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Element Solutions Inc. (ESI) Stock Analysis

SellVALUE-TRAP 1/5Moderate Confidence

Basic Materials · Specialty Chemicals

Sell if holding. At $39.71, A.R:R 0.3:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Thin upside margin: 3.2%; Concentration risk — Geographic: non-U.S. operations (79.0%).

Element Solutions is a global specialty chemicals technology company with Electronics (70% of 2025 revenue) and Specialties (30%) segments, generating $2.55B in 2025 revenue. Approximately 79% of net sales came from non-U.S. operations across electronics, automotive, industrial,... Read more

$39.71+3.2% A.UpsideScore 5.6/10#9 of 36 Specialty Chemicals
QualityF-score9 / 9FCF yield0.24%
IncomeYield0.80%(5y avg 1.33%)Payout51.61%sustainable
Stop $37.09Target $41.15(analyst − 13%)A.R:R 0.3:1
Analyst target$47.30+19.1%10 analysts
$41.15our TP
$39.71price
$47.30mean
$52

Sell if holding. At $39.71, A.R:R 0.3:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Thin upside margin: 3.2%; Concentration risk — Geographic: non-U.S. operations (79.0%). Chart setup: No recognized chart pattern (not a breakout, bounce, continuation, recovery, falling knife, or range) — technicals mixed. Score 5.6/10, moderate confidence.

Passes 6/8 gates (clean insider activity, no SEC red flags, news events none recent, earnings proximity 72d clear, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum and favorable risk/reward ratio. Suitability: moderate.

Val5.6Qual4.9Grw10.0Mom3.3Sent5.8Ins3.4Peer3.8Tech7.3Risk5.75.6OVERALL

Recent Developments — Element Solutions Inc.

Latest news

Generated 2026-05-20T21:06:21Z.

Thesis

Rewards
Strong earnings beat streak (3/4)
Strong growth profile
Risks
Concentration risk — Geographic: non-U.S. operations (79.0%)
Thin upside margin: 3.2%
V7 low-quality RISK_OFF penalty: -0.5 (Q=4.9)

Key Metrics

P/E (TTM)64.3
P/E (Fwd)19.4
Mkt Cap$9.7B
EV/EBITDA21.7
Profit Mgn5.3%
ROE5.6%
Rev Growth41.5%
Beta1.28
Dividend0.80%
Rating analysts16

Quality Signals

Piotroski F9/9MoatNarrow

Options Flow

P/C0.28bullish
IV53%elevated

Concentration Risks(10-K Item 1A)

  • HIGHGeographicnon-U.S. operations79%
    10-K Item 1A: 'approximately 79% of our net sales were generated from non-U.S. operations'

Material Events(8-K, last 90d)

  • 2026-03-23Item 5.02LOW
    Sir Martin E. Franklin, Executive Chairman, informed the Board he will not seek reelection and will retire from the Board at the 2026 annual meeting (May 4, 2026). No disagreement with company operations, policies, or practices cited.
    SEC filing →

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. Full disclaimer

Rating Breakdown

2 floor-breakers·1 ceiling hit

Momentum below the gate floor. Component breakdown shows what dragged the score down.static

Macd
0.0
Obv
1.0
Volume
4.1
Rsi
5.5
Ma Position
6.0
Volume distribution (falling OBV)Above 200-day MA

Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static

Value Rank
1.8
Quality Rank
4.1
Growth Rank
9.2
Industry growth leader
GatesMomentum 3.3<4.5A.R:R 0.3 < 1.5@spotInsider activity: OKNo SEC red flagsNEWS EVENTS NONE RECENTEARNINGS PROXIMITY 72d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARSuitability: Moderate
RSI
53 · Neutral
↓ 20D MA↑ 50D MA↑ 200D MAGOLDEN CROSSSupport $37.63Resistance $45.52

Price Targets

$37
$41
A.Upside+3.6%
A.R:R0.3:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeRisk-Off

Risk Alerts

! Momentum score 3.3/10 — below 4.5 minimum
! Reward/Risk 0.3:1 at current price — below 1.5:1 minimum

Earnings

B
B
B
M
3/4 beats
Next Earnings2026-07-30 (72d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is ESI stock a buy right now?

Sell if holding. At $39.71, A.R:R 0.3:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Thin upside margin: 3.2%; Concentration risk — Geographic: non-U.S. operations (79.0%). Chart setup: No recognized chart pattern (not a breakout, bounce, continuation, recovery, falling knife, or range) — technicals mixed. Prior stop was $37.09. Score 5.6/10, moderate confidence.

What is the ESI stock price target?

Take-profit target: $41.15 (+3.2% upside). Prior stop was $37.09. Stop-loss: $37.09.

What are the risks of investing in ESI?

Concentration risk — Geographic: non-U.S. operations (79.0%); Thin upside margin: 3.2%; V7 low-quality RISK_OFF penalty: -0.5 (Q=4.9).

Is ESI overvalued or undervalued?

Element Solutions Inc. trades at a P/E of 64.3 (forward 19.4). TrendMatrix value score: 5.6/10. Verdict: Sell.

What do analysts say about ESI?

16 analysts cover ESI with a consensus score of 4.1/5. Average price target: $47.

What does Element Solutions Inc. do?Element Solutions is a global specialty chemicals technology company with Electronics (70% of 2025 revenue) and...

Element Solutions is a global specialty chemicals technology company with Electronics (70% of 2025 revenue) and Specialties (30%) segments, generating $2.55B in 2025 revenue. Approximately 79% of net sales came from non-U.S. operations across electronics, automotive, industrial, and offshore energy end markets worldwide.

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