We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Celanese (CE) to Report Q1 Earnings: What's in the Offing?
Read MoreHide Full Article
Celanese Corporation (CE - Free Report) is set to release first-quarter 2022 results, after market close on Apr 28. Benefits from productivity actions, investments in high-return organic projects and strategic acquisitions are likely to get reflected in first-quarter performance. However, the company is likely to have faced headwinds stemming from higher input costs.
The leading chemical and specialty materials maker’s earnings beat the Zacks Consensus Estimate in three of the last four quarters, while missing the same once. It has a trailing four-quarter earnings surprise of roughly 6.6%, on average. The company reported a negative earnings surprise of around 2.8% in the last reported quarter.
Celanese’s shares have declined 10.1% in the past year compared with a 17.4% fall of the industry.
Image Source: Zacks Investment Research
Let’s see how things are shaping up for this announcement.
What do the Estimates Say?
The Zacks Consensus Estimate for Celanese’s revenues in the to-be-reported quarter is pegged at $2,272 million, which suggests year-over-year increase of 26.4%.
The consensus mark for first-quarter net sales in the Engineered Materials unit is currently pegged at $850 million, which calls for a 20.2% increase sequentially. The same for the Acetyl Chain segment is at $1,481 million, suggesting a 0.3% increase sequentially.
The Zacks Consensus Estimate for the Acetate Tow division is pegged at $125 million, which indicates a 3.1% sequential decline.
Factors at Play in Q1
Celanese is likely to have gained from its productivity actions, investments in high-return organic projects and strategic acquisitions in the quarter to be reported. The company is also expected to have gained from higher demand in most of its end markets.
The company is also committed toward executing its productivity programs that include the implementation of a number of cost-reduction capital projects. Its strategic actions that include operational improvement, cost savings through productivity initiatives and price-increase actions are likely to have contributed to the bottom line in the to-be-reported quarter. Benefits of acquisitions are also expected to get reflected in the company’s first-quarter performance.
The company is expected to have faced headwinds from elevated raw material costs due to supply constraints. It is likely to have faced sustained inflation across many key raw materials and supply chain costs in the first quarter. Higher input costs are likely to have hurt margins in the to-be-reported quarter.
The Acetyl Chain segment is anticipated to have encountered challenges from a moderation in the industry pricing. The company might have faced persistent moderation in acetic acid and VAM pricing. It is likely to have impacted Acetyl Chain margins. The company is likely to have faced headwinds from higher costs in the Acetate Tow unit.
The ongoing semiconductor shortage is also affecting automotive production globally. Weaker automotive production is likely to have affected the company’s automotive order patterns and volumes in the first quarter.
Zacks Model
Our proven model does not predict an earnings beat for Celanese this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. But that’s not the case here.
Earnings ESP: Earnings ESP for Celanese is -0.33%. The Zacks Consensus Estimate for first-quarter earnings is currently pegged at $4.49. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: Celanese currently carries a Zacks Rank #3.
Here are some companies in the basic materials space you may want to consider, as our model shows these have the right combination of elements to post an earnings beat this quarter.
The Zacks Consensus Estimate for Chemours’ first-quarter earnings has been revised 2.2% upward in the past 60 days. The consensus estimate for CC’s earnings for the quarter is currently pegged at 92 cents.
Huntsman Corporation (HUN - Free Report) , expected to release earnings on Apr 28, has an Earnings ESP of +1.88% and carries a Zacks Rank #3.
The consensus estimate for Huntsman’s first-quarter earnings has been revised 4.2% upward in the past 60 days. The Zacks Consensus Estimate for HUN’s earnings for the quarter is pegged at $1.
The Mosaic Company (MOS - Free Report) , scheduled to release earnings on May 2, has an Earnings ESP of +0.89% and sports a Zacks Rank #1.
The Zacks Consensus Estimate for Mosaic’s first-quarter earnings has been revised 14.6% upward in the past 60 days. The Zacks Consensus Estimate for MOS’s earnings for the quarter is currently pegged at $2.44.
Image: Bigstock
Celanese (CE) to Report Q1 Earnings: What's in the Offing?
Celanese Corporation (CE - Free Report) is set to release first-quarter 2022 results, after market close on Apr 28. Benefits from productivity actions, investments in high-return organic projects and strategic acquisitions are likely to get reflected in first-quarter performance. However, the company is likely to have faced headwinds stemming from higher input costs.
The leading chemical and specialty materials maker’s earnings beat the Zacks Consensus Estimate in three of the last four quarters, while missing the same once. It has a trailing four-quarter earnings surprise of roughly 6.6%, on average. The company reported a negative earnings surprise of around 2.8% in the last reported quarter.
Celanese’s shares have declined 10.1% in the past year compared with a 17.4% fall of the industry.
Image Source: Zacks Investment Research
Let’s see how things are shaping up for this announcement.
What do the Estimates Say?
The Zacks Consensus Estimate for Celanese’s revenues in the to-be-reported quarter is pegged at $2,272 million, which suggests year-over-year increase of 26.4%.
The consensus mark for first-quarter net sales in the Engineered Materials unit is currently pegged at $850 million, which calls for a 20.2% increase sequentially. The same for the Acetyl Chain segment is at $1,481 million, suggesting a 0.3% increase sequentially.
The Zacks Consensus Estimate for the Acetate Tow division is pegged at $125 million, which indicates a 3.1% sequential decline.
Factors at Play in Q1
Celanese is likely to have gained from its productivity actions, investments in high-return organic projects and strategic acquisitions in the quarter to be reported. The company is also expected to have gained from higher demand in most of its end markets.
The company is also committed toward executing its productivity programs that include the implementation of a number of cost-reduction capital projects. Its strategic actions that include operational improvement, cost savings through productivity initiatives and price-increase actions are likely to have contributed to the bottom line in the to-be-reported quarter. Benefits of acquisitions are also expected to get reflected in the company’s first-quarter performance.
The company is expected to have faced headwinds from elevated raw material costs due to supply constraints. It is likely to have faced sustained inflation across many key raw materials and supply chain costs in the first quarter. Higher input costs are likely to have hurt margins in the to-be-reported quarter.
The Acetyl Chain segment is anticipated to have encountered challenges from a moderation in the industry pricing. The company might have faced persistent moderation in acetic acid and VAM pricing. It is likely to have impacted Acetyl Chain margins. The company is likely to have faced headwinds from higher costs in the Acetate Tow unit.
The ongoing semiconductor shortage is also affecting automotive production globally. Weaker automotive production is likely to have affected the company’s automotive order patterns and volumes in the first quarter.
Zacks Model
Our proven model does not predict an earnings beat for Celanese this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. But that’s not the case here.
Earnings ESP: Earnings ESP for Celanese is -0.33%. The Zacks Consensus Estimate for first-quarter earnings is currently pegged at $4.49. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: Celanese currently carries a Zacks Rank #3.
Celanese Corporation Price and EPS Surprise
Celanese Corporation price-eps-surprise | Celanese Corporation Quote
Stocks That Warrant a Look
Here are some companies in the basic materials space you may want to consider, as our model shows these have the right combination of elements to post an earnings beat this quarter.
The Chemours Company (CC - Free Report) , scheduled to release earnings on May 2, has an Earnings ESP of +3.83% and carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Chemours’ first-quarter earnings has been revised 2.2% upward in the past 60 days. The consensus estimate for CC’s earnings for the quarter is currently pegged at 92 cents.
Huntsman Corporation (HUN - Free Report) , expected to release earnings on Apr 28, has an Earnings ESP of +1.88% and carries a Zacks Rank #3.
The consensus estimate for Huntsman’s first-quarter earnings has been revised 4.2% upward in the past 60 days. The Zacks Consensus Estimate for HUN’s earnings for the quarter is pegged at $1.
The Mosaic Company (MOS - Free Report) , scheduled to release earnings on May 2, has an Earnings ESP of +0.89% and sports a Zacks Rank #1.
The Zacks Consensus Estimate for Mosaic’s first-quarter earnings has been revised 14.6% upward in the past 60 days. The Zacks Consensus Estimate for MOS’s earnings for the quarter is currently pegged at $2.44.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.