Celenese (CE) Extends Losses to 3rd Day on Weak Outlook

We recently published 10 Stocks That Vanished in Value Celanese Corp. (NYSE:CE) is one of the worst-performing stocks on Tuesday.

Celanese extended its losing streak to a third straight day on Tuesday, as investor sentiment was dampened by a weak outlook for the rest of the year.

In a statement, Celanese Corp. (NYSE:CE) said it expects “a softening demand environment across most key end-markets in the second half of the year.”

“The company anticipates slowing demand will partially offset the benefits from the cost reduction actions that are expected to be realized in the third quarter. Additionally, [Celanese Corp. (NYSE:CE)] anticipates an approximate $25 million negative sequential impact to earnings due to ongoing inventory reduction efforts,” it said.

In the second quarter of the year, Celanese Corp. (NYSE:CE) grew its net income by 28 percent to $199 million from $155 million in the same period last year.

Copyright: dolgachov / 123RF Stock Photo

Net sales, however, dipped by 4.5 percent to $2.5 billion from $2.65 billion year-on-year.

Commenting on the performance, President and CEO Scott Richardson said that he was pleased with the company’s earnings results. Despite the more cautious outlook, he was confident that their action plans “will continue to drive value.”