Analysts Highlight Celanese Corporation (CE)'s Operating Leverage Amid Potential Demand Cycle

Celanese Corporation (NYSE:CE) is among the 9 Undervalued Chemical Stocks to Buy According to Hedge Funds.

Celanese Corporation (NYSE:CE) is one of the best chemical stocks. 

On February 18, CE’s price target was raised at Evercore ISI and Mizhou. Evercore ISI raised it by $18 while Mizhou raised it by $10. Similarly, earlier on February 5, Jefferies also upgraded CE from Hold to Buy and raised the price target to $86 from $43. While the firm expects the company’s first-half 2026 earnings to remain somewhat uneven, it highlighted that CE provides substantial operating leverage to a potential demand cycle.

According to Jefferies, more project discipline and rationalization in the chemical industry, as well as cumulative economic stimulus in the U.S. and Europe, are gradually replacing the protracted narrative of weak demand and industry de-stocking, indicating that the current climate offers a timely opportunity to buy the dips.

In a similar context, Celanese Corporation (NYSE:CE) disclosed its Q4 and full-year 2025 results on February 17, highlighting the difficulties caused by year-end destocking and pricing pressures. The report states that operating cash flow was $1.1 billion and free cash flow was $773 million, while full-year net sales decreased 7% to $9.5 billion. GAAP EPS indicated a $10.44 loss because of $1.6 billion in specific items, while adjusted EPS was $3.98.

In the fourth quarter, net sales were $2.2 billion, with adjusted EPS of $0.67. The Acetyl Chain segment struggled, but Engineered Materials remained steady. Cost savings, portfolio actions, and the $500 million Micromax divestiture supported cash generation and deleveraging, which helps to keep CE on track with its strategic priorities.

Celanese Corporation (NYSE:CE) is a global chemical company producing engineered polymers and acetyl products, delivering innovative, sustainable solutions for industries like automotive, electronics, and consumer goods.

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