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1. Company Snapshot

1.a. Company Description

Celanese Corporation, a technology and specialty materials company, manufactures and sells high performance engineered polymers in the United States and internationally.The company operates through three segments: Engineered Materials, Acetate Tow, and Acetyl Chain.The Engineered Materials segment develops, produces, and supplies specialty polymers for automotive and medical applications, as well as for use in industrial products and consumer electronics.


It also offers acesulfame potassium, a sweetener for use in various beverages, confections, and dairy products; and food protection ingredients, such as potassium sorbate and sorbic acid for use in foods, beverages, and personal care products.The Acetate Tow segment provides acetate tows and flakes for use in filter products applications.The Acetyl Chain segment produces and supplies acetyl products, including acetic acid, vinyl acetate monomers, acetic anhydride, and acetate esters that are used as starting materials for colorants, paints, adhesives, coatings, and pharmaceuticals; and organic solvents and intermediates for pharmaceutical, agricultural, and chemical products.


It also offers vinyl acetate-based emulsions for use in paints and coatings, adhesives, construction, glass fiber, textiles, and paper applications; and ethylene vinyl acetate resins and compounds, as well as low-density polyethylene for use in flexible packaging films, lamination film products, hot melt adhesives, automotive parts, and carpeting applications.In addition, it manufactures ultra-high molecular weight polyethylene.Celanese Corporation was founded in 1918 and is headquartered in Irving, Texas.

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1.b. Last Insights on CE

Breaking News: Celanese Corporation reported Q4 earnings on February 17, 2026, with quarterly earnings of $0.67 per share, missing the Zacks Consensus Estimate of $0.89 per share. This compares to earnings of $1.45 per share a year ago. The company's full-year 2025 and Q4 earnings report was released, providing insight into its performance. Analysts have revised forecasts ahead of the earnings call, with some recommending a hold or buy. Linde and Celanese have been compared in a head-to-head analysis, evaluating their institutional ownership, valuation, and earnings.

1.c. Company Highlights

2. Celanese Corporation's Q4 2025 Earnings: A Closer Look

Celanese Corporation reported an actual EPS of $0.67, missing estimates of $0.89. The company's revenue growth is expected to be around 3.1% next year, according to analysts' estimates. The company's financial performance has been impacted by destocking and seasonality, with a 6% volume decline in the quarter.

Publication Date: 08:51

📋 Highlights
  • Cash Generation & Debt Strategy: Achieved strong cash flow from operations and divestitures, targeting $100M working capital reduction to boost free cash flow to $650–750M despite challenges.
  • Engineered Materials Growth: Sequential Q4 improvement driven by electronics (AI/data centers) and auto, with $1–2 EPS uplift expected in 2026 from cost reductions and growth in core segments.
  • Divestiture Progress: Halfway to $1B divestiture target by 2027, prioritizing non-core assets in joint ventures to strengthen balance sheet and focus on Engineered Materials/Acetyl Chain.
  • Inventory & Turnaround Plans: $30M inventory tailwind in Q1 shifting to Q2, with $100M inventory reduction target in 2026 to support free cash flow and stabilize acetate tow headwinds by mid-year.

Segment Performance

The Engineered Materials segment experienced sequential improvement in the fourth quarter, driven by volume and mix, with electronics being a bright spot due to the global build-out from AI and data centers. However, the auto segment is a larger part of the business and is more mixed, with uncertainty in China.

Cash Generation and Debt

Celanese Corporation is focused on cash generation and using debt to pay off maturities, with significantly lower maturities over the next couple of years. The company has seen strong cash generation from the business and divestitures, which will help address its balance sheet issue. The company is targeting a $100 million reduction in working capital, primarily from inventory reductions.

Valuation Metrics

Looking at Celanese Corporation's valuation metrics, the company has a P/E Ratio of -5.16, P/B Ratio of 1.48, and P/S Ratio of 0.63. The EV/EBITDA ratio is -238.98, indicating a potentially undervalued stock. The company's ROE is -25.24%, and ROIC is -3.86%, indicating room for improvement in terms of profitability. The Net Debt / EBITDA ratio is -7.92, indicating a healthy debt position.

Outlook

Celanese Corporation expects Engineered Materials to have more controllable ways to grow through its pipeline model in 2026, while Acetyl Chain may be challenged to grow. The company is working on a plan to drive growth and expects $1 to $2 of EPS uplift versus 2025, driven by growth in Engineered Materials and cost reduction.

Free Cash Flow

The company is targeting $650 million to $750 million in free cash flow, which would translate to different EPS scenarios. The focus is on driving sustainable changes in the business model and maximizing cash flow. The company's Free Cash Flow Yield is 14.77%, indicating a potentially attractive return for investors.

3. NewsRoom

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Celanese Corporation (CE) Q4 2025 Earnings Call Transcript

Feb -18

Source: seekingalpha.com

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Celanese Q4 Earnings Miss Estimates, Revenues Decline Y/Y

Feb -18

Source: zacks.com

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Contrasting Celanese (NYSE:CE) & AdvanSix (NYSE:ASIX)

Feb -18

Source: defenseworld.net

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Celanese (CE) Reports Q4 Earnings: What Key Metrics Have to Say

Feb -17

Source: zacks.com

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Celanese (CE) Q4 Earnings and Revenues Lag Estimates

Feb -17

Source: zacks.com

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Celanese Corporation Reports Full Year 2025 and Fourth Quarter Earnings

Feb -17

Source: businesswire.com

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Celanese Likely To Report Lower Q4 Earnings; These Most Accurate Analysts Revise Forecasts Ahead Of Earnings Call

Feb -17

Source: benzinga.com

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Head to Head Comparison: Linde (NASDAQ:LIN) vs. Celanese (NYSE:CE)

Feb -17

Source: defenseworld.net

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (3.60%)

6. Segments

Engineered Materials

Expected Growth: 3.5%

Celanese Corporation's Engineered Materials segment growth of 3.5% is driven by increasing demand for lightweight and sustainable materials in the automotive and aerospace industries, as well as growth in the use of advanced composites in industrial and consumer applications.

Acetyl Chain

Expected Growth: 3.8%

The 3.8% growth of Acetyl Chain from Celanese Corporation is driven by increasing demand for paints and coatings, adhesives, and pharmaceuticals. Additionally, the growing need for sustainable and eco-friendly products, coupled with Celanese's strategic expansion into emerging markets, contributes to the segment's growth.

Eliminations

Expected Growth: 0.0%

Celanese Corporation's eliminations segment shows 0.0% growth, driven by stagnant sales and flat operating margins. This is attributed to the absence of significant acquisitions or divestitures, stable market conditions, and a lack of notable changes in the company's business operations or product offerings.

7. Detailed Products

Acetyl Intermediates

Celanese's Acetyl Intermediates are used as building blocks for the production of various chemicals, including pharmaceuticals, agrochemicals, and other specialty chemicals.

Engineered Materials

Celanese's Engineered Materials are high-performance polymers used in various applications, including automotive, industrial, and consumer goods.

Acetate Tow

Celanese's Acetate Tow is used in the production of cigarette filters, as well as in other applications such as air and oil filters.

Food Ingredients

Celanese's Food Ingredients are used as texture modifiers, stabilizers, and emulsifiers in food products, such as baked goods, beverages, and dairy products.

Aromatics

Celanese's Aromatics are used as solvents, intermediates, and fuel components in various industries, including pharmaceuticals, agrochemicals, and fuels.

Industrial Specialties

Celanese's Industrial Specialties are used in various industrial applications, including adhesives, coatings, and construction materials.

8. Celanese Corporation's Porter Forces

Forces Ranking

Threat Of Substitutes

Celanese Corporation operates in the chemical industry, where substitutes are available, but they are not easily accessible to customers. The company's products are specialized, and customers may not be able to find identical substitutes.

Bargaining Power Of Customers

Celanese Corporation has a diverse customer base, which reduces the bargaining power of individual customers. Additionally, the company's products are often customized, making it difficult for customers to switch to alternative suppliers.

Bargaining Power Of Suppliers

Celanese Corporation relies on a few large suppliers for raw materials, which gives them some bargaining power. However, the company's size and scale of operations also give it some negotiating power.

Threat Of New Entrants

The chemical industry has high barriers to entry, including significant capital requirements and regulatory hurdles. This makes it difficult for new entrants to enter the market and compete with established players like Celanese Corporation.

Intensity Of Rivalry

The chemical industry is highly competitive, with many established players competing for market share. Celanese Corporation faces intense competition from companies like BASF, Dow, and LyondellBasell, which can lead to pricing pressure and reduced margins.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 66.01%
Debt Cost 3.95%
Equity Weight 33.99%
Equity Cost 10.76%
WACC 6.26%
Leverage 194.23%

11. Quality Control: Celanese Corporation passed 5 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

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Celanese

A-Score: 3.6/10

Value: 9.4

Growth: 3.1

Quality: 3.2

Yield: 2.0

Momentum: 1.0

Volatility: 3.0

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

53.4$

Current Price

53.4$

Potential

-0.00%

Expected Cash-Flows