Citi raised the firm’s price target on Albemarle to $135 from $125 and keeps a Neutral rating on the shares. Ahead of the Q1 earnings for the chemicals group, the firm is adjusting Q1 estimates up 1% and decreasing fiscal 2024 estimates by 1%. For commodity and intermediate companies, expectations for Q1 point to small beats and investors may be disappointed with more modest sequential guides and less enthusiasm on the pace of recovery, the analyst tells investors in a research note. The firm says that while the run-up in oil prices has led to some strong recent performance for commodity chemicals, it still has concerns with the pace of the upcycle given capacity additions and uncertainty on interest rates. Its sub-sector preference for paints and coatings is driven by stability in pricing, favorable raw material environment and strength in company-specific end markets. Citi’s new top picks are Sherwin-Williams (SHW), Air Products (APD) and Olin (OLN).
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Read More on ALB:
- Albemarle management to meet with Oppenheimer
- Albemarle put volume heavy and directionally bearish
- Lithium stocks jumped after high Albemarle auction prices, says Loop Capital
- Early notable gainers among liquid option names on March 27th
- Albemarle price target lowered to $162 from $168 at Loop Capital