DuPont (DD, Financial) has experienced a rise in bearish activity, with the trading of 2,093 put options, surpassing the anticipated volume by 20%. The May-25 $65 puts and the May 9 weekly $67 calls are particularly active, accounting for close to 1,700 contracts. The Put/Call Ratio has reached 2.33, indicating a greater interest in put options versus calls. Additionally, the at-the-money implied volatility has risen by over two points today. Investors are also anticipating DuPont's earnings announcement scheduled for August 6th.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 15 analysts, the average target price for DuPont de Nemours Inc (DD, Financial) is $87.16 with a high estimate of $116.00 and a low estimate of $73.00. The average target implies an upside of 32.34% from the current price of $65.86. More detailed estimate data can be found on the DuPont de Nemours Inc (DD) Forecast page.
Based on the consensus recommendation from 19 brokerage firms, DuPont de Nemours Inc's (DD, Financial) average brokerage recommendation is currently 2.1, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for DuPont de Nemours Inc (DD, Financial) in one year is $85.35, suggesting a upside of 29.59% from the current price of $65.86. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the DuPont de Nemours Inc (DD) Summary page.
DD Key Business Developments
Release Date: May 02, 2025
- Net Sales: $3.1 billion, increased 5% year-over-year.
- Organic Sales Growth: 6%, with an 8% increase in volume and a 2% decrease in price.
- Operating EBITDA: $788 million, up 16% year-over-year.
- Operating EBITDA Margin: 25.7%, increased 240 basis points from the prior year.
- Adjusted EPS: $1.03, up 30% from $0.79 in the previous year.
- Operating Cash Flow: $382 million.
- CapEx: $249 million.
- Transaction Adjusted Free Cash Flow: $212 million, with a conversion rate of 49%.
- ElectronicsCo Net Sales: $1.1 billion, increased 14% year-over-year.
- ElectronicsCo Operating EBITDA: $373 million, up 26% year-over-year.
- ElectronicsCo Operating EBITDA Margin: 33.4%, increased 340 basis points year-over-year.
- IndustrialsCo Net Sales: $1.95 billion, flat year-over-year.
- IndustrialsCo Operating EBITDA: $464 million, up 6% year-over-year.
- IndustrialsCo Operating EBITDA Margin: 23.8%, increased 130 basis points year-over-year.
- 2025 Full Year Guidance: Net sales of $12.8 billion to $12.9 billion, operating EBITDA of $3.325 billion to $3.375 billion, and adjusted EPS of $4.30 to $4.40.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- DuPont de Nemours Inc (DD, Financial) reported a solid first quarter with sales growing 6% on an organic basis, driven by strong volume growth.
- Operating EBITDA increased by 16% year-over-year, demonstrating strong leverage and operational efficiency.
- The company achieved a 30% increase in adjusted EPS, reaching $1.03 per share.
- DuPont de Nemours Inc (DD) is making significant progress on the spin-off of its Electronics business, named Qnity, with key leadership appointments and board composition finalized.
- The Electronics division, soon to be Qnity, reported a 14% increase in net sales, driven by strong demand in semiconductor technologies and interconnect solutions.
Negative Points
- DuPont de Nemours Inc (DD) faces an estimated $500 million annualized cost exposure due to tariffs, with a net cost impact of $60 million expected in 2025.
- The IndustrialsCo segment experienced flat net sales, with a 2% organic sales growth offset by currency headwinds and portfolio impacts.
- The Diversified Industrials line within IndustrialsCo saw a mid single-digit decline in sales, primarily due to softness in construction and auto end markets.
- The company is dealing with ongoing tariff uncertainties, requiring mitigation actions such as production shifts and sourcing alternatives.
- DuPont de Nemours Inc (DD) is under investigation for anti-competitive practices in its Tyvek business in China, though it is not expected to impact other areas of the business.
