Value
5.6/10data confidence 100%| Component | Sub-score |
|---|---|
| P/E | 1.8 |
| P/S | 8.0 |
| EV/EBITDA | 0.0 |
| Fwd P/E | 6.6 |
| PEG | 10.0 |
| Analyst target | 5.0 |
- ▸Forward P/E: 19.4x
- ▸PEG: 0.08
ESI · Why this verdict
Why Element Solutions (ESI) is rated SELL
Updated
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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VerdictSELL
Overall score5.8/10
ConfidenceMEDIUM
MacroRISK_OFF
Per-dimension breakdown
Quality
4.9/10data confidence 100%| Component | Sub-score |
|---|---|
| ROE | 1.9 |
| ROA | 3.0 |
| Gross margin | 4.2 |
| Op margin | 5.6 |
| Net margin | 2.7 |
| Current ratio | 9.0 |
| FCF quality | 1.2 |
| Moat | 6.4 |
| Piotroski F | 10.0 |
- ▸Earnings quality RED FLAG: 16% FCF/NI
- ▸Strong Piotroski F-Score: 9/9
Growth
10.0/10data confidence 67%| Component | Sub-score |
|---|---|
| Rev growth | 10.0 |
| EPS growth | 10.0 |
- ▸Strong growth: 42% YoY
Momentum
2.9/10data confidence 100%| Component | Sub-score |
|---|---|
| RSI | 5.5 |
| MACD | 0.0 |
| OBV | 1.0 |
| MA position | 6.0 |
| Volume | 1.9 |
- ▸Volume distribution (falling OBV)
- ▸Above 200-day MA
Sentiment
7.1/10data confidence 100%| Component | Sub-score |
|---|---|
| Analyst rating | 8.2 |
| Price target | 7.4 |
| erm sentiment | 5.0 |
- ▸Light analyst coverage (10.0) — signal dampened
Insider
5.0/10data confidence 50%| Component | Sub-score |
|---|---|
| materiality | 5.0 |
| holder change | 5.1 |
- ▸No net insider activity — $0 (0.000% of mkt cap)
Peer rank
3.6/10data confidence 80%| Component | Sub-score |
|---|---|
| value rank | 1.6 |
| quality rank | 4.1 |
| growth rank | 8.9 |
- ▸Industry growth leader
Technical
6.9/10data confidence 100%| Component | Sub-score |
|---|---|
| bollinger | 7.8 |
| support resistance | 7.2 |
| 52w position | 7.7 |
| gap | 5.0 |
Risk (lower is worse)
4.6/10data confidence 100%| Component | Sub-score |
|---|---|
| short interest | 6.2 |
| days to cover | 6.7 |
| volatility | 3.3 |
| put call | 0.0 |
| implied vol | 3.6 |
| beta | 6.0 |
| debt equity | 6.3 |
- ▸Elevated put/call: 4.85
- ▸Concentration risks: 1 HIGH (10-K Item 1A — sized via position_sizing, validated via buy_confidence)
Catalyst
5.9/10data confidence 100%| Component | Sub-score |
|---|---|
| erm | 5.0 |
| earnings history | 10.0 |
| earnings timing | 5.0 |
| surprise avg | 4.6 |
| dividend safety | 4.8 |
- ▸Strong earnings: 3B/0M
- ▸Yield trap warning: high yield but unsafe
How the verdict was assembled
Engine trigger
Multiple concerning factors. Consider reducing position.
Engine technical detail
verdict_path:
L4:PATH_F_SELLPassed (5)
- INSIDER:OK
- NEWS_EVENTS:NONE_RECENT
- EARNINGS_PROXIMITY:52d clear
- SEMI_CYCLE_PEAK:CLEAR
- MATERIALS_CYCLE_PEAK:CLEAR
Failed (2)
- MOMENTUM:2.9<4.5
- ASYMMETRY:0.3<1.5@spot
Warning (1)
- 8K_CSUITE_CHANGE:5.02 (officer departure/appointment)
Reward-to-Risk
0.34
Upside
+2.5%
Downside
7.4%
Sizing output
AVOID
SetupUNKNOWN — No clear chart pattern; technical signals are mixed
EdgeNO_EDGE — No clear edge identified
SuitabilityMODERATE — Balanced profile
Investment implication
The F-path SELL output reflects an overall score of 5.2 below the 5.6 soft trigger — multiple weakening dimensions accumulated rather than a single hard-floor breach. The strongest dimension ( Growth at 10.0) was not enough to lift the adjusted overall above the threshold. Co-occurring failed gates ( MOMENTUM:2.9<4.5, ASYMMETRY:0.3<1.5@spot) reinforce the read. Current asymmetry R:R is 0.34 — supplementary context, not the trigger for this path.
The strongest dimensions are Growth at 10.0, Sentiment at 7.1, and Technical at 6.9; the weakest are Momentum at 2.9, Peer rank at 3.6, and Risk (lower is worse) at 4.6. The V9 engine flagged 2 failed gates with 1 warning, producing an asymmetric reward-to-risk of 0.34 and an engine sizing output of AVOID.