You’ll like this low-p/e, high-potential pick

Article Excerpt

Investors in Chemours have had a wild ride since the old DuPont—under pressure from activist investor Nelson Peltz—spun off this business in July 2015. Those new shares initially dropped from around $21 each to $4 by early 2016. They then soared to $57 in October 2017 before falling to the current level. As with most chemical firms, Chemours’ products are highly cyclical. What’s more, DuPont saddled the new firm with potentially costly legal liabilities. Still, don’t let that scare you: those costs seem manageable. In fact, we still like your long-term prospects with Chemours; its current dividend, which yields a high 5.7%, also seems sustainable. Note as well that this pick has earned our highest takeover probability rating. That means our investors could be in a quick gain. THE CHEMOURS CO. $18 remains a buy for aggressive investors. The company (New York symbol CC; Manufacturing & Industry sector; Shares outstanding: 163.5 million; Market cap: $2.9 billion; Takeover Target Rating: Highest; Dividend yield 5.6%; Takeover Target Rating: Highest;…