Celanese Corporation (CE): Today's Featured Chemicals Winner

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Celanese Corporation ( CE) pushed the Chemicals industry higher today making it today's featured chemicals winner. The industry as a whole closed the day down 0.4%. By the end of trading, Celanese Corporation rose 54 cents (1.4%) to $40.10 on average volume. Throughout the day, 1.9 million shares of Celanese Corporation exchanged hands as compared to its average daily volume of 1.8 million shares. The stock ranged in a price between $39.15-$40.38 after having opened the day at $39.28 as compared to the previous trading day's close of $39.56. Other companies within the Chemicals industry that increased today were: Verenium Corporation ( VRNM), up 5.7%, Clean Diesel Technologies ( CDTI), up 4.4%, Koppers Holdings ( KOP), up 4.2%, and Lizhan Environmental ( LZEN), up 4.1%.

Celanese Corporation, a technology and specialty materials company, engages in manufacture and sale of value-added chemicals, thermoplastic polymers, and other chemical-based products. Celanese Corporation has a market cap of $6.1 billion and is part of the basic materials sector. The company has a P/E ratio of 9.3, equal to the average chemicals industry P/E ratio and below the S&P 500 P/E ratio of 17.7. Shares are down 13.5% year to date as of the close of trading on Friday. Currently there are 10 analysts that rate Celanese Corporation a buy, no analysts rate it a sell, and two rate it a hold.

TheStreet Ratings rates Celanese Corporation as a buy. The company's strengths can be seen in multiple areas, such as its attractive valuation levels, good cash flow from operations, growth in earnings per share, increase in net income and notable return on equity. We feel these strengths outweigh the fact that the company shows low profit margins.

On the negative front, BioFuel Energy Corporation ( BIOF), down 12.9%, Pure Bioscience ( PURE), down 11.2%, Cereplast ( CERP), down 10%, and Pacific Ethanol ( PEIX), down 7.6%, were all laggards within the chemicals industry with CF Industries Holdings ( CF) being today's chemicals industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the chemicals industry could consider Materials Select Sector SPDR ( XLB) while those bearish on the chemicals industry could consider ProShares Short Basic Materials Fd ( SBM).

FREE from Real Money's Jim Cramer: Winners and Losers Election 2012 - Steps to take NOW so you can profit no matter who is in charge! Free download now.

null

More from Markets

Stocks Drift, Oil Steadies, Dollar Dips as Investors Question Growth Prospects

Stocks Drift, Oil Steadies, Dollar Dips as Investors Question Growth Prospects

Netflix, Amazon, Jerome Powell, Walmart and Microsoft - 5 Things You Must Know

Netflix, Amazon, Jerome Powell, Walmart and Microsoft - 5 Things You Must Know

Did Netflix Earnings Just Stomp Out Any Chance of a Big Market Rally?

Did Netflix Earnings Just Stomp Out Any Chance of a Big Market Rally?

Netflix's Subscriber Miss and 4 Other Stories to Watch Premarket Tuesday

Netflix's Subscriber Miss and 4 Other Stories to Watch Premarket Tuesday

3 Stocks Poised to Move the Markets This Week: Goldman Sachs, Microsoft, GE

3 Stocks Poised to Move the Markets This Week: Goldman Sachs, Microsoft, GE