Hsbc Holdings PLC Makes New $4.68 Million Investment in The Chemours Company $CC

Key Points

• HSBC Holdings acquired 230,056 Chemours shares worth approximately $4.68 million, representing about 0.15% of the company. Institutional investors and hedge funds collectively own 76.26% of Chemours.
• Analyst sentiment is mixed, with five Buy, five Hold and two Sell ratings; the consensus rating is Hold with a $20.10 price target.
• Chemours reported quarterly revenue of $1.59 billion and earnings of $0.42 per share, both below analyst expectations. The company also faces a $455 million PFAS settlement, although its estimated $180 million share is covered by existing accruals.

Hsbc Holdings PLC acquired a new stake in shares of The Chemours Company (NYSE:CC - Free Report) during the 2nd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 230,056 shares of the specialty chemicals company's stock, valued at approximately $4,680,000. Hsbc Holdings PLC owned approximately 0.15% of Chemours as of its most recent SEC filing.

A number of other institutional investors also recently bought and sold shares of the stock. BlackRock Inc. acquired a new position in Chemours during the 2nd quarter valued at approximately $477,769,000. Cooper Creek Partners Management LLC purchased a new stake in shares of Chemours during the third quarter valued at $63,103,000. Wolf Hill Capital Management LP purchased a new stake in shares of Chemours during the second quarter valued at $59,698,056. Bank of New York Mellon Corp acquired a new position in shares of Chemours in the 2nd quarter valued at $33,353,000. Finally, Scopia Capital Management LP raised its stake in Chemours by 71.7% in the 2nd quarter. Scopia Capital Management LP now owns 3,355,261 shares of the specialty chemicals company's stock worth $38,418,000 after acquiring an additional 1,401,539 shares during the last quarter. 76.26% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

A number of analysts have commented on the company. Mizuho set a $22.00 price target on Chemours in a research report on Wednesday, August 5th. Morgan Stanley set a $18.00 target price on Chemours in a research report on Monday, August 10th. Truist Financial cut their price target on shares of Chemours from $30.00 to $24.00 and set a "buy" rating on the stock in a report on Thursday, August 6th. Zacks Research lowered shares of Chemours from a "strong-buy" rating to a "strong sell" rating in a research report on Tuesday, August 11th. Finally, UBS Group restated a "neutral" rating and set a $18.00 price objective (down from $29.00) on shares of Chemours in a research note on Monday, August 10th. Five investment analysts have rated the stock with a Buy rating, five have given a Hold rating and two have assigned a Sell rating to the company's stock. Based on data from MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus price target of $20.10.

Key Chemours News

Here are the key news stories impacting Chemours this week:

• Positive Sentiment: The companies will pay $455 million over 15 years to resolve claims tied to PFAS contamination at Chemours’ Fayetteville Works plant, historical discharges and certain other sources. Chemours’ share is approximately $180 million on a net-present-value basis, and the company said the obligation is covered by existing accruals, reducing the risk of a major unexpected cash impact. Chemours, DuPont and Corteva Reach Agreement to Resolve PFAS-Related Claims in North Carolina
• Positive Sentiment: The settlement removes significant North Carolina litigation uncertainty and clarifies payment timing and future obligations, a factor cited in reports explaining the stock’s advance. Why Is Chemours Stock Trading Higher Today?
• Neutral Sentiment: News reports cite $380 million or $590 million figures in connection with portions of the claims or the local-entity settlement. The companies’ stated comprehensive settlement is $455 million, so investors should rely on the official terms when assessing Chemours’ ultimate exposure. Chemours, DuPont, Corteva Settle North Carolina PFAS Claims
• Negative Sentiment: The agreement confirms a substantial long-term financial and environmental liability for Chemours, while PFAS-related risks may continue in other jurisdictions or from unresolved claims. Chemours to Pay $455 Million for Fayetteville Works Contamination

Chemours Stock Performance

Shares of CC stock opened at $15.06 on Friday. The Chemours Company has a 52-week low of $10.44 and a 52-week high of $28.67. The company has a quick ratio of 0.88, a current ratio of 1.66 and a debt-to-equity ratio of 18.98. The stock has a market cap of $2.27 billion, a PE ratio of -7.89 and a beta of 1.42. The business has a 50-day simple moving average of $16.47 and a 200-day simple moving average of $19.67.

Chemours (NYSE:CC - Get Free Report) last announced its quarterly earnings results on Tuesday, August 4th. The specialty chemicals company reported $0.42 earnings per share for the quarter, missing the consensus estimate of $0.49 by ($0.07). Chemours had a negative net margin of 5.00% and a positive return on equity of 60.64%. The company had revenue of $1.59 billion for the quarter, compared to analysts' expectations of $1.65 billion. During the same quarter in the prior year, the business posted ($2.54) earnings per share. The firm's revenue was down 1.5% compared to the same quarter last year. On average, equities analysts expect that The Chemours Company will post 0.87 EPS for the current year.

Chemours Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Tuesday, September 15th. Investors of record on Friday, August 14th will be issued a dividend of $0.0875 per share. The ex-dividend date of this dividend is Friday, August 14th. This represents a $0.35 dividend on an annualized basis and a yield of 2.3%. Chemours's dividend payout ratio is -18.32%.

Insider Activity at Chemours

In other news, CEO Denise Dignam purchased 3,378 shares of the company's stock in a transaction that occurred on Tuesday, August 11th. The shares were bought at an average price of $14.95 per share, for a total transaction of $50,501.10. Following the completion of the transaction, the chief executive officer owned 339,916 shares in the company, valued at $5,081,744.20. This represents a 1.00% increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is accessible through this link. Also, CFO Shane Hostetter acquired 3,350 shares of the firm's stock in a transaction on Thursday, August 6th. The stock was purchased at an average price of $14.94 per share, with a total value of $50,049.00. Following the transaction, the chief financial officer owned 102,698 shares of the company's stock, valued at approximately $1,534,308.12. This trade represents a 3.37% increase in their position. The SEC filing for this purchase provides additional information. Over the last quarter, insiders have bought 8,663 shares of company stock worth $130,601. 0.85% of the stock is owned by company insiders.

Chemours 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.

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