Braskem (NYSE:BAK) Shares Down 5.8% – Should You Sell?

Braskem S.A. (NYSE:BAK)’s stock price dropped 5.8% on Tuesday . The stock traded as low as $4.54 and last traded at $4.55. Approximately 816,475 shares traded hands during trading, a decline of 66% from the average daily volume of 2,412,421 shares. The stock had previously closed at $4.83.

Wall Street Analysts Forecast Growth

Several equities analysts recently weighed in on BAK shares. JPMorgan Chase & Co. raised shares of Braskem from a “neutral” rating to an “overweight” rating and set a $5.50 target price for the company in a research note on Tuesday, May 12th. Bradesco Corretora lowered shares of Braskem from an “outperform” rating to an “underperform” rating and set a $1.50 price target on the stock. in a research report on Tuesday, April 21st. Weiss Ratings reiterated a “sell (e+)” rating on shares of Braskem in a research note on Monday, April 20th. Bank of America lowered shares of Braskem from a “neutral” rating to an “underperform” rating and set a $2.80 price objective on the stock. in a research note on Thursday, March 26th. Finally, Citigroup raised shares of Braskem from a “strong sell” rating to a “hold” rating in a report on Wednesday, April 1st. One research analyst has rated the stock with a Buy rating, three have issued a Hold rating and four have assigned a Sell rating to the company’s stock. According to MarketBeat.com, Braskem has an average rating of “Reduce” and an average target price of $3.40.

Braskem Trading Down 2.3%

The company has a market capitalization of $1.88 billion, a P/E ratio of -1.12, a P/E/G ratio of 0.14 and a beta of 1.56. The company has a 50 day moving average price of $4.02 and a 200 day moving average price of $3.57.

Braskem (NYSE:BAK) last posted its quarterly earnings results on Thursday, May 14th. The company reported $0.69 earnings per share for the quarter, beating analysts’ consensus estimates of $0.21 by $0.48. Braskem had a negative return on equity of 23.17% and a negative net margin of 13.72%.The business had revenue of $3.51 billion for the quarter, compared to analysts’ expectations of $3.39 billion. As a group, sell-side analysts forecast that Braskem S.A. will post 2.07 EPS for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the stock. UBS Group AG lifted its position in Braskem by 2.6% during the third quarter. UBS Group AG now owns 783,445 shares of the company’s stock worth $1,896,000 after acquiring an additional 19,956 shares during the last quarter. Brooklands Fund Management Ltd acquired a new position in shares of Braskem in the first quarter valued at approximately $2,013,000. State Street Corp grew its position in shares of Braskem by 7.2% in the fourth quarter. State Street Corp now owns 311,507 shares of the company’s stock valued at $919,000 after purchasing an additional 20,805 shares during the last quarter. Renaissance Technologies LLC increased its stake in shares of Braskem by 619.5% during the fourth quarter. Renaissance Technologies LLC now owns 265,488 shares of the company’s stock worth $783,000 after purchasing an additional 228,588 shares during the period. Finally, Jump Financial LLC lifted its holdings in Braskem by 607.1% during the 2nd quarter. Jump Financial LLC now owns 263,771 shares of the company’s stock worth $865,000 after purchasing an additional 226,467 shares during the last quarter.

Braskem Company Profile

Braskem (NYSE:BAK) is a leading integrated petrochemical company based in São Paulo, Brazil, and holds the distinction of being the largest thermoplastic resins producer in Latin America. The company operates across the entire value chain, from feedstock sourcing and polymer production to distribution and recycling. Braskem’s comprehensive approach to petrochemical manufacturing enables it to serve a diverse set of end markets with a broad portfolio of products.

Braskem’s core product lines include polypropylene, polyethylene and polyvinyl chloride (PVC), which are used in industries such as packaging, automotive, construction and electrical & electronics.