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Celanese (CE) Announces Price Hike of Selective Products

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Celanese Corporation (CE - Free Report) will hike the list and off-list selling prices of certain products. The price hike will be effective immediately or as contracts permit.

Prices of Ethyl Acetate will increase by ¥500/MT in China and by $80/MT in Asia outside China. Butyl Acetate price will rise by ¥300/MT in China and by $50/MT in Asia outside China. The company will increase the prices of Acetic Acid by ¥400/MT in China and by $80/MT in Asia outside China. Prices of Acetic Anhydride will be hiked by ¥450/MT in China and by $100/MT in Asia outside China.

Celanese is taking appropriate pricing actions amid a volatile raw material pricing environment. Pricing improvement drove margins in its Acetyl Chain unit in second-quarter 2017.

Celanese has outperformed the industry over a year. The company’s shares have moved up around 64.2% over this period compared with roughly 33.7% gain recorded by the industry.

 


Celanese kept its earnings streak alive with a beat in second-quarter 2017. The company logged adjusted earnings of $1.79 per share for the quarter, topping the Zacks Consensus Estimate of $1.74. Celanese sees adjusted earnings per share to increase 9-11% in 2017.

Celanese’s strategic measures including cost savings through productivity actions and pricing initiatives are expected to lend support to its earnings in 2017. The company is also likely to gain from capacity expansion and growth initiatives like acquisitions. Moreover, Celanese remains focused on returning value to shareholders.

Celanese Corporation Price and Consensus

 

 

Zacks Rank & Key Picks

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

Some better-ranked stocks in the chemical space are The Chemours Company (CC - Free Report) , FMC Corporation (FMC - Free Report) and Air Products and Chemicals, Inc. (APD - Free Report) .

Chemours has expected long-term earnings growth of 15.5% and sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

FMC has expected long-term earnings growth of 11.3% and flaunts a Zacks Rank #1.

Air Products has expected long-term earnings growth of 12.1% and carries a Zacks Rank #2 (Buy).

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