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The November to January period historically offers the strongest stock market returns, and these stocks may be poised to ride that seasonal pattern.
Many investors are still learning about the various metrics that can be useful when analysing a stock. This article is...
Two companies that supply farmers— (CTVA) and (FMC)—are on different paths as investors assess their quarterly results. The stock (ticker: CTVA) fell 4% Thursday, worse than the 0.5% decline of the Dow Jones Industrial Average. For Corteva, “we had previously thought there was a possibility that domestic corn yields might be significantly impaired in 2019 due to adverse weather conditions that led to a very late planting season,” wrote Zekauskas in a Friday research report.
DuPont stock is up a second straight day after reporting third-quarter numbers. Some on Wall Street see opportunity in the company’s nutrition business is sold or spun off.
One of the hottest food trends featured in the earnings of specialty chemicals company DuPont de Nemours Inc. on Thursday. The company said it's nutrition & biosciences (N&B) business saw a boost in food and beverage volumes driven by gains in specialty proteins from growing demand for plant-based meats. On the company's earnings call with analysts, Chief Operating Officer Marc Doyle said the company's plant-based meat business is "relatively small today," but that it is expected to grow in the double digits. Alternative meat has become a big business in the U.S., as companies' like Beyond Meat Inc. and Impossible Meat are introducing their products at more restaurants and fast-food outlets, as well as on grocery shelves. DuPont's N&B business is just one of four business segments, along with electronics & imaging, transportation & industrial and safety & construction. DuPont shares were up 1% Thursday, but have fallen 13% in 2019, while the S&P 500 has gained 21%.
DuPont’s results beat the Wall Street consensus by a couple of pennies. The better news is that some DuPont businesses, an indicator of the outlook for the global economy, are showing early signs of improvement.
Wall Street is looking at a shaky start for Thursday, thanks to fresh rumblings on the trade front that may take the shine off upbeat results from Apple and Facebook.
Industrial materials maker DuPont's quarterly profit edged past analysts' estimates on Thursday and sales in China improved for the second quarter in a row, sending shares up 3.5%. Sales in China, which accounted for about 15% of total revenue, were driven by higher demand for a film used in newer smartphones and helped offset weakness in its electronic and automotive sectors. A protracted trade dispute between the United States and China as well as fears of a global economic slowdown have been weighing on DuPont and rivals Germany's BASF and Dow inc.
DuPont largely reiterated guidance after it reported a 26% decline in third-quarter net income to $372 million, or 50 cents a share, as sales fell 5% to $5.4 billion and organic sales slipped 2%. The company said its adjusted EPS was 96 cents. Analysts polled by FactSet expected earnings of 94 cents a share on sales of $5.4 billion. DuPont said it reiterates full-year guidance for organic revenue of slightly down versus prior year and narrows the guidance range for pro forma adjusted EPS to $3.77 to $3.82 from $3.75 to $3.85.
WILMINGTON, Del. , Oct. 31, 2019 /PRNewswire/ -- 3Q19 GAAP EPS from continuing operations of $0.49 ; Adjusted EPS of $0.96 , up 2 percent versus prior year 3Q19 GAAP Income from continuing operations of ...
WILMINGTON, Del., Oct. 30, 2019 /PRNewswire/ -- DuPont (DD) today announced its 2030 Sustainability Goals, underscoring the importance of sustainability in fulfilling its purpose of delivering essential innovations to help societies thrive. The goals also draw inspiration from the United Nations Sustainable Development Goals (SDGs) to identify the world's most important problems that need to be solved. "DuPont's 2030 goals set forth our priorities and align to the sustainability challenges that offer the greatest opportunity to deliver business value, increase resiliency across our value chains and enable people and societies to thrive," said Marc Doyle, Chief Executive Officer for DuPont.
It’s been a tough year for the chemical giant. DuPont reports third-quarter numbers before the market opens for trading on Thursday. Those results will determine whether the stock can claw back some lost ground.
Growth investors are constantly looking for the next massive gainer. We mean the stocks that not only have a proven track record for growth but also exhibit strong long-term growth prospects that could yield high rewards in the years to come.While it’s often tempting to turn to more mainstream names like Apple, these better-known stocks don’t always offer the most upside from the current share price. In this case, stocks that have slipped away from investors' radars can represent more compelling investments as their biggest gains could still be on the way.That being said, finding these under-the-radar names that are poised to skyrocket can seem like a daunting task to even the most seasoned investors. Luckily, TipRanks’ Smart Score tool makes it a little easier. Using the tool, we were able to pinpoint 3 lesser-known stocks primed to take off.Teleflex (TFX)Teleflex develops and manufactures single-use medical devices such as products used for anesthesia, fluid management as well as hand-held instruments. While experiencing a rocky last few months, several analysts believe TFX is well positioned to deliver high returns.Part of the medical device company’s appeal lies with its UroLift product. The system, which is a minimally invasive technology for treating lower urinary tract symptoms due to benign prostatic hyperplasia (BPH), has been approved by the FDA and has been used to treat over 100,000 men globally. With TFX placing the available market opportunity in the U.S. at $6 billion due to the fact that 1.5 million men with BPH have abandoned treatment, UroLift is expected to continue to fuel significant revenue.Additionally, its new MANTA vascular closure device looks especially promising. With the full launch of MANTA slated for 2020, Jeffries analyst Raj Denhoy believes TFX has a “best-in-class reported and organic top-line growth profile relative to peers”. He added, “With TFX now positioned as one of the better positioned mid-cap hospital supply providers, the company is now increasingly attractive to larger diversified medtech peers."As a result, the five-star analyst reiterated a Buy rating and $415 price target on TFX stock. Based on Denhoy's price target, shares could surge 29% over the next twelve months. (To watch Denhoy’s track record, click here)Similarly, the rest of the Street takes a bullish approach when it comes to TFX. 6 Buy ratings and 1 Hold give the stock a ‘Strong Buy’ analyst consensus. Its $397 average price target suggests 24% upside potential. (See Teleflex stock analysis on TipRanks)DuPont de Nemours (DD)It’s no question that the chemical company has received its fair share of negative attention in recent years. Nonetheless, DuPont shares could get a lift thanks to its focus on active portfolio management.Management believes synergies resulting from recent M&A activity could drive substantial gains in terms of revenue. On October 3, DD announced that it had agreed to acquire the Memcor business from Evoqua Water Technologies Corporation. As a result of the deal, Dupont will get access to Evoqua’s ultrafiltration and membrane biofiltration technologies. This acquisition comes on the heels of an earlier agreement with BASF to acquire the ultrafiltration membrane segment of the business.Not to mention the company should see cash flow improve following the sale of its Compound Semiconductor Solutions business.Bearing this in mind, Morgan Stanley analyst Vincent Andrews sees DD’s potential 12-month gain falling at 28%, as he reiterates an Overweight rating and $85 price target. (To watch Andrews’ track record, click here)“We remain of the view that: 1) A ~$100 per share bull case exists should the company achieve max strategic value creation with its four generally unrelated segments; 2) The current share price does not price in any strategic value creation, but rather a typical conglomerate discount,” Andrews noted.Wall Street anchor a bullish perspective on the chemicals maker, as TipRanks analytics showcase DD as a Moderate Buy. Based on 12 analysts polled by TipRanks in the last 3 months, 8 rate DD a "buy," while 4 say "hold." The 12-month average price target stands at $80.82, marking a nearly 20% upside from where the stock is currently trading. (See DuPont stock analysis on TipRanks)Corteva (CTVA)Originally the agricultural component of DowDuPont, Corteva is now a separate company specializing in agricultural chemicals and seeds. With shares dipping 8% in the last month, Deutsche Bank’s David Begleiter argues that the drop represents a unique buying opportunity.The company has recently added a new bundling program called Corteva Cash, with the product already proving to be successful. The bundling program gives seed purchasers a cash credit that can be used to buy pesticides from Corteva. As a result, there has been an uptick in purchases of CTVA pesticides from farmers.In addition to Corteva Cash, the company has placed a significant focus on improving its productivity levels. CTVA recently announced the launch of its “Execute to Win” productivity program to fuel $500 million of EBITDA over the next five years. A new ERP platform is also being put into place in order to address excess costs from its three disparate IT systems including DuPont Crop Protection, Pioneer and Dow Agrosciences, as well as simplify business operations.All of this lends itself to Begleiter’s conclusion that CTVA’s 2x EBITDA discount to FMC Corporation is “unwarranted”. “With double-digit EBITDA growth over the next 3-4 years largely in its own control (due to its substantial cost synergies and productivity initiatives) and valuation compelling versus its closest peer, we reiterate our Buy rating,” he commented. Along with his Buy rating, the five-star analyst set a $35 price target, indicating 37% upside potential. (To watch Begleiter’s track record, click here)Overall, the agricultural chemical maker has had 3 bullish analysts in its corner over the last three months, along with 2 neutral analysts. Importantly, the 12-month average price target of $33,40 showcases 25% in upside potential for the stock.
(Bloomberg Opinion) -- This week marks the 80th anniversary of one of the most successful and consequential product introductions ever. On Oct. 24, 1939, nylon stockings went on sale to the public for the first time. The frenzied reception was comparable to the one that greeted the original iPhone, and so were the long-term consequences.“Customers were lined three deep at the counters most of the day,” reported the New York Times, noting that many buyers were men. The sale was merely a trial: 4,000 unbranded pairs sold by DuPont to demonstrate its new fiber’s real-world wearability. By 1:00 p.m., the six Wilmington, Delaware, stores offering them were completely sold out.The stockings cost $1.15 to $1.35 a pair ($21.09 to $24.76 in today’s dollars), depending on their sheerness, or about four hours of work at the minimum wage of 30 cents. When the national rollout took place the following May, about 800,000 pairs sold the first day.Nylon’s inventor was a brilliant, troubled organic chemist named Wallace Carothers, who was hired by DuPont with the promise that he could research whatever he wanted to. He decided to investigate the nature of polymers, which many chemists believed were too large to be single molecules.By 1931, his team had synthesized the first polyester and demonstrated that polymers were in fact regular molecules of extraordinary, theoretically unlimited, length. It was an enormous scientific achievement with no immediate commercial applications. Although it easily produced fibers, the new polyester melted at too low a temperature to be practical for textiles. After briefly trying different polymer components — amides rather than esters — Carothers turned to other research topics.Nylon came about because DuPont broke its original promise of complete research freedom. As the Great Depression deepened, the company needed to show a return on its scientific investment. Carothers’s boss told him to figure out how to make a practical polymer fiber.“Wallace, if you could just get something with better properties, higher melting point, insolubility, and tensile strength, you could have a new type of fiber,” he said. Why not revisit the polyamide research? After all, he noted, “wool is a polyamide.”So beginning in early 1934, Carothers abandoned pure research and set out to make a polyamide that would tolerate hot water and dry cleaning fluid. After a few months of systematic trials, the lab had its first success: a silk-like filament that stood up to both. Further experiments found a way to synthesize it using benzene, a plentiful coal derivative, thereby making the new fiber affordable. By the end of 1935, the first nylon yarn was ready for testing.Here we see the tricky balance that makes research management so difficult. Without the freedom to do fundamental research on the nature of polymers, nylon would have never been invented. Yet only by demanding that Carothers turn his attention to a more mundane, less scientifically appealing problem did the lab realize his research’s commercial potential.From the start, DuPont knew that women’s hosiery would be a big market for its new fiber. It touted nylon stockings as a substitute for silk, boasting of the geopolitical implications of slashing Japan’s silk exports. “These may change the map of the world,” said an executive. Early sales mostly cut into the market for cheaper rayon and cotton stockings, however, giving silk stocking makers time to make the transition.The new fiber did, of course, shape the map of the world. World War II temporarily diverted nylon away from consumer products to parachutes, glider tow ropes, tire cords, mosquito nets, and flak jackets. When Allied paratroopers dropped from the skies to launch the Normandy invasion, they unfurled nylon parachutes. Someone, perhaps an astute DuPont P.R. man, called the new synthetic the “fiber that won the war.”DuPont made a deliberate decision not to promote nylon as “artificial silk” but, rather, as an exciting new synthetic made from “coal, air, and water.” The clear implication was that nylon was better than old-fashioned silk — stronger, more elastic, quicker drying, less likely to spot in the rain, more durable. Having promoted nylon as more resistant to snags than silk, the company had to damp down public expectations that the new stockings would never run.Just as the iPhone defined a new device category, leading to competing smartphones, so nylon inspired similar synthetic fibers. After reading Carothers’s results, British chemists Rex Whinfield and James Dickson developed the fiber we know today as polyester, using the “less familiar and long neglected” terephthalic acid as an ingredient. They correctly hypothesized that its greater molecular symmetry would produce better results than Carothers’s polyester experiments.Synthetic fibers fostered a fundamental shift in fashion expectations that continues to this day. “More than looks,” writes business historian Regina Lee Blaszczyk, “the characteristic that I call ‘high performance’ distinguished the panoply of postwar products from their early-twentieth-century predecessors….Curtains that could be drip dried, uniforms that never needed ironing, and sweaters that could be washed without shrinking reduced domestic burdens.” Comfort and convenience became paramount, and casual styles followed.Nylons quickly became a synonym for women’s hose, including the pantyhose that supplanted garters and girdles in the era of miniskirts and women’s liberation — the latter made possible in part by synthetics that made keeping house a less than full-time job. Eventually, nylons, too, went out of style, supplanted by bare legs or, in colder temperatures, polyester-spandex tights and leggings. Today’s young woman is more likely to wear nylon in her sneakers or backpack than on her legs.DuPont coined the generic term nylon but didn’t trademark it, reserving proper names for specific uses, such as the Exton toothbrush bristles that were the first nylon on the market, beating stockings by a full year. More even than stockings, those plastic bristles illustrate a technological truth that the iPhone’s makers are facing.A thrilling new technology, if successful, is soon completely taken for granted. Incremental improvements will continue, but the excitement will dim. When was the last time you appreciated your toothbrush bristles for not absorbing water?To contact the author of this story: Virginia Postrel at email@example.comTo contact the editor responsible for this story: Katy Roberts at firstname.lastname@example.orgThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Virginia Postrel is a Bloomberg Opinion columnist. She was the editor of Reason magazine and a columnist for the Wall Street Journal, the Atlantic, the New York Times and Forbes. Her books include “The Power of Glamour.”For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.