Mativ Q3 adjusted profit beat estimates driven by price management

Overview

• Mativ Q3 sales rise 3% yr/yr, beating analyst expectations

• Adjusted EPS for Q3 beats consensus, reflecting strong operational performance

• Adjusted EBITDA for Q3 beats analyst estimates, highest margin since 2022 merger

Outlook

• Company did not provide specific guidance for future quarters or full year in the statement

Result Drivers

• ORGANIC VOLUME INCREASES - Co attributes strong Q3 performance to higher organic volume across both segments

• PRICE MANAGEMENT - Co cites disciplined price versus input cost management as key factor in achieving highest adjusted EBITDA margin since merger

• SEGMENT SALES GROWTH - Filtration & Advanced Materials segment sales grew due to higher volume/mix and favorable currency translation, despite lower selling prices

Key Details

Analyst Coverage

• The one available analyst rating on the shares is "strong buy"

• The average consensus recommendation for the commodity chemicals peer group is "buy."

• Wall Street's median 12-month price target for Mativ Holdings Inc is $15.50, about 33.7% above its November 4 closing price of $10.28

• The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 8 three months ago

Press Release: ID:nBwpjTWFa

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)