Citi maintains Buy on DuPont stock, reiterates $95 price target

Published 17/03/2025, 11:44 pm
Citi maintains Buy on DuPont stock, reiterates $95 price target

On Monday, Citi reaffirmed its Buy rating and $95.00 price target for DuPont (NYSE:DD), which currently trades at $77.09 with a P/E ratio of 46x, as the company progresses with its planned spin-off of the Electronics division. According to InvestingPro data, DuPont maintains strong financial health with an overall score of "GOOD." The announcement came following news that Jon Kemp, currently President of DuPont Electronics & Industrial, will take the helm as CEO and join the board of the soon-to-be independent Electronics company. Kemp, who has been leading the approximately $6 billion E&I business for six years, is recognized for his strategic focus on business growth.

In addition to Kemp’s appointment, DuPont has named Michael Stubblefield, the President and CEO of Avantor (NYSE:AVTR), as chairman of the board for the new entity. The search is on for an external CFO candidate with a strong track record in a publicly traded company to complete the leadership team. The company has demonstrated strong financial management, maintaining dividend payments for 55 consecutive years with a current yield of 2.13%.

The spin-off is on track for its completion by November 1, 2025, and Citi’s analyst expressed optimism about the potential for fundamental electronics growth and value creation stemming from this strategic move. The analyst’s comments underscore confidence in the company’s direction and the leadership’s ability to steer the upcoming independent Electronics company towards success. The progress of the spin-off seems to be unfolding rapidly, which bodes well for DuPont’s future prospects in the eyes of Citi. For deeper insights into DuPont’s valuation and growth potential, access the comprehensive Pro Research Report available on InvestingPro.

In other recent news, DuPont has announced Jon Kemp as CEO of its forthcoming independent electronics unit, set to spin off on November 1, 2025. This strategic move is part of DuPont’s plan to create a standalone electronics company, with Michael Stubblefield named as Chairman of the board. Meanwhile, BMO Capital Markets has raised its price target for DuPont shares from $112 to $116, maintaining an Outperform rating. The firm cites DuPont’s exposure to stable markets and the anticipated corporate split as factors that could unlock shareholder value.

Additionally, UBS has increased its price target for DuPont to $103, reiterating a Buy rating. Analyst Joshua Spector noted DuPont’s strong fourth-quarter performance and its potential for organic growth, particularly in the electronics sector. In other developments, DuPont Water Solutions has launched WAVE PRO, an advanced tool for optimizing ultrafiltration water treatment systems. This tool is designed to enhance the design and efficiency of water treatment processes, reflecting DuPont’s commitment to advancing water technologies. These updates highlight DuPont’s ongoing transformation and strategic initiatives aimed at driving growth and innovation.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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