First Trust Advisors LP Reduces Stock Holdings in The Chemours Company $CC

Key Points

• First Trust Advisors LP cut its Chemours stake by 45.7% in the first quarter, selling 136,907 shares and retaining 162,565 shares valued at approximately $3.58 million. Institutional investors collectively own 76.26% of Chemours.
• Chemours shares opened at $14.64, down 18.3%, while the company’s quarterly results missed expectations: EPS was $0.42 versus $0.49 expected, and revenue was $1.59 billion versus $1.65 billion projected.
• The company declared a quarterly dividend of $0.0875 per share, equivalent to an annualized $0.35 payout and a 2.4% yield. Analysts maintain a “Moderate Buy” consensus rating with an average price target of $23.80.

First Trust Advisors LP reduced its holdings in shares of The Chemours Company (NYSE:CC - Free Report) by 45.7% in the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 162,565 shares of the specialty chemicals company's stock after selling 136,907 shares during the quarter. First Trust Advisors LP owned approximately 0.11% of Chemours worth $3,581,000 as of its most recent filing with the Securities and Exchange Commission.

Other institutional investors and hedge funds also recently modified their holdings of the company. Cooper Creek Partners Management LLC purchased a new position in shares of Chemours during the third quarter valued at approximately $63,103,000. Scopia Capital Management LP grew its position in shares of Chemours by 71.7% in the second quarter. Scopia Capital Management LP now owns 3,355,261 shares of the specialty chemicals company's stock valued at $38,418,000 after purchasing an additional 1,401,539 shares during the period. State Street Corp increased its stake in Chemours by 22.7% in the second quarter. State Street Corp now owns 6,114,328 shares of the specialty chemicals company's stock valued at $70,009,000 after purchasing an additional 1,131,682 shares during the last quarter. Sona Asset Management US LLC lifted its position in Chemours by 176.9% during the fourth quarter. Sona Asset Management US LLC now owns 1,651,275 shares of the specialty chemicals company's stock worth $19,469,000 after buying an additional 1,055,000 shares during the period. Finally, Goldman Sachs Group Inc. lifted its position in Chemours by 36.8% during the fourth quarter. Goldman Sachs Group Inc. now owns 3,701,294 shares of the specialty chemicals company's stock worth $43,638,000 after buying an additional 996,012 shares during the period. Hedge funds and other institutional investors own 76.26% of the company's stock.

Chemours Stock Down 18.3%

Shares of NYSE CC opened at $14.64 on Thursday. The company has a debt-to-equity ratio of 18.98, a quick ratio of 0.87 and a current ratio of 1.82. The Chemours Company has a 1 year low of $10.44 and a 1 year high of $28.67. The stock's 50-day simple moving average is $19.51 and its 200-day simple moving average is $20.06. The firm has a market cap of $2.20 billion, a price-to-earnings ratio of -7.67 and a beta of 1.43.

Chemours (NYSE:CC - Get Free Report) last posted its quarterly earnings data on Tuesday, August 4th. The specialty chemicals company reported $0.42 EPS for the quarter, missing analysts' consensus estimates of $0.49 by ($0.07). Chemours had a negative net margin of 5.00% and a positive return on equity of 42.63%. The company had revenue of $1.59 billion for the quarter, compared to the consensus estimate of $1.65 billion. During the same quarter last year, the company earned ($2.54) earnings per share. The company's revenue was down 1.5% compared to the same quarter last year. As a group, equities analysts anticipate that The Chemours Company will post 1.18 earnings per share for the current fiscal year.

Chemours Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 15th. Investors of record on Friday, August 14th will be issued a $0.0875 dividend. This represents a $0.35 dividend on an annualized basis and a yield of 2.4%. The ex-dividend date of this dividend is Friday, August 14th. Chemours's dividend payout ratio is -18.32%.

Wall Street Analyst Weigh In

A number of research firms have recently commented on CC. Morgan Stanley raised their price objective on Chemours from $17.00 to $21.00 and gave the stock an "equal weight" rating in a report on Monday, May 11th. Mizuho set a $22.00 target price on Chemours in a report on Wednesday. Alembic Global Advisors reissued an "overweight" rating and set a $30.00 target price on shares of Chemours in a research report on Wednesday, May 13th. JPMorgan Chase & Co. raised their price target on shares of Chemours from $17.00 to $22.00 and gave the company a "neutral" rating in a report on Thursday, May 21st. Finally, Weiss Ratings reaffirmed a "sell (d)" rating on shares of Chemours in a research report on Friday, July 17th. One investment analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, four have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, Chemours presently has a consensus rating of "Moderate Buy" and a consensus target price of $23.80.

Key Chemours News

Here are the key news stories impacting Chemours this week:

• Positive Sentiment: Chemours generated $114 million in free cash flow and $158 million in operating cash flow during the quarter. Titanium Technologies sales increased 1% year over year to $661 million, and management maintained its full-year outlook for 1%–5% sales growth and adjusted EBITDA of $775 million–$825 million. Chemours Reports Second Quarter Results
• Neutral Sentiment: The board declared a quarterly dividend of $0.0875 per share. Investors of record on August 14 will receive the payment on September 15; the ex-dividend date is August 14. Chemours Announces Third Quarter Dividend
• Negative Sentiment: Second-quarter adjusted earnings were $0.42 per share, below the roughly $0.43–$0.50 analyst expectations, while revenue of $1.591 billion fell short of the approximately $1.65 billion consensus and declined about 1%–1.5% year over year. Adjusted EBITDA also decreased to $247 million from $260 million.
• Negative Sentiment: Chemours reported a $274 million net loss, or $1.81 per diluted share, and Advanced Performance Materials sales fell 6% to $326 million. Reports indicated that litigation-related costs weighed on results, reducing the impact of anticipated growth tied to data centers and AI infrastructure. Chemours Slides as Litigation Costs Overshadow Data Center Growth
• Negative Sentiment: Near-term expectations also disappointed: third-quarter revenue guidance of $1.5 billion–$1.6 billion was below the $1.6 billion consensus estimate. Chemours had $3.9 billion of gross debt at June 30, adding balance-sheet risk as profitability remains pressured.

Chemours Company Profile

Chemours Company, established in 2015 as a spin-off from E. I. du Pont de Nemours and Company, is a global chemistry organization headquartered in Wilmington, Delaware. Since its formation, Chemours has focused on delivering performance chemicals that help customers lower their carbon footprint, increase energy efficiency and conserve water. The company operates with a commitment to safety, environmental stewardship and innovation.

Chemours' principal business activities are organized into three core segments.

Want to see what other hedge funds are holding CC? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for The Chemours Company (NYSE:CC - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source