Dow Inc. (DOW) Upgraded as Analyst Sees Positive Moves Ahead

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Key Highlights:

  • Fermium Research upgrades Dow Inc. (DOW, Financial) to "Buy" with a price target of $35.
  • Analysts' average price target suggests a potential 33.79% upside.
  • GuruFocus estimates indicate a 46.7% upside based on GF Value.

Fermium Research's Frank J. Mitsch has taken a positive stance on Dow Inc. (DOW), upgrading the stock from Hold to Buy, setting a target price of $35. This upgrade comes on the heels of Dow's robust Q1 2025 performance, which surpassed expectations. Additionally, the company's strategic move to postpone a major project is forecasted to save $600 million in capital expenditures. Despite facing a potential $1 billion cash flow shortfall early in the year, Dow's cost reduction initiatives and an anticipated boost in EBITDA are expected to improve financial outcomes as the year progresses.

Wall Street Analysts Forecast

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In the context of Wall Street's one-year predictions, 19 analysts have set an average price target of $40.16 for Dow Inc (DOW, Financial), with projections ranging from a high of $65.00 to a low of $27.00. These targets indicate a potential upside of 33.79% from the current market price of $30.02. Investors can explore a more detailed breakdown of these estimates on the Dow Inc (DOW) Forecast page.

Furthermore, consensus recommendations from 23 brokerage firms assign Dow Inc (DOW, Financial) an average recommendation score of 2.9, which translates to a "Hold" status on a scale where 1 denotes Strong Buy and 5 represents Sell.

GuruFocus's proprietary metrics further bolster the outlook for Dow Inc. The estimated GF Value for the stock in one year is calculated at $44.04. This figure suggests a potential 46.7% upside from the current price of $30.02. The GF Value is determined based on historical valuation multiples, past business growth, and future business performance projections. For a deeper dive into these metrics, visit the Dow Inc (DOW, Financial) Summary page.

Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.