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DOW to Expand Its Global Capacity for Mobile Technologies

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Dow Inc. (DOW - Free Report) recently announced that it is expanding its global capacity to meet increasing demand for mobile technologies.

The company continues to invest in increasing global supply capabilities and reliability for its customers, allowing the development of smarter, safer and more sustainable technologies.

Dow will be involved in several key growth capital projects benefiting the mobility and transportation market this year. At its Jincheon facility in South Korea, investments are being made to maintain the development of moldable optical silicone technologies for both automotive and industrial lighting applications. The company has also planned additional investments this year for its operations in Midland, MI; Songjiang and Zhangjiagang.

Dow stated that its latest investments, which build on existing infrastructure serving the mobility and transportation market, reaffirm its commitment to deliver market-driven and sustainable innovations.

The company completed a round of capital investments last year, which was spread across three continents – North America, Asia and Europe – and was implemented to address growing global market demands for novel technologies within the mobility and transportation industry.

Shares of Dow have dropped 1.3% in the past year against 2.3% growth of the industry.

Zacks Investment Research
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Dow, in its last earnings call, stated that it expects demand strength across its end markets to continue in 2022, aided by rising industrial production and sustained consumer spending. Dow also expects logistics issues to ease throughout this year to fulfill elevated order backlogs and pent-up customer demand. It will remain committed to make progress on its higher-return, lower-risk growth projects and efficiency programs, as well as to advance its key sustainability actions for decarbonizing its assets and capturing higher demand for lower carbon and circular solutions, the company noted.

Dow Inc. Price and Consensus

Dow Inc. Price and Consensus

Dow Inc. price-consensus-chart | Dow Inc. Quote

Zacks Rank & Key Picks

Dow currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the basic materials space are The Mosaic Company (MOS - Free Report) , AdvanSix Inc. (ASIX - Free Report) and Allegheny Technologies Incorporated (ATI - Free Report) .

Mosaic has a projected earnings growth rate of 125% for the current year. The Zacks Consensus Estimate for MOS' current-year earnings has been revised 33.3% upward in the past 60 days.

Mosaic’s earnings beat the Zacks Consensus Estimate in three of the last four quarters while missing once. It delivered a trailing four-quarter earnings surprise of roughly 3.7%, on average. MOS has rallied around 112.7% in a year and currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

AdvanSix has a projected earnings growth rate of 64.8% for the current year. The Zacks Consensus Estimate for ASIX’s current-year earnings has been revised 58% upward in the past 60 days.

AdvanSix’s earnings beat the Zacks Consensus Estimate in three of the trailing four quarters, the average being 23.6%. ASIX has surged 83% in a year. The company sports a Zacks Rank #1.

Allegheny, currently carrying a Zacks Rank #2 (Buy), has an expected earnings growth rate of 661.5% for the current year. The Zacks Consensus Estimate for ATI's earnings for the current year has been revised 45.6% upward in the past 60 days.

Allegheny’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average being 127.2%. ATI has rallied around 22% over a year.


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