Risk factor
High price volatility
Profitability factor
Very low or no dividends
About
Methanol Chemicals Company (MCC), established in 1989 and headquartered in Jubail, Kingdom of Saudi Arabia, is a prominent producer and global distributor of a wide array of chemicals. Initially known as Saudi Formaldehyde Chemical Company Limited, MCC's operations span the Middle East and international markets. The company specializes in the manufacture of methanol and formaldehyde derivatives, alongside plasticizers and various amino resins. Its extensive product catalog encompasses an aqueous formaldehyde solution, urea formaldehyde concentrates, hexamethylene tetramine, paraformaldehyde, and a comprehensive range of formaldehyde resins, including liquid, powder, phenol, urea, melamine, and sulphonated naphthalene types. Furthermore, MCC provides methanol, carbon monoxide, monomethylamine, dimethylamine, tri-mono-methylamine, dimethylformamide, di-methyl carbon, pentaerythritol, sodium formate, and acetaldehyde. These diverse chemical offerings are crucial for numerous sectors, serving applications in agricultural fertilizers, pharmaceuticals, solvents, industrial intermediates, the laminates and wood industries, plastics, paper manufacturing, and the formulation of concrete admixtures.
Company Valuation
From both historical and forecast perspectives, the stock is slightly overpriced compared to similar stocks. Specifically, the stock is reasonably priced on P/FCF.
Target Price
The average target price of 2001.SR is 10.0 and suggests 56.9% downside potential. Usually, this means a SELL recommendation among investment firms, or a recommendation t