Element Solutions price target raised to $24 from $23 at Mizuho

Published 13/06/2025, 12:32
Element Solutions price target raised to $24 from $23 at Mizuho

Mizuho (NYSE:MFG) raised its price target on Element Solutions (NYSE:ESI) stock to $24.00 from $23.00 on Friday, while maintaining its Outperform rating on the specialty chemicals company. With analyst targets ranging from $24 to $31, and InvestingPro analysis indicating the stock is currently undervalued, there appears to be potential upside from current levels.

The price target increase follows Mizuho’s Tech Conference where Element Solutions CEO Ben Gliklich provided business updates. The firm noted that the company’s electronics segment continues to perform well, with April described as solid, May showing year-over-year strength, and June tracking positively.

Strong performance in electronic materials continues to offset softness in the cyclical Industrial segment, a trend consistent with patterns observed over several previous quarters. Mizuho indicated that the current quarter appears to be progressing as expected, with foreign exchange potentially providing a modest tailwind.

The research firm maintained its quarterly estimates of $124 million in EBITDA and $0.33 earnings per share for the second quarter of 2025. Full-year projections remain unchanged at $526 million in EBITDA and $1.40 earnings per share.

Mizuho attributed its price target adjustment to higher peer and market multiples, while noting that unfavorable foreign exchange impacts on Element Solutions are diminishing.

In other recent news, Element Solutions Inc reported its financial results for the first quarter of 2025, exceeding analyst expectations. The company announced earnings per share (EPS) of $0.34, surpassing the forecasted $0.33, and reported revenue of $594 million, which was higher than the anticipated $574.2 million. This strong performance was driven by a 10% organic growth in the electronics segment. Element Solutions maintained its full-year adjusted EBITDA guidance of $520-$540 million, despite potential tariff impacts. Mizuho raised its price target for Element Solutions stock to $24.00 from $23.00, maintaining an Outperform rating, citing strength in the electronics segment. Mizuho’s estimates for the second quarter include $124 million in EBITDA and $0.33 earnings per share, with full-year estimates at $526 million in EBITDA and $1.40 earnings per share. The company continues to navigate market challenges with a diversified global manufacturing footprint and strong customer engagement.

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