Chemours (CC) announced an agreement with DuPont (DD) to resolve all indemnification obligations between them.
On February 16, 2017, Huntsman received approval from the IRS to keep a 40.0% interest in Venator Materials.
On February 14 and 15, 2017, Eastman Chemical (EMN) announced a price increase for acetic acid by $0.03 per lab in North America and Latin America.
On February 15, 2017, Air Products & Chemicals (APD) announced price hikes for its liquid and bulk industrial gas products in the North America.
On February 14, 2017, Celanese (CE) raised its selling price for LDPE (low-density polyethylene) resin polymers by $0.06 per pound, effective March 1, 2017.
On February 13, 2017, W.R. Grace (GRA) announced it will license its UNIPOL Polypropylene Process Technology to Dongguan Grand Resource.
After Chemours’ 4Q16 earnings, 38.0% of the analysts recommended a “buy” for the stock, 50.0% recommended a “hold,” and 12.0% recommended a “sell.”
Chemours’ (CC) Fluoroproducts segment reported revenue of $569 million in 4Q16—an increase of 10.5% compared to $515 million in 4Q15.
Chemours’ (CC) Titanium Technologies segment reported revenue of $623 million in 4Q16—an increase of 5.8% compared to $589 million in 4Q15.
Chemours reported adjusted EPS of $0.08 and missed analysts’ estimate of $0.28. The EPS mainly excludes $335 million related to the PFOA settlement charge.
Chemours (CC) reported its 4Q16 results on February 15, 2017, after the markets closed. Chemours reported 4Q16 revenue of $1.32 billion.
With DuPont stock continuing to rise, it’s trading 8.1% above its 100-day moving average of $72.10. The movement indicates the stock’s upward trend.
On February 13, 2017, DuPont (DD) reached an agreement to a settlement involving ~3,500 lawsuits related to PFOA (perfluorooctanoic acid) and its salts.
Prior to 2002, DuPont used to purchase PFOA from third parties for its manufacturing process. The EPA raised concerns about the safety of PFOA.
Last week, Eastman Chemical (EMN) announced price hikes for several of its products including amines, plasticizers, polymer raw materials, acids, and alcohols.