- Chemtrade Logistics projects its adjusted EBITDA for 2025 to be between C$430.0 million and C$460.0 million.
- The company forecasts maintenance capital expenditures to range from C$100.0 million to C$120.0 million.
- Chemtrade announced a 5% increase in its monthly distribution.
- They plan to continue purchasing units under their Normal Course Issuer Bid (NCIB) program.
- With anticipated growth capital expenditures and capital allocation adjustments, Chemtrade aims for a Net debt to Adjusted EBITDA ratio near 2x by the end of 2025.
- The company expects an implied payout ratio of approximately 48%.
- Analyst ratings include 5 buys and 2 holds, with no sell recommendations.
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A look at Chemtrade Logistics Income Fun Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 4 | |
| Growth | 5 | |
| Resilience | 2 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Chemtrade Logistics Income Fund shows a promising long-term outlook. With strong scores in key areas such as Value and Dividend, the company demonstrates solid financial health and a commitment to rewarding its investors. Additionally, a high score in Growth suggests potential for expansion and increased profitability over time. However, lower scores in Resilience and Momentum indicate some areas of caution, pointing to potential challenges in adapting to market fluctuations and maintaining upward traction.
Chemtrade Logistics Income Fund, established as a limited purpose trust under the laws of Ontario, holds the securities of Chemtrade Logistics Inc. Specializing in the removal, storage, marketing, and distribution of bulk chemicals sourced through long-term agreements with commercial by-product producers, the company plays a vital role in the chemical industry. Despite facing some resilience and momentum concerns, the company’s solid foundation and promising growth potential position it well for long-term success.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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