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

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 lower today making it today's featured Chemicals laggard. The industry as a whole closed the day down 0.3%. By the end of trading, Celanese Corporation fell $1.26 (-2.7%) to $44.78 on average volume. Throughout the day, 1.1 million shares of Celanese Corporation exchanged hands as compared to its average daily volume of 1.2 million shares. The stock ranged in price between $44.39-$46.20 after having opened the day at $46.05 as compared to the previous trading day's close of $46.04. Other companies within the Chemicals industry that declined today were: Ikonics Corporation ( IKNX), down 8.1%, Rentech ( RTK), down 6%, Rentech Nitrogen Partners ( RNF), down 5.3%, and Senomyx ( SNMX), down 4.2%.
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Celanese Corporation engages in manufacture and sale of value-added chemicals, thermoplastic polymers, and other chemical-based products. The company operates in four segments: Advanced Engineered Materials, Consumer Specialties, Industrial Specialties, and Acetyl Intermediates. Celanese Corporation has a market cap of $7.51 billion and is part of the basic materials sector. The company has a P/E ratio of 12.4, below the S&P 500 P/E ratio of 17.7. Shares are up 3.4% year to date as of the close of trading on Monday. Currently there are nine analysts that rate Celanese Corporation a buy, no analysts rate it a sell, and six 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 notable return on equity and increase in stock price during the past year. We feel these strengths outweigh the fact that the company shows weak operating cash flow.

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).

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