Trend-spotting is an important skill for investors. Let’s see if we can spot the trend here:
In 1984, Continental Illinois, the seventh-largest bank in the nation, failed because it had invested too heavily in oil and gas loans.
In the 1980s and 1990s, hundreds of banks and savings & loans collapsed because they had invested too much in frothy real estate.
In 2009, Washington Mutual failed, the largest failure since Continental Illinois, because it, too, had made too many awful real estate loans.
The trend, of course, is to be as wary of banks selling loans as you would be of gift-bearing Greeks. Which brings us to today’s topic: Bank loan funds.
Banks make most of their money by taking short-term deposits and making long-term loans. Your certificate of deposit, most likely, is not sitting in the Bedford Falls Building & Loan, but has been lent to homeowners in Bailey Park — or just as likely, a local business.
Top 5 Chemical Stocks To Invest In Right Now: BioAmber Inc (BIOA)
BioAmber Inc. (BioAmber), incorporated on October 15, 2008, is a chemical company. The Company manufactures its bio-succinic acid in a facility using a commercial scale 350,000 liter fermenter in Pomacle, France. During the year ended December 31, 2011, the Company produced 487,000 pounds, or 221 metric tons, of bio-succinic acid at this facility. Succinic acid is used to manufacture a range of products used every day, including plastics, food additives and personal care products, and can also be used as a building block for a range of derivative chemicals. The Company produces and sells bio-succinic acid using its process for petroleum-derived succinic acid. It also has additional bio-based products under development with partners including bio-succinic acid derivatives, such as BDO, and applications of bio-succinic acid, such as plasticizers, polyurethanes and de-icing solutions. During 2011, the Company created a wholly owned subsidiary, BioAmber International, S.a.r.l.
The Company develops bio-succinic acid for a range of markets, such as personal care products and food additives, plasticizers, polyurethanes, resins and coatings. The applications for bio-succinic acid include plasticizers, polyurethanes, personal care products, de-icing solutions, resins and coatings, food additives, lubricants and other products. Plasticizers are organic esters that are primarily used to make flexible polyvinyl chloride. Adipic acid is used in polyester polyols, which are used to make polyurethanes. Polyurethanes are used in, among other things, soles for footwear, molded foams for automotive applications, such as car seats and arm rests, and non-foam applications such as coatings, adhesives and sealants. Other applications of bio-succinic acid that are developed and tested by potential customers, which include anti-freeze solutions, solvents, water treatment chemicals and effervescence agents such laundry tablets and bath salts.
The Company competes with Gadiv Petrochemical Industries ! Ltd., Mitsubishi Chemical, DSM, Anqing Hexing Chemical Co Ltd, Anhui Sunsing Chemicals Co., Ltd., Genomatica, Inc., Myriant Corporation and Roquette Freres S.A.
- [By Matt Jarzemsky]
Out of the 2013 vintage, some of the best performers so far this year have been early-stage healthcare firms like BioAmber Inc.(BIOA), up 86% year-to-date through Thursday, and Kindred Biosciences Inc.(KIN), up 82%. A number of high-flying tech startups have also continued to soar. Cybersecurity firm FireEye Inc.(FEYE) has gained 67% since the start of the year. Online coupon company RetailMeNot Inc.(SALE) is up 48%.
- [By Maxx Chatsko]
He believes several companies have set the bar precipitously low to start the year despite targeted developments expected to occur before the start of 2014. Watch the following video for his thoughts on potential positive surprises awaiting investors in Amyris (NASDAQ: AMRS ) , BioAmber (NYSE: BIOA ) , Codexis (NASDAQ: CDXS ) , and Solazyme (NASDAQ: SZYM ) .
- [By Markus Aarnio]
BioAmber (BIOA) is a sustainable chemicals company. Its proprietary technology platform combines industrial biotechnology and chemical catalysis to convert renewable feedstock into chemicals for use in a wide variety of everyday products including plastics, resins, food additives and personal care products.
Top 5 Chemical Stocks To Invest In Right Now: Celanese Corporation (CE)
Celanese Corporation, a technology and specialty materials company, engages in manufacture and sale of value-added chemicals, thermoplastic polymers, and other chemical-based products. It operates through four business segments: Advanced Engineered Materials, Consumer Specialties, Industrial Specialties, and Acetyl Intermediates. The Advanced Engineered Materials segment offers specialty polymers for application in automotive, medical, and electronics products, as well as other consumer and industrial applications. The Consumer Specialties segment provides cellulose acetate flake, film, and tow that are primarily used in filter products applications; Sunett, a sweetener; and food protection ingredients, such as sorbates and sorbic acid for the food, beverage, and pharmaceutical industries. The Industrial Specialties segment produces emulsions and ethylene vinyl acetate (EVA) performance polymers. Its emulsions products are used in applications, such as paints and coatings, adhesives, construction, glass fiber, textiles, and paper; and EVA performance polymers are used in flexible packaging films, lamination film products, hot melt adhesives, medical products, automotive, carpeting and photovoltaic cells. The Acetyl Intermediates segment offers acetyl products, including acetic acid, vinyl acetate monomer, acetic anhydride, and acetate esters for use as starting materials for colorants, paints, adhesives, coatings, and medicines. It also provides organic solvents and intermediates for pharmaceutical, agricultural, and chemical products. The company offers its products directly, as well as through distributors and electronic marketplaces in North America, Europe, Africa, the Asia-Pacific, and South America. Celanese Corporation was founded in 2004 and is headquartered in Dallas, Texas.
- [By Magic Diligence]
Given this fact, and the fact that consumer electronics (CE) is a cyclical industry, flash supply and demand balance is very tenuous. Frantic production to catch up to demand often leads to dramatic over-supply when the CE market cools off. One needs only to look at SanDisk’s financials to see this. The company swung from a $917 dollar operations loss in 2008 to a $1.5 billion dollar profit in 2011, and which was then cut in half to just a $700 million profit the following year!
- [By Monica Gerson]
Celanese (NYSE: CE) is estimated to report its Q3 earnings at $1.04 per share on revenue of $1.59 billion.
Posted-In: Earnings scheduleEarnings News Pre-Market Outlook Markets
- [By Travis Hoium]
What: Shares of chemical maker Celanese (NYSE: CE ) jumped as much as 16% today after the company released earnings.
So what: Revenue fell slightly in the first quarter, to $1.61 billion, but adjusted earnings per share jumped 44%, to $1.14. Revenue was in line with expectations, and earnings crushed the $0.79 that analysts expected.
- [By Eric Volkman]
Celanese (NYSE: CE ) will have to pony up a significantly higher amount of money for its shareholder payouts. The company has declared a common stock dividend of $0.18 per share, to be paid on August 15 to shareholders of record as of August 5. That amount is exactly double the company’s previous distribution of $0.09.
Top 5 Chemical Stocks To Invest In Right Now: LyondellBasell Industries NV(LYB)
LyondellBasell Industries N.V. manufacturers and sells chemicals and polymers, refines crude oil, produces gasoline blending components, and develops and licenses technologies for production of polymers. The company?s Olefins and Polyolefins segment offers olefins, including ethylene, propylene, and butadiene; aromatics, such as benzene and toluene; polyolefins, which comprise polypropylene (PP), high-density polyethylene, low-density polyethylene, and linear low-density polyethylene; specialty polyolefins, including catalloy process resins, PP compounds, and polybutene-1 resins; and ethylene derivatives, which comprise ethanol. Its Intermediates and Derivatives segment provides propylene oxide (PO); PO co-products, including styrene monomers and TBA derivative isobutylene; PO derivatives, such as propylene glycol, propylene glycol ethers, and butanediol; acetyls, such as methanol, acetic acid, and vinyl acetate monomers; ethylene derivatives, which comprise ethylene oxide , ethylene glycol, and ethylene glycol ethers; and flavor and fragrance chemicals. The company?s Refining and Oxyfuels segment offers gasoline and components, ultra low sulfur diesel, jet fuel, and lube oils; diesel, feedstock, fuel oil, gasoline, and bitumen; and gasoline blending components, including methyl tertiary butyl ether, ethyl tertiary butyl ether, and alkylate. Its Technology segment develops and licenses polyolefin and other process technologies. This segment also develops, manufactures, and sells polyolefin catalysts, as well as provides technology services, which comprise safety reviews, training and start-up assistance, engineering services for process and product improvements, and manufacturing troubleshooting. LyondellBasell Industries N.V. has operations in the Americas, Europe, Asia, and internationally. The company was founded in 2005 and is based in Rotterdam, Netherlands. LyondellBasell Industries N.V. is a subsidiary of Prochemie GmbH.
- [By John Kell]
LyondellBasell Industries N.V.(LYB) said its fourth-quarter earnings soared 86% as the plastics and chemicals company reported better profitability across all key business segments. Results were far better than Wall Street expected, sending shares up 2.4% to $79.90 in premarket trading.
- [By Peter Staas]
Holland-based petrochemical outfit LyondellBasell Industries (LYB) remains the best bet for income-seeking investors to profit from persistently weak ethane prices in North America.
- [By Lauren Pollock]
LyondellBasell Industries N.V.’s(LYB) third-quarter earnings edged up 0.8% as the plastics and chemicals company reported stronger profits in its olefins and polyolefins segments, though results were weaker in its intermediates and refining businesses. Results missed estimates, sending shares down 2% premarket to $74.
- [By Tyler Crowe]
This cheap feedstock has sent production up over one-third in the past five years, and has given a nice pad to chemical company earnings. LyondellBassell (NYSE: LYB ) reported that 2012 was a record year in terms of earnings despite a 6% drop in revenue. These kinds of results have resulted in a mad rush to increase capacity. The entire industry has plans to spend about $30 billion in new plants to take advantage of cheap feedstock. Dow personally is looking to invest $1.7 billion to build what would be the company’s largest ethylene facility and would increase the company’s ethylene capacity by 1.5 million tons per year. With so much invested in cheap natural gas, it should come as no surprise that the company will look to protect that position for as long as possible.
Top 5 Chemical Stocks To Invest In Right Now: HB Fuller Co (FUL)
H.B. Fuller Company, incorporated on December 16, 1915, is formulator, manufacturer and marketer of adhesives, sealants and other specialty chemical products. The Company operates in five segments: North America Adhesives, Construction Products, Europe, India, Middle East and Africa (EIMEA), Latin America Adhesives and Asia Pacific. Sales operations span 40 countries in North America, Europe, Latin America, the Asia Pacific region, India, the Middle East and Africa. Industrial adhesives represent the Company’s core product offering. The Company also provides its customers with technical support and solutions designed to address their specific needs. The Company has a variety of product offerings for residential construction markets, such as tile-setting adhesives, grouts, sealants and related products. These products are sold primarily in the Company’s Construction Products operating segment. On September 10, 2012, the Company acquired Engent, Inc. On August 6, 2012, the C ompany sold its Central America Paints business. In June 2013, HB Fuller Co announced that it has finalized the purchase of Plexbond Quimica S/A.
The Company’s North America Adhesives, EIMEA, Latin America Adhesives and Asia Pacific operating segments produce and supply industrial adhesives products for applications in various markets, including assembly (appliances, filters, construction), packaging (food and beverage containers, flexible packaging, consumer goods, package integrity and re-enforcement, durable and non-durable goods, etc.), converting (corrugation, tape and label, paper converting, envelopes, books, multi-wall bags and sacks), nonwoven and hygiene (disposable diapers, feminine care, medical garments, tissue and towel), performance wood (windows, doors, wood flooring) and textile (footwear and sportswear). The North America Adhesives operating segment includes a range of specialty adhesives, such as thermoplastic, thermoset, reactive, water-based and solvent-based products. Sales are made primarily throug! h a direct sales force with a smaller portion of sales through distributors.
The Construction Products operating segment includes products used for tile setting (adhesives, grouts, mortars, sealers, levelers, etc.), heating, ventilation and air conditioning and insulation applications (duct sealants, weather barriers and fungicidal coatings, block fillers). Construction Product sales are made primarily through distributors and to a lesser extent big box retailers and a direct sales force. The EIMEA operating segment is comprised of an adhesives component with the same range of products as the North America Adhesives operating segment. EIMEA adhesives sales are made through both a direct sales force and distributors. The Latin America Adhesives operating segment is similar to that of the North America Adhesives operating segment and sales are made primarily through a direct sales force. The Asia Pacific operating segment is similar to that of the North America Ad hesives operating segment, with one exception. The Asia Pacific operating segment also includes caulks and sealants for the consumer market and professional trade, sold through retailers. Other adhesives sales are made through a direct sales force and distributors.
- [By Michael Flannelly]
Because shares of H.B. Fuller Co. (FUL) have rallied over 50% in the past year, analysts at Deutsche Bank downgraded the chemical products maker early on Friday on a valuation call.
The analysts downgraded FUL from “Buy” to “Hold” and see shares reaching $50. This price target suggests a 10% upside to the stock’s Thursday closing price of $45.44.
H.B. Fuller shares were down 84 cents, or 1.85%, during pre-market trading on Friday. The stock is up 30.5% year-to-date.
- [By Rich Duprey]
Adhesives maker H.B. Fuller (NYSE: FUL ) announced yesterday its third-quarter dividend of $0.10 per share, the same rate it paid last quarter after raising the payout almost 18% from $0.085 per share.
Top 5 Chemical Stocks To Invest In Right Now: Uralkaliy OAO (URALL.PK)
Uralkaliy OAO (Uralkali OJSC) is a Russia-based company, which is engaged in the chemical industry. The Company specializes in the production of potash fertilizers. Its product portfolio comprises pink muriate of potash (PMOP), white muriate of potash (WMOP) and granular (GMOP). The Company is active through representative offices, located in Moscow and Beijing, as well as numerous subsidiaries, located countrywide and in Panama, Belarus, Singapore, Brazil and others. Uralkaliy OAO operates on the potassium and magnesium deposits located in Berezniki, Perm and Saint Petersburg. Its production assets include seven plants and five mines. Uralkaliy OAO sells its products domestically, as well as abroad in over 40 countries, including the United States, China, Brazil, India and South-East Asia, among others. Advisors’ Opinion:
- [By Tim Gallagher]
The potash spat continues to get uglier, as Belarus investigators reportedly intend to seize property and assets of Russia’s Uralkali (URALL.PK) following the collapse of the joint Russian-Belarussian potash venture.
- [By Chris Damas]
This morning Russian potash giant OJSC Uralkali (URALL.PK) presented first half 2013 financial and operating results and more importantly, much anticipated comments on the strategy of the company and the state of the international potash industry, the latter blind-sided by the leading potash company’s split with marketing partner JSC Belaruskali of Belarus.