Time New York: Mon 25 May 03:08 am  |  Save 15% on H&R Block Online


Ingevity Starts Activated Carbon Production at Changshu Plant


Ingevity Corporation NGVT has commenced production at its new $20-million state-of-the-art activated carbon extrusion plant in Changshu, China. The new facility allows the company to meet the rising global demand for pelletized carbon products. These products are mainly used in gasoline vapor emission control systems in motorcycles, trucks, cars and boats.

Per the company, the new facility that currently houses one new extrusion line complements its existing activated carbon plants in Zhuhai, China; Covington, VA; and Wickliffe, KY as well as the “honeycomb” scrubber plant in Georgia.

Ingevity has also relocated its extrusion line from its Wujiang, China, facility to Changshu. That line is expected to start production by the end of second-quarter 2019.

On Aug 14, 2018, Ingevity announced that it will boost the extrusion capacity at the facility in Covington. This facility is currently undergoing several upgrades, which include addition of a new pellet extrusion that will employ the same technology as implemented at the new facility in Changshu.

Ingevity’s Performance Materials division continues to witness higher demand for its advanced activated carbon pellet products for automotive applications. Moreover, the company is well positioned to continue investing in production and technical capabilities to meet customers’ requirements.

Ingevity is a global leader in the automotive application with more than 750 million units of globally-installed capacities and over four decades of experience in the automotive market.

The company has outperformed the industry in the past year. The company’s shares have gained 19.8%, against 5.3% decline for the industry.

Ingevity, in its third-quarter earnings call, increased the mid-point and narrowed the range for its 2018 guidance for adjusted EBITDA to $306-$314 million from $302-$314 million. The company reaffirmed its sales guidance of $1.10-$1.13 billion for the year.

In third-quarter 2018, the company’s profit and revenues increased year over year. Adjusted EBITDA climbed year over year on the back of increased volumes, better price and mix, and reduced raw-materials and production costs. Revenues from Performance Chemicals and Performance Materials segments went up year over year.

Ingevity Corporation Price and Consensus

Zacks Rank & Stocks to Consider

Ingevity currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the basic materials space are The Mosaic Company MOS, Gerdau S.A. GGB and Air Products and Chemicals, Inc. APD.

Mosaic has an expected long-term earnings growth rate of 7% and a Zacks Rank #1 (Strong Buy). The company’s shares have rallied 46.3% in the past year. You can see the complete list of today’s Zacks #1 Rank stocks here.

Gerdau has an expected long-term earnings growth rate of 24.3% and a Zacks Rank #2 (Buy). The company’s shares have climbed 16.3% in the past year.

Air Products has an expected long-term earnings growth rate of 11.8% and a Zacks Rank #2 (Buy). The company’s shares have gained 0.3% over the past year.

Today's Stocks from Zacks' Hottest Strategies

It's hard to believe, even for us at Zacks. But while the market gained +21.9% in 2017, our top stock-picking screens have returned +115.0%, +109.3%, +104.9%, +98.6%, and +67.1%.

And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 – 2017, the composite yearly average gain for these strategies has beaten the market more than 19X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.

See Them Free>>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

To read this article on Zacks.com click here.

Zacks Investment Research
<-- You can share this post with your network,
or give us your opinion and leave a comment.
Be sure to check our RSS feeds for updates.