Passive Income in a Bear Market? 1 Stock Warren Buffett Bought.
Investing like Warren Buffett requires patience and a belief in the fundamental strength of the businesses you pick, even in the face of potentially negative short-term news. That's pretty much how investors should be looking at chemicals company Celanese (NYSE: CE) right now. The company has a lot of long-term growth potential, and its dividend, which yields 2.3% at the current share price, doesn't hurt either. And for those who like to follow Buffett's lead, note that Berkshire Hathaway has been buying the stock this year.
Celanese stock is down 35% in 2022 and down 21% over the past three months. There's a reason for that. Demand for its products depends on industrial production, so when the going is good, economically speaking, market prices for its chemicals tend to soar. When a slowdown comes, though, they retreat.
Celanese describes itself as a "global producer of high performance engineered polymers." You probably won't have heard of it because it manufactures intermediate chemicals that are used in manufacturing a wide range of other products. It sells to a host of industries -- among them, automotive, industrial adhesives, consumer products, food and beverage, paints and coatings, and energy storage. Its principal competitors include BASF, Eastman, INEOS, and LyondellBasell.
Source Fool.com
