Braskem (NYSE:BAK) Raised to Strong-Buy at Zacks Research

Key Points

• Zacks Research has upgraded Braskem's stock rating from "hold" to a "strong-buy", indicating increased investor confidence.
• Meanwhile, JPMorgan Chase & Co. lowered their target price for Braskem from $6.00 to $5.00 and rated it as "neutral."
• Braskem reported better-than-expected earnings, exceeding the consensus estimate by $0.56, with revenue of $3.38 billion for the quarter.

Zacks Research upgraded shares of Braskem (NYSE:BAK - Free Report) from a hold rating to a strong-buy rating in a research note released on Monday,Zacks.com reports.

Separately, JPMorgan Chase & Co. dropped their price objective on shares of Braskem from $6.00 to $5.00 and set a "neutral" rating on the stock in a research note on Wednesday, August 27th. One investment analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat, Braskem currently has a consensus rating of "Moderate Buy" and a consensus target price of $7.50.

Braskem Trading Up 3.4%

Shares of BAK traded up $0.12 during midday trading on Monday, reaching $3.53. 766,547 shares of the company were exchanged, compared to its average volume of 919,133. Braskem has a 1-year low of $2.80 and a 1-year high of $7.71. The stock has a 50-day moving average price of $3.24 and a 200-day moving average price of $3.54. The company has a market cap of $1.41 billion, a price-to-earnings ratio of -1.39 and a beta of 1.81.

Braskem (NYSE:BAK - Get Free Report) last posted its earnings results on Thursday, August 7th. The company reported ($0.14) earnings per share (EPS) for the quarter, beating analysts' consensus estimates of ($0.70) by $0.56. The company had revenue of $3.38 billion during the quarter, compared to analyst estimates of $18.76 billion. Equities research analysts anticipate that Braskem will post -0.77 earnings per share for the current year.

Hedge Funds Weigh In On Braskem

Large investors have recently modified their holdings of the stock. Dimensional Fund Advisors LP increased its holdings in Braskem by 50.1% in the fourth quarter. Dimensional Fund Advisors LP now owns 221,004 shares of the company's stock valued at $852,000 after buying an additional 73,801 shares during the last quarter. Jane Street Group LLC grew its position in shares of Braskem by 47.2% in the 4th quarter. Jane Street Group LLC now owns 133,564 shares of the company's stock worth $516,000 after acquiring an additional 42,828 shares in the last quarter. Bank of America Corp DE increased its holdings in shares of Braskem by 431.0% in the 4th quarter. Bank of America Corp DE now owns 134,824 shares of the company's stock valued at $520,000 after acquiring an additional 109,433 shares during the last quarter. Balyasny Asset Management L.P. lifted its stake in Braskem by 55.3% during the fourth quarter. Balyasny Asset Management L.P. now owns 46,445 shares of the company's stock worth $179,000 after purchasing an additional 16,545 shares during the last quarter. Finally, Point72 Asset Management L.P. lifted its stake in Braskem by 2.3% during the fourth quarter. Point72 Asset Management L.P. now owns 180,900 shares of the company's stock worth $698,000 after purchasing an additional 4,100 shares during the last quarter.

Braskem Company Profile

Braskem SA, together with its subsidiaries, produces and sells thermoplastic resins. The company operates through three segments: Brazil, United States and Europe, and Mexico. The Brazil segment produces and sells olefins, including ethylene, polymer and chemical grade propylene, butadiene, and butene-1; benzene, toluene, and xylenes products; fuels, such as automotive gasoline, liquefied petroleum gas, ethyl tertiary-butyl ether, and methyl tertiary-butyl ether; intermediates, such as cumene; aliphatics, aromatics, and hydrogenated solvents; and specialties comprising isoprene, dicyclopentadiene, piperylene, nonene, tetramer, polyisobutylene, and hydrocarbon resins.