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.
Trinseo (TSE) Signs an Agreement to Acquire Heathland B.V.
Read MoreHide Full Article
Trinseo S.A. (TSE - Free Report) recently signed an agreement to acquire Heathland B.V., a leading collector and recycler of post-consumer (PCR) and post-industrial (PIR) plastic wastes in Europe.
Heathland converts PCR and PIR polymethyl methacrylate, polycarbonate, acrylonitrile butadiene styrene, polystyrene and thermoplastic waste, as a plastic waste collector and recycler based in Utrecht, Netherlands.
Trinseo collects, pre-treats and processes plastic waste materials using mechanical and chemical recycling processes. It also captures the materials’ maximum value by transforming them into high quality recycled raw materials for a wide range of high-end applications.
Heathland is an established player in Europe with several key projects, including MMATwo and Revolution, funded by the Horizon 2020 program of the European Commission.
The acquisition is an important milestone in Trinseo’s transformation into a specialty materials and sustainable solutions provider. As the company’s extensive sustainable product portfolio continues to grow, the buyout will facilitate meeting market demand by securing a reliable source of recycled feedstock through the addition of a plastic waste collection business and improving the ongoing development of plastic-recycling technologies.
Shares of Trinseo have increased 27.3% in the past year compared with a 35.6% decline of the industry.
Image Source: Zacks Investment Research
In its third-quarter call, Trinseo stated that it sees net income from continuing operations in the range of $336-$376 million for 2021. Adjusted EBITDA is forecast in the band of $750-$800 million.
The company expects cash from operations of $420-$445 million and a free cash flow of $300-$325 million for 2021.
Trinseo also announced the planned divestiture of the styrenics businesses. It intends to launch a formal sales process in first-quarter 2022.
Zacks Rank & Key Picks
Trinseo currently carries a Zacks Rank #2 (Buy).
Some other top-ranked stocks in the basic materials space are Celanese Corporation (CE - Free Report) , The Chemours Company (CC - Free Report) and Nucor Corporation (NUE - Free Report) .
Celanese has an expected earnings growth rate of 139.5% for the current year. The Zacks Consensus Estimate for current-year earnings has been revised 8.7% upward in the past 60 days.
Celanese beat the Zacks Consensus Estimate for earnings in each of the last four quarters. The company has a trailing four-quarter earnings surprise of roughly 12.7%, on average. The stock has surged around 24.7% in a year. CE currently carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Chemours has an expected earnings growth rate of 105.1% for the current year. The Zacks Consensus Estimate for the current year has been revised 10% upward in the past 60 days.
Chemours beat the Zacks Consensus Estimate for earnings in all of the last four quarters. The company has a trailing four-quarter earnings surprise of roughly 34.2%, on average. CC has increased around 25.8% over a year. CC currently sports a Zacks Rank #1.
Nucor has a projected earnings growth rate of 583.2% for the current year. The consensus estimate for the current year has been revised 7.2% upward in the past 60 days.
Nucor beat the Zacks Consensus Estimate for earnings in two of the last four quarters. NUE has a trailing four-quarter earnings surprise of 2.74%, on average. The company’s shares have gained around 103.3% in a year. It currently carries a Zacks Rank #2.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Trinseo (TSE) Signs an Agreement to Acquire Heathland B.V.
Trinseo S.A. (TSE - Free Report) recently signed an agreement to acquire Heathland B.V., a leading collector and recycler of post-consumer (PCR) and post-industrial (PIR) plastic wastes in Europe.
Heathland converts PCR and PIR polymethyl methacrylate, polycarbonate, acrylonitrile butadiene styrene, polystyrene and thermoplastic waste, as a plastic waste collector and recycler based in Utrecht, Netherlands.
Trinseo collects, pre-treats and processes plastic waste materials using mechanical and chemical recycling processes. It also captures the materials’ maximum value by transforming them into high quality recycled raw materials for a wide range of high-end applications.
Heathland is an established player in Europe with several key projects, including MMATwo and Revolution, funded by the Horizon 2020 program of the European Commission.
The acquisition is an important milestone in Trinseo’s transformation into a specialty materials and sustainable solutions provider. As the company’s extensive sustainable product portfolio continues to grow, the buyout will facilitate meeting market demand by securing a reliable source of recycled feedstock through the addition of a plastic waste collection business and improving the ongoing development of plastic-recycling technologies.
Shares of Trinseo have increased 27.3% in the past year compared with a 35.6% decline of the industry.
In its third-quarter call, Trinseo stated that it sees net income from continuing operations in the range of $336-$376 million for 2021. Adjusted EBITDA is forecast in the band of $750-$800 million.
The company expects cash from operations of $420-$445 million and a free cash flow of $300-$325 million for 2021.
Trinseo also announced the planned divestiture of the styrenics businesses. It intends to launch a formal sales process in first-quarter 2022.
Zacks Rank & Key Picks
Trinseo currently carries a Zacks Rank #2 (Buy).
Some other top-ranked stocks in the basic materials space are Celanese Corporation (CE - Free Report) , The Chemours Company (CC - Free Report) and Nucor Corporation (NUE - Free Report) .
Celanese has an expected earnings growth rate of 139.5% for the current year. The Zacks Consensus Estimate for current-year earnings has been revised 8.7% upward in the past 60 days.
Celanese beat the Zacks Consensus Estimate for earnings in each of the last four quarters. The company has a trailing four-quarter earnings surprise of roughly 12.7%, on average. The stock has surged around 24.7% in a year. CE currently carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Chemours has an expected earnings growth rate of 105.1% for the current year. The Zacks Consensus Estimate for the current year has been revised 10% upward in the past 60 days.
Chemours beat the Zacks Consensus Estimate for earnings in all of the last four quarters. The company has a trailing four-quarter earnings surprise of roughly 34.2%, on average. CC has increased around 25.8% over a year. CC currently sports a Zacks Rank #1.
Nucor has a projected earnings growth rate of 583.2% for the current year. The consensus estimate for the current year has been revised 7.2% upward in the past 60 days.
Nucor beat the Zacks Consensus Estimate for earnings in two of the last four quarters. NUE has a trailing four-quarter earnings surprise of 2.74%, on average. The company’s shares have gained around 103.3% in a year. It currently carries a Zacks Rank #2.