Celanese (CE) Valuation Check: Market Reaction to Heavy Losses, Asset Write-Downs, and Facility Closure

Celanese (CE) shares came into focus after the company posted a hefty net loss and disclosed significant asset impairments for the third quarter. The update points to continuing challenges across key business segments.

See our latest analysis for Celanese.

Celanese’s stock staged a dramatic rebound, surging over 14% in a single day after the company laid out heavy quarterly losses and a major asset write-down. Recent headlines, including the announced closure of its Lanaken acetate tow facility, highlight deep restructuring efforts. Still, momentum has faded over the long run with a 1-year total shareholder return of -51%. This underlines persistent market skepticism, even as investors react positively to shifts that could reset the company’s trajectory.

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With the stock trading at a notable discount to analyst targets and recent results weighing heavily, is Celanese now a bargain waiting to be seized, or has the market already fully factored in these headwinds and future risks?

Most Popular Narrative: 23.1% Undervalued

The most widely followed narrative values Celanese at a fair value of $53.69, notably above its last close at $41.30. Share price gains have not yet matched the expectations set by narrative forecasts, sparking debate about where Celanese goes from here.

Celanese's investments in green chemistry and downstream product diversification position it to capture share as demand accelerates for sustainable materials, driven by both tightening environmental regulation and increased consumer focus on circular solutions. This supports long-term top-line and margin expansion.

Read the complete narrative.

Want to know the financial logic fueling that bullish target? Massive shifts in profit margins, aggressive cost moves, and big bets on next-generation materials power this narrative. The playbook hinges on a few sharply defined assumptions that might surprise you. Curious what could send this stock surging or tumbling? Dive in to find out what drives the math behind the market’s favorite story.

Result: Fair Value of $53.69 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, persistent overcapacity and weak demand could continue to weigh on Celanese’s recovery, particularly if industry volumes remain at historic lows.

Find out about the key risks to this Celanese narrative.

Build Your Own Celanese Narrative

If this story doesn't line up with your own view, or if you're the type who trusts personal research, you'll find it's easy to craft a custom perspective in just minutes, taking matters into your own hands. Do it your way

Story Continues

A great starting point for your Celanese research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include CE.

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