LyondellBasell Industries (NYSE:LYB) Trading Down 3.4% After Earnings Miss

Key Points

• LyondellBasell Industries' stock dropped 3.4% to $51.59 following disappointing earnings, with earnings per share of $0.62 falling short of estimates by $0.25.
• The company announced a quarterly dividend of $1.37, resulting in an annualized dividend yield of 10.7%, despite a high payout ratio of 711.69%.
• Recent analyst ratings show a mix of attitudes towards the stock: three sell ratings, ten holds, two buys, and one strong buy, with an average target price of $65.23.

LyondellBasell Industries N.V. (NYSE:LYB - Get Free Report) shares traded down 3.4% during mid-day trading on Monday following a dissappointing earnings announcement. The company traded as low as $51.52 and last traded at $51.59. 3,404,375 shares traded hands during mid-day trading, a decline of 10% from the average session volume of 3,782,819 shares. The stock had previously closed at $53.42.

The specialty chemicals company reported $0.62 EPS for the quarter, missing the consensus estimate of $0.87 by ($0.25). The firm had revenue of $7.66 billion during the quarter, compared to the consensus estimate of $7.58 billion. LyondellBasell Industries had a net margin of 0.74% and a return on equity of 9.35%. The company's revenue was down 11.8% on a year-over-year basis. During the same quarter in the previous year, the firm posted $2.24 EPS.

LyondellBasell Industries Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, September 2nd. Shareholders of record on Monday, August 25th will be paid a $1.37 dividend. This represents a $5.48 annualized dividend and a yield of 11.1%. The ex-dividend date is Monday, August 25th. LyondellBasell Industries's payout ratio is presently 711.69%.

Wall Street Analysts Forecast Growth

Several research firms have weighed in on LYB. Barclays lowered their price target on LyondellBasell Industries from $72.00 to $62.00 and set an "equal weight" rating on the stock in a research report on Thursday, May 1st. UBS Group decreased their price target on shares of LyondellBasell Industries from $49.00 to $44.00 and set a "sell" rating on the stock in a research note on Thursday. Bank Of America (Bofa) dropped their target price on LyondellBasell Industries from $56.00 to $55.00 in a report on Monday, June 30th. Wells Fargo & Company reduced their price target on LyondellBasell Industries from $75.00 to $65.00 and set an "overweight" rating on the stock in a research report on Monday. Finally, Piper Sandler decreased their target price on shares of LyondellBasell Industries from $67.00 to $66.00 and set a "neutral" rating on the stock in a report on Thursday, May 1st. Three research analysts have rated the stock with a sell rating, nine have given a hold rating, two have assigned a buy rating and one has assigned a strong buy rating to the company. According to MarketBeat, LyondellBasell Industries currently has an average rating of "Hold" and an average target price of $63.08.

Hedge Funds Weigh In On LyondellBasell Industries

Hedge funds have recently made changes to their positions in the stock. Vident Advisory LLC raised its holdings in LyondellBasell Industries by 0.8% during the 4th quarter. Vident Advisory LLC now owns 16,123 shares of the specialty chemicals company's stock worth $1,197,000 after purchasing an additional 131 shares during the last quarter. Crews Bank & Trust grew its holdings in LyondellBasell Industries by 16.4% during the 2nd quarter. Crews Bank & Trust now owns 1,245 shares of the specialty chemicals company's stock worth $72,000 after acquiring an additional 175 shares during the period. NewSquare Capital LLC raised its position in shares of LyondellBasell Industries by 0.3% in the 1st quarter. NewSquare Capital LLC now owns 70,986 shares of the specialty chemicals company's stock worth $4,932,000 after acquiring an additional 193 shares in the last quarter. New York Life Investment Management LLC lifted its stake in shares of LyondellBasell Industries by 0.5% in the 2nd quarter. New York Life Investment Management LLC now owns 38,521 shares of the specialty chemicals company's stock valued at $2,229,000 after purchasing an additional 193 shares during the period. Finally, Forza Wealth Management LLC boosted its position in shares of LyondellBasell Industries by 1.6% during the 1st quarter. Forza Wealth Management LLC now owns 12,705 shares of the specialty chemicals company's stock valued at $894,000 after purchasing an additional 200 shares in the last quarter. 71.20% of the stock is currently owned by institutional investors.

LyondellBasell Industries Stock Down 1.3%

The firm has a market cap of $15.92 billion, a price-to-earnings ratio of 64.28, a PEG ratio of 3.21 and a beta of 0.85. The firm has a 50 day moving average of $59.61 and a 200 day moving average of $64.63. The company has a quick ratio of 1.04, a current ratio of 1.77 and a debt-to-equity ratio of 0.94.

LyondellBasell Industries Company Profile

LyondellBasell Industries N.V. operates as a chemical company in the United States, Germany, Mexico, Italy, Poland, France, Japan, China, the Netherlands, and internationally. The company operates in six segments: Olefins and PolyolefinsAmericas; Olefins and PolyolefinsEurope, Asia, International; Intermediates and Derivatives; Advanced Polymer Solutions; Refining; and Technology.