Orbia Advance (OTCMKTS:MXCHY) Shares Gap Up - Still a Buy?

Key Points

• Shares jumped at the open — Orbia Advance gapped up from $2.30 to $2.4980 (about a 12.6% rise) but traded on very light volume (215 shares).
• Analyst sentiment is positive — Barclays reaffirmed "overweight," Itau BBA upgraded to "outperform," and the stock carries an average "Buy" rating from three analysts.
• Fundamentals are mixed — the company has a debt-to-equity of 1.76 and negative profitability (net margin -4.81%, ROE -9.53%); its last reported $999.00 EPS appears anomalous versus expected ~ $0.10 EPS for the year.

Orbia Advance Corporation, S.A.B. de C.V. Unsponsored ADR (OTCMKTS:MXCHY - Get Free Report) shares gapped up before the market opened on Tuesday . The stock had previously closed at $2.30, but opened at $2.4980. Orbia Advance shares last traded at $2.4980, with a volume of 215 shares changing hands.

Analyst Ratings Changes

MXCHY has been the subject of a number of research analyst reports. Barclays reaffirmed an "overweight" rating on shares of Orbia Advance in a research report on Friday. Itau BBA Securities raised shares of Orbia Advance to an "outperform" rating in a research report on Wednesday, January 28th. Three analysts have rated the stock with a Buy rating, According to MarketBeat, the stock has an average rating of "Buy".

Orbia Advance Stock Up 12.6%

The company has a debt-to-equity ratio of 1.76, a current ratio of 1.56 and a quick ratio of 1.10. The business's 50-day simple moving average is $2.28 and its 200 day simple moving average is $2.04.

Orbia Advance (OTCMKTS:MXCHY - Get Free Report) last posted its earnings results on Tuesday, April 28th. The basic materials company reported $999.00 EPS for the quarter, topping analysts' consensus estimates of $0.01 by $998.99. Orbia Advance had a negative net margin of 4.81% and a negative return on equity of 9.53%. On average, sell-side analysts forecast that Orbia Advance Corporation, S.A.B. de C.V. Unsponsored ADR will post 0.1 earnings per share for the current year.

Orbia Advance Company Profile

Orbia Advance Corporation, formerly Mexichem, is a leading global provider of specialty materials and innovative solutions headquartered in Mexico City. Founded in 1953 as the first vinyl chloride producer in Mexico, the company rebranded to Orbia Advance in 2019 to reflect its broadened portfolio spanning advanced chemicals, polymers and infrastructure technologies.

Orbia's operations are organized into four core segments: Fluorinated Solutions, which offers refrigerants, fluoropolymers and specialty chemicals; Polymer Solutions, producing polyethylene, PVC and compound resins; Building & Infrastructure, supplying piping systems, cables and water management products; and Precision Agriculture, delivering drip-irrigation systems and soil-conditioning services.

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