StockCall Review on Ferro and PolyOne: Chemical Stocks Benefit from Low Energy
LONDON, February 11, 2013
LONDON, February 11, 2013 /PRNewswire/ --
Specialty chemical companies are performing well. Various reasons supporting
the industry are the improvement in the U.S. economy and recovery of global
economy. Various companies including PolyOne Corporation (NYSE: POL) have
reported strong results, beating analysts' estimates. These companies are also
seeing benefits by the low energy prices as it helps them in controlling their
input and operating costs. On the other hand, Ferro Corp. (NYSE: FOE) is
looking to curtail its costs to improve profits. StockCall analysts initiated
preliminary technical research on PolyOne and Ferro. These free reports are
accessible by signing today at
PolyOne on Acquisition Spree
PolyOne Corporation reported strong quarterly results and beat the street's
estimates. However, its GAAP results fell short of its prior performance. The
company's revenue stood at $679.4 million, surpassing consensus estimate of
$673.7 million while its EPS met the expectation of 21 cents per share. The
results show that the stock is likely to retain its momentum into the
foreseeable future. It gained 50 percent in the past 12 months. The free
technical analysis on PolyOne is available by signing up at
The stock is also being lapped up by hedge funds. According to its recent
filing, Fine Capital Partners holds interest in the company. PolyOne
Corporation is looking ahead to a rewarding 2013 as the global economy shows
the signs of recovery.
The company is also expanding itself as it acquired Glasforms in a $34 million
deal. Glasform deals in advanced composite products and the acquisition will
help PolyOne Corporation to gain foothold in the market. The company expects
the acquisition to be accretive to its earnings this year. PolyOne
Corporation is also looking to close its Spartech Corp deal this year. The
deal will help PolyOne in capturing security and aerospace market. Spartech
acquisition is also expected to be accretive from its full first year.
Overall, PolyOne Corporation is in the position to repeat its past year's
stock performance and offers good upside to investors.
Ferro Corp. Gets Out of Loss Making Business
Ferro Corp. is going ahead with its plans to restructure its business. The
company sold its solar paste assets to Heraeus. The deal will help Ferro Corp.
to get out the loss making business of solar pastes, which had been in decline
since 2011. The company is expected to save $17 million in operating costs
after disposing of the business. Ferro is also planning to take various other
steps to contain its costs and help the company's margins. Demise of its solar
paste business will help it in reducing the negative impact. Register now to
download the free research on Ferro at
Looking forward, Ferro Corp. expects to improve its financial performance. The
company expects its FY2012 EPS to be in the range of 7 cents to 12 cents per
share, while its 2013 EPS is likely to remain between 25 cents and 30 cents
per share. The company is moving into new direction after the change of guard
at the helm. Its CEO James Kirsch resigned in November last year.
Ferro Corp. will also benefit from China's new push to solar companies. The
country recently announced subsidy package for promoting use of solar power.
Ferro Corp. lost a quarter of its value in past 52 weeks. However, the new
steps taken by the company to boost its profitability and margins are expected
to yield good results.
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