Mizuho has revised its price target for LyondellBasell (LYB, Financial), reducing it from $82 to $65, while maintaining a Neutral rating on the company's shares. This adjustment aligns with the broader update of price targets across the chemicals, agriculture, and packaging sectors due to the recent decrease in market multiples. Despite these changes, the firm has made only slight reductions to forward-year estimates, as they do not foresee a recession.
The firm highlights that the decline in oil prices could diminish the gas-linked cost advantage previously enjoyed by many basic chemical companies. Additionally, Mizuho warns of potential risks associated with the pre-purchasing activities observed in the automotive and electronics sectors during the March quarter, suggesting a possibility of a near-term pullback.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 21 analysts, the average target price for LyondellBasell Industries NV (LYB, Financial) is $76.58 with a high estimate of $105.00 and a low estimate of $51.00. The average target implies an upside of 33.78% from the current price of $57.24. More detailed estimate data can be found on the LyondellBasell Industries NV (LYB) Forecast page.
Based on the consensus recommendation from 24 brokerage firms, LyondellBasell Industries NV's (LYB, Financial) average brokerage recommendation is currently 2.9, indicating "Hold" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for LyondellBasell Industries NV (LYB, Financial) in one year is $67.34, suggesting a upside of 17.65% from the current price of $57.24. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the LyondellBasell Industries NV (LYB) Summary page.
