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Lowest EV/EBITDA Ratio in the Commodity Chemicals Industry Detected in Shares of Trinseo Sa (TSE, KRO, WLK, LYB, KOP)

By James Quinn

Below are the three companies in the Commodity Chemicals industry with the lowest enterprise value to EBITDA (EV/EBITDA) ratios. EV/EBITDA is an important metric used in valuing comparable companies. It is capital structure neutral and generally the lower the ratio, the more undervalued the company is believed to be.

Trinseo Sa ranks lowest with a an EV/EBITDA ratio of 3.68. Following is Kronos Worldwide with a an EV/EBITDA ratio of 4.25. Westlake Chemica ranks third lowest with a an EV/EBITDA ratio of 5.56.

Lyondellbasell-A follows with a an EV/EBITDA ratio of 5.63, and Koppers Holdings rounds out the bottom five with a an EV/EBITDA ratio of 6.84.

SmarTrend recommended that subscribers consider buying shares of Koppers Holdings on January 7th, 2019 as our technology indicated a new Uptrend was in progress when shares hit $20.04. Since that recommendation, shares of Koppers Holdings have risen 44.2%. We continue to monitor Koppers Holdings for any potential shift so investors can protect gains and will alert SmarTrend subscribers immediately.

Keywords: lowest ev/ebitda ratio trinseo sa kronos worldwide westlake chemica lyondellbasell-a koppers holdings