FMC (NYSE:FMC) Stock Rating Lowered by Barclays

Key Points

• Barclays downgraded FMC from “hold” to “strong sell,” adding to broadly negative analyst sentiment. The stock has an average “Reduce” rating and a consensus price target of $12.69.
• FMC shares opened at $5.63, near their 12-month low of $4.84, while the company reported a 17.5% year-over-year revenue decline and a negative net margin of 84.83% in its latest quarter.
• FMC sharply reduced its third-quarter outlook to $65 million–$125 million in revenue and negative adjusted EBITDA of $565 million–$510 million, citing weak demand, excess channel inventories, pricing pressure and related charges.

FMC (NYSE:FMC - Get Free Report) was downgraded by stock analysts at Barclays from a "hold" rating to a "strong sell" rating in a research report issued on Thursday, Zacks reports.

FMC has been the topic of a number of other research reports. KeyCorp initiated coverage on shares of FMC in a report on Friday, September 11th. They issued an "overweight" rating and a $16.00 target price on the stock. Wall Street Zen raised shares of FMC from a "sell" rating to a "hold" rating in a research report on Saturday, August 1st. Jefferies Financial Group downgraded FMC from a "buy" rating to a "reduce" rating in a research note on Friday. Mizuho set a $10.00 price objective on FMC in a report on Thursday. Finally, JPMorgan Chase & Co. decreased their price objective on FMC from $16.00 to $12.00 and set a "neutral" rating for the company in a report on Friday, July 31st. Four equities research analysts have rated the stock with a Buy rating, five have issued a Hold rating and six have issued a Sell rating to the stock. According to data from MarketBeat, FMC has an average rating of "Reduce" and a consensus price target of $12.69.

FMC Price Performance

Shares of FMC opened at $5.63 on Thursday. The business's fifty day moving average is $10.34 and its 200 day moving average is $12.17. FMC has a 12-month low of $4.84 and a 12-month high of $30.95. The company has a quick ratio of 1.48, a current ratio of 1.99 and a debt-to-equity ratio of 2.38. The stock has a market cap of $705.67 million, a P/E ratio of -0.26 and a beta of 0.45.

FMC (NYSE:FMC - Get Free Report) last announced its quarterly earnings results on Wednesday, July 29th. The basic materials company reported $0.26 EPS for the quarter, beating analysts' consensus estimates of $0.22 by $0.04. FMC had a negative net margin of 84.83% and a positive return on equity of 11.35%. The business had revenue of $841.40 million during the quarter, compared to analyst estimates of $895.14 million. During the same quarter in the previous year, the business posted $0.69 EPS. FMC's quarterly revenue was down 17.5% on a year-over-year basis. Sell-side analysts anticipate that FMC will post 1.23 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the business. IFP Advisors Inc grew its stake in FMC by 99.0% in the 2nd quarter. IFP Advisors Inc now owns 2,726 shares of the basic materials company's stock valued at $31,000 after purchasing an additional 1,356 shares during the period. Root Financial Partners LLC increased its position in shares of FMC by 3,642.9% during the 1st quarter. Root Financial Partners LLC now owns 1,834 shares of the basic materials company's stock valued at $32,000 after purchasing an additional 1,785 shares during the last quarter. Essential Partners LLC bought a new stake in shares of FMC during the 1st quarter worth $43,000. Nykredit A S bought a new stake in shares of FMC during the 2nd quarter worth $55,000. Finally, GAMMA Investing LLC boosted its holdings in shares of FMC by 47.7% in the 3rd quarter. GAMMA Investing LLC now owns 6,620 shares of the basic materials company's stock worth $59,000 after buying an additional 2,139 shares during the last quarter. Hedge funds and other institutional investors own 91.86% of the company's stock.

Key Stories Impacting FMC

Here are the key news stories impacting FMC this week:

• Positive Sentiment: FMC announced commercial actions—including price reductions on selected products and changes to its U.S. selling model—to reduce elevated channel inventories, improve product movement and support future replenishment demand. FMC Corporation Provides Update to Third-Quarter Expectations
• Neutral Sentiment: Options activity increased, with traders purchasing approximately 3,446 call contracts versus an average of about 2,073, indicating some speculative interest despite the selloff.
• Neutral Sentiment: Royal Bank of Canada lowered its price target to $9 from $11 while maintaining a “sector perform” rating, signaling limited conviction in a near-term recovery. RBC Lowers FMC Price Target
• Negative Sentiment: FMC cut third-quarter revenue guidance to just $65 million–$125 million and projected adjusted EBITDA of negative $565 million to negative $510 million. The revised outlook is dramatically below prior expectations and reflects approximately $625 million–$675 million of charges tied to commercial actions. FMC Cuts Third-Quarter Revenue Outlook
• Negative Sentiment: Management cited weaker-than-expected demand, challenging market conditions and unusually high inventories of more expensive FMC products held by channel customers. Those inventories are restricting product movement and delaying replenishment orders, while generic competition is forcing pricing reductions. FMC Warns of Losses and Slashes Outlook
• Negative Sentiment: FMC said it expects to comply with its debt covenants at September 30 but plans to discuss potential covenant modifications with its banks, adding financial-risk concerns.
• Negative Sentiment: Multiple law firms announced investigations into possible securities-law violations following the outlook reduction. These announcements do not establish wrongdoing, but they add headline and litigation risk for investors. FMC Investor Alert

FMC Company Profile

FMC Corporation NYSE: FMC is an agricultural sciences company that develops, manufactures and markets crop protection products for farmers and other agricultural professionals. Its portfolio includes herbicides, insecticides and fungicides used to help protect crops from weeds, insects and diseases.

The company also develops biological and other crop health solutions, supported by research in areas such as plant science, chemistry and biotechnology. FMC's products are used across a range of crops and growing conditions, and the company serves agricultural markets in North America, Latin America, Europe, Asia and other regions worldwide.

FMC traces its origins to 1883 and has evolved through acquisitions and investments in agricultural technology into a focused crop protection company.

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