Headquartered in Wilmington, Delaware, DuPont de Nemours, Inc. (DD) is a global innovation leader in the fields of science and technology. With a market cap of $32.93 billion, DuPont specializes in a broad range of industries, offering advanced materials, specialty chemicals, and agricultural solutions. Known for its commitment to sustainability and innovation, DuPont provides products and services that address global challenges across various sectors, including electronics, automotive, and healthcare.
Shares of DD have significantly underperformed the broader market over the past year. The stock has gained 6.7% over this time frame, while the broader S&P 500 Index ($SPX) has rallied nearly 24.9%. In 2024, the stock is up 4.4%, while the SPX has gained 16.2% on a YTD basis.
Narrowing the focus, DD's underperformance looks less pronounced when measured against the iShares U.S. Basic Materials ETF (IYM). The exchange-traded fund has gained 7.9% over this period. Also, the stock's YTD gains are ahead of the exchange-traded fund's 2.1% returns over the same time frame.
On Jul. 30, DD reported its Q2 results. Its adjusted EPS of $0.97 exceeded the analysts' expectation of $0.85. The company’s revenue came in at $3.17 billion, surpassing the Wall Street estimates of $3.04 billion. DD expects full-year EPS to be between $3.70 - $3.80 per share, with revenue to be between $12.4 billion - $12.5 billion. Shares of DD closed up more than 4% on the day the results were released.
For the current fiscal year, ending in December, analysts expect DD’s EPS to grow 7.5% to $3.74 on a diluted basis. The company's earnings surprise history is impressive. It beat the consensus estimate in each of the last four quarters.
Among the 15 analysts covering DD stock, the consensus rating is a “Moderate Buy.” That’s based on eight “Strong Buy” ratings, one “Moderate Buy,” five “Holds,” and one “Moderate Sell.”
This configuration is more bullish than three months ago, with four suggesting a “Strong Buy.”
On Aug. 2, Arun Viswanathan from RBC Capital maintained a “Buy” rating on DuPont de Nemours with a price target of $102, implying a potential upside of 27.1% from current levels.
The mean price target of $95.83 represents a 19.4% premium to DD’s current price levels. The Street-high price target of $105 suggests an upside potential of 30.8%.
On the date of publication, Rashmi Kumari did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
