Why Citi Upgraded Ailing DuPont

Shares of E.I. du Pont de Nemours and Co DD 1.36% have fallen more than 30 percent so far in 2015, but a new report by P.J. Juvekar explains why things could soon be looking up for DuPont shareholders. In the report, Citi upgrades the stock to Buy and discusses major potential catalysts for a rebound.

Cost-Cutting

Juvekar sees DuPont on track to complete the $1 billion cost-cutting target that the company set as part of its Fresh Start Program by the end of 2015. In addition, total cost cutting could reach $1.3 billion by 2017, but Juvekar sees potential for additional measures as well. According to Citi’s calculations, each $1 billion spending reduction results in an extra $0.85 in earnings per share for the company.

Splitting Ag And Materials Businesses

According to Juvekar, DuPont could take…

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