Morgan Stanley Boosts Avient (AVNT) Price Forecast Following Q4 EPS Review

Avient Corporation (NYSE:AVNT) is included among the 13 Best Strong Buy Dividend Stocks to Invest in.

On February 17, Morgan Stanley raised its price recommendation on Avient Corporation (NYSE:AVNT) to $52 from $41. The firm maintained an Equal Weight rating on the shares. The revision came after the firm reviewed the company’s Q4 EPS and updated its valuation to reflect 2026 estimates. Morgan Stanley also issued a corrected note, increasing the target after its earlier report published on February 13.

During the Q4 2025 earnings call, President, CEO, and Chairman Ashish Khandpur said the company delivered strong results through disciplined execution and careful cost management. He also pointed to the benefit of a more favorable business mix. These factors helped expand adjusted EBITDA margins by 80 basis points and drove adjusted EPS growth of 14% in the fourth quarter.

He noted that adjusted EBITDA margins improved year over year in every quarter of 2025. This steady improvement reflected consistent operational performance. Organic sales declined slightly, down 0.8% in the fourth quarter. Even so, reported sales increased 1.9%, supported by favorable foreign exchange trends.

Khandpur also highlighted strength across several important end markets. Defense, health care, and telecom each delivered double-digit growth, showing continued demand. Packaging demand also began to recover. Sales in that segment increased in the low single digits during the fourth quarter, compared with a decline in the third quarter. For the full year, adjusted EBITDA reached $545 million in 2025, representing growth of 3.5% from the prior year. Adjusted EPS rose 6%, helped by lower interest costs and favorable currency movements.

Avient Corporation (NYSE:AVNT) provides materials solutions used across a wide range of industries. Its portfolio includes colorants, advanced composites, functional additives, engineered materials, and Dyneema, its ultra-high-molecular-weight polyethylene product.

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