Insights into Element Solutions's Upcoming Earnings

Element Solutions ESI is gearing up to announce its quarterly earnings on Monday, 2024-10-28. Here's a quick overview of what investors should know before the release.

Analysts are estimating that Element Solutions will report an earnings per share (EPS) of $0.39.

The announcement from Element Solutions is eagerly anticipated, with investors seeking news of surpassing estimates and favorable guidance for the next quarter.

It's worth noting for new investors that guidance can be a key determinant of stock price movements.

Earnings History Snapshot

Last quarter the company beat EPS by $0.01, which was followed by a 3.05% drop in the share price the next day.

Here's a look at Element Solutions's past performance and the resulting price change:

Analysts' Perspectives on Element Solutions

For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on Element Solutions.

The consensus rating for Element Solutions is Buy, derived from 1 analyst ratings. An average one-year price target of $33.0 implies a potential 22.31% upside.

Comparing Ratings Among Industry Peers

The below comparison of the analyst ratings and average 1-year price targets of Arcadium Lithium, Balchem and Axalta Coating Sys, three prominent players in the industry, gives insights for their relative performance expectations and market positioning.

• For Arcadium Lithium, analysts project an Neutral trajectory, with an average 1-year price target of $4.83, indicating a potential 82.1% downside.
• The prevailing sentiment among analysts is an Buy trajectory for Balchem, with an average 1-year price target of $185.0, implying a potential 585.69% upside.
• Analysts currently favor an Outperform trajectory for Axalta Coating Sys, with an average 1-year price target of $42.6, suggesting a potential 57.89% upside.

Peer Analysis Summary

The peer analysis summary offers a detailed examination of key metrics for Arcadium Lithium, Balchem and Axalta Coating Sys, providing valuable insights into their respective standings within the industry and their market positions and comparative performance.

Key Takeaway:

Element Solutions ranks at the top for Revenue Growth with 4.54%. It is in the middle for Gross Profit at $267.20M. For Return on Equity, Element Solutions is at the bottom with 3.97%.

Get to Know Element Solutions Better

Element Solutions Inc is a specialty chemicals company whose businesses supply a broad range of solutions that enhance the performance of products people use every day. The company has two segments which are Electronics and Industrial & Specialty. The Industrial & Specialty segment which generates majority of the revenue, includes chemical systems that protect and decorate metal and plastic surfaces; consumable chemicals that enable printing image transfer on flexible packaging materials; and chemistries used in water-based hydraulic control fluids in offshore energy production. Electronics segment researches, formulates and sells specialty chemicals and process technologies for all types of electronics hardware, from complex printed circuit board designs to semiconductor packaging.

Understanding the Numbers: Element Solutions's Finances

Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.

Positive Revenue Trend: Examining Element Solutions's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 4.54% as of 30 June, 2024, showcasing a substantial increase in top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Materials sector.

Net Margin: Element Solutions's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 15.21% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): Element Solutions's ROE stands out, surpassing industry averages. With an impressive ROE of 3.97%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): Element Solutions's ROA excels beyond industry benchmarks, reaching 1.88%. This signifies efficient management of assets and strong financial health.

Debt Management: Element Solutions's debt-to-equity ratio is below the industry average at 0.81, reflecting a lower dependency on debt financing and a more conservative financial approach.

To track all earnings releases for Element Solutions visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.