DuPont falls on earnings, but investors might want to buy on weakness

The market didn't like DuPont's (DD) third-quarter earnings report, sending shares of the chemical giant down as much as three percent during Tuesday's session. This component of the Dow Jones Industrial Average ($INDU) easily beat Wall Street's profit estimate, but sales across all DuPont's businesses were down.

DuPont's stock has been a market beater so far this year, rising 37 percent to outpace the S&P 500 ($INX) by 15 percentage points. Perhaps today's stumble offers investors a chance to buy the blue chip on weakness. Shares go for just 16 times forward earnings, offering a discount of about 20 percent to the broader market. That's an intriguing relative valuation. Perhaps most attractive is DuPont's dividend. The share-price slide has boosted the yield to 4.8 percent.
Read Full Story
  • DJI25585.6995.220.37%
    NASDAQ7637.018.730.11%
  • NIKKEI 22521117.22-33.92-0.16%
    Hang Seng27353.9386.800.32%
    DAX12011.0458.630.49%
  • USD (PER EUR)1.120.00000.00%
    USD (PER CHF)1.000.00000.00%
    JPY (PER USD)109.300.00000.00%
    GBP (PER USD)1.270.00000.00%