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Nervous markets await NvidiaThis summary was created by AI, based on 6 opinions in the last 12 months.
DuPont de Nemours Inc. has been facing challenges, with a significant drop in stock value influenced by concerns related to a division under investigation by Chinese authorities and the broader trade environment. The stock has declined approximately 24% year-to-date, raising questions about its future momentum amid a cooling economy. However, despite these setbacks, some experts express optimism about the company's potential for earnings growth, suggesting that the stock may be cheap enough to hold through this volatile cycle. The announcement of a spin-off of a division is seen as a strategic move that could unlock additional value, and the company's leadership is viewed favorably. Overall, while the stock may not be the most attractive option currently due to its recent performance, there are elements suggesting it could rebound in the longer term.
In the current market it is hard to determine how much of the recent drop was China related, or market related. It is not good news, and the stock is down 24% YTD. It is also, of course, sensitive to the economy, which has gone from hot to cool to maybe cold. Good earnings growth is expected based on estimates, and even if this comes down a bit there should still be some earnings growth. We think it is cheap enough to hold through the current cycle. It may stay volatile in the short term, along with pretty much everything else.
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They just finished a $3.25 billion share buyback and will start a $2 billion one. They've retired 7.6% of their shares so far this year. All told they will reduce shares by 13.5%, the 3rd-biggest buyback on the S&P 500. If you feel interest rates will continue to rise, Dupont is too risk; Dupont has some cyclicality because it's exposed to autos. Overall, he likes Dupont.
DD operates in a cyclical industry and is now trading at 20x times' Forward P/E. In the last few years, DD did actively sell some of its non-core assets, and redeploy the proceeds into significant share repurchases. The balance sheet is okay, with net debt of $3.7B (the debt has gone down substantially due to the proceeds from asset sales mentioned) and net debt/EBITDA is around 1.1x, okay for a cyclical name. Based on consensus estimates, sales are expected to decline by 5% this year and then normalize to around 5% growth going forward. Given the aggressive buyback (the company even cuts the dividends to do more buybacks), DD is quite attractive, but, given the cyclicality of the business, we would size the position conversatively.
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DuPont de Nemours Inc. is a American stock, trading under the symbol DD-N on the New York Stock Exchange (DD). It is usually referred to as NYSE:DD or DD-N
In the last year, 6 stock analysts published opinions about DD-N. 2 analysts recommended to BUY the stock. 2 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for DuPont de Nemours Inc..
DuPont de Nemours Inc. was recommended as a Top Pick by on . Read the latest stock experts ratings for DuPont de Nemours Inc..
Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.
6 stock analysts on Stockchase covered DuPont de Nemours Inc. In the last year. It is a trending stock that is worth watching.
On 2025-04-25, DuPont de Nemours Inc. (DD-N) stock closed at a price of $65.69.
They have one small division that Chinese authorities investigated, so the stock lost 25% of its value, and hasn't bounced back. He likes DD, but who knows what China will do during this trade war with Trump.