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Research Alert: CFRA Maintains Sell Opinion On Shares Of Celanese Corporation
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Research Alert: CFRA Maintains Sell Opinion On Shares Of Celanese Corporation
May 6, 2026 9:54 AM

12:35 PM EDT, 05/06/2026 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

After reviewing Q1 earnings, we raise our 12-month target price by $2 to $43 on a forward P/E of 7.4x our 2027 EPS view of $5.78, a discount to the three-year average of 10.4x justified by CE's high debt levels and subdued demand. We raise our 2026 EPS view by $1.35 to $6.14 and decrease 2027's by $0.09 to 5.78. Our sales estimates are $9.7 billion for 2026 and $10.1 billion for 2027. On the positive side, CE's Acetyl Chain's Q2 2026 Adjusted EBIT guidance of $300M-$325M was solid, led by higher expected volumes and prices. However, the acetate tow business remains weak and feedstock costs have risen sharply. Meanwhile, Engineered Materials' Q2 2026 Adjusted EBIT guidance of $190M-$210M was more conservative due to inventory reductions and additional costs from the POM facility turnaround. Overall, we believe CE's 48% year-to-date stock gain is excessive and expect earnings to decline once again in 2027 as the temporary margin boost from the Middle East conflict fades.

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