Last Updated: 17 Oct 2024
Executive Summary
Ingevity Corp (NGVT) is a specialty chemicals and activated carbon materials manufacturer with a global presence. Despite recent challenges, the company's strong fundamentals and long-term growth potential make it an attractive investment opportunity.
Company Overview
Ingevity Corp is a leading provider of specialty chemicals and activated carbon materials. The company's products are used in a wide range of industries, including automotive, construction, and consumer goods. Ingevity has a strong global presence, with operations in North America, Asia-Pacific, Europe, the Middle East, Africa, and South America.
Fundamental Analysis
Revenue: Revenue for the latest quarter was $1.55 billion, representing a -0.189% decline year-over-year.
Earnings: The company reported a net loss of $11.85 per share for the latest quarter, significantly below analyst expectations.
Profitability: Ingevity's profit margin is currently -0.279%, indicating a decline in profitability.
Valuation: The stock is currently trading at $35.51, below its 52-week high of $56.3. The forward PE ratio is 9.97, which is below the industry average.
Technical Analysis
Moving Averages: The stock is currently trading below its 50-day and 200-day moving averages, indicating a downward trend.
Support and Resistance: The stock has a support level at $30.9 and a resistance level at $47.75.
Momentum Indicators: Momentum indicators such as the MACD and RSI suggest that the stock is oversold and may be due for a rebound.
Short Term Outlook
In the short term, Ingevity Corp is likely to face continued challenges due to economic headwinds and rising costs. However, the company's strong balance sheet and cost-cutting efforts should help mitigate these risks.
Long Term Outlook
Over the long term, Ingevity Corp is well-positioned for growth. The company's focus on innovation and sustainability should drive demand for its products in the years to come.
Analyst Recommendations
Analysts are generally positive on Ingevity Corp. Two analysts rate the stock a "Strong Buy," one a "Buy," and two a "Hold." The average analyst target price is $47.75, implying a potential upside of 34.5%.
