Celanese: How Much Upside Do Analysts See?

Analysts’ consensus on Celanese

After the fourth quarter of 2018, there were 21 analysts tracking Celanese (CE) stock. Among the analysts, ~62% recommended a “buy,” while 38% recommended a “hold.” None of the analysts recommended a “sell.”

Celanese: How Much Upside Do Analysts See?

Analysts’ consensus recommendation for Celanese stock indicates a target price of $112, which implies a return potential of 10.9% over its closing price as of March 20. In the past three months, analysts have decreased Celanese’s target price from $124.33 to the current target price.

In the fourth quarter of 2018, Celanese’s adjusted EPS didn’t meet analysts’ estimates. The company reported an adjusted EPS of $2.38 per share—compared to analysts’ estimate of $2.42 per share. At the same time, Celanese provided an adjusted earnings guidance of $10.50 per share in 2019. As a result, most of the analysts recommended either to “buy” or “hold” Celanese.

Individual brokerage recommendations

  • Cowen (COWN) downgraded Celanese to “market perform” and recommended a target price of $108, which implies a return potential of 6.9% over its closing price of $101 on March 20.
  • KeyCorp (KEY) lowered Celanese’s target price to $125 from $145, which implies a return potential of 23.8% over its closing price on March 20.
  • UBS (UBS) recommended Celanese as a “buy” and provided a target price of $126, which implies a return potential of 24.8% over its closing price of $101 on March 20.

Investors could hold Celanese indirectly by investing in the iShares U.S. Basic Materials ETF (IYM). IYM has invested 2.2% of its portfolio in Celanese as of March 20.