1. How to use GuruFocus - Tutorials
  2. What Is in the GuruFocus Premium Membership?
  3. A DIY Guide on How to Invest Using Guru Strategies

Mario Gabelli Comments on Chemtura Corp.

January 29, 2014 | About:
Chemtura Corp. (CHMT)(0.1%) (CHMT - $27.92 - NYSE) is a global developer, manufacturer, and marketer of engineered specialty chemicals. Its products are used as additives, ingredients, or intermediates, serving major industries such as agriculture, building & construction, consumer, energy, electrical & electronics, transportation, and general industrial. Since its emergence from Chapter 11 in November 2010, under the leadership of Craig Rogerson, the management team has focused on actively managing its portfolio via investments in three vertical markets (transportation, electronics & energy, and agriculture), while monetizing businesses with below-target long-term potential. The recent sale of Consumer Products and the potential sale of AgroSolution (presently undervalued) continue the company's trend toward a more focused business portfolio. Potential net proceeds of $1.2B will be used for debt reduction, share repurchasing, investments in the remaining operations, and potential bolt-on acquisitions. The remaining operations, Industrial Performance Products (petroleum additives and urethanes) and Industrial Engineered Products (bromine & flame retardants and organometallics), are expected to grow revenues via innovations, share gain, and geographic expansion, while bottom line will benefit from internal actions. In addition, market demand for flame retardants used in electronics and insulation foam applications should improve. We estimate that the "New Chemtura" (exclusive of Consumer and Ag) will generate EPS of $1.50 and $1.75 in 2015 and 2016, respectively.


From Mario Gabelli (Trades, Portfolio)’s Gabelli Asset Fund fourth quarter 2013 commentary.

Rating: 0.0/5 (0 votes)


Please leave your comment:

Performances of the stocks mentioned by

User Generated Screeners

HOLKLSUSmall-Mid Cap Group Defensive
schwanz.jeremyRule 1 S
maggers78Copper Names
dwilsherRoc greenatt
dwilsherRoc green blatt
pacmanhunterDiv Yield Stocks with market c
HOLKLSUTest First Group Q1 Trending 2
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)

GF Chat