Element Solutions initiated with an Outperform at BMO Capital

BMO Capital analyst Bhavesh Lodaya initiated coverage of Element Solutions with an Outperform rating and $23 price target. Element provides an “eclectic mix of specialty chemical platforms” that share a consumable, sticky business model, low capital intensity and high cash flow generation, says the analyst, who adds that many of its higher margin platforms are exposed to end-markets that should see a “notable” mid-to-long term recovery.