Calumet Specialty Products Partners, L.P. (CLMT, Financial) reported first-quarter revenue of $993.9 million, which is a decline from the previous year's $1 billion. CEO Todd Borgmann highlighted notable advancements in the company's strategic initiatives during this period. A major milestone was the closure and funding of a DOE loan under the new administration, paving the way for significant growth in the Renewables sector. Additionally, the company initiated a deleveraging strategy by selling the Royal Purple Industrial business and began redeeming $150 million of its 2026 Notes.
In an effort to expand capacity, CLMT announced a cost-effective plan to accelerate the MaxSAF(TM) project by increasing SAF capacity to 120 million to 150 million gallons by Q2 2026, requiring an investment of $20 million to $30 million. This enhancement was made possible through improved utilization of existing technology in Montana, avoiding the need for major new equipment installation. The company maintains its long-term target of producing up to 300 million gallons of SAF by 2028.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 4 analysts, the average target price for Calumet Inc (CLMT, Financial) is $20.50 with a high estimate of $33.00 and a low estimate of $12.00. The average target implies an upside of 72.70% from the current price of $11.87. More detailed estimate data can be found on the Calumet Inc (CLMT) Forecast page.
Based on the consensus recommendation from 6 brokerage firms, Calumet Inc's (CLMT, Financial) average brokerage recommendation is currently 2.5, 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 Calumet Inc (CLMT, Financial) in one year is $13.47, suggesting a upside of 13.48% from the current price of $11.87. 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 Calumet Inc (CLMT) Summary page.
