e.l.f. Beauty stock plummets 20% as revenue and guidance fall short of expectations
Investing.com - LyondellBasell Industries (NYSE:LYB) shares gained after BMO Capital reiterated its Market Perform rating with a $58.00 price target following the company’s third-quarter results. Notably, BMO’s target aligns closely with InvestingPro’s Fair Value assessment, suggesting the stock is currently undervalued at its price of $46.25.
The chemical company reported better-than-expected quarterly results, primarily driven by stronger performance in its Intermediates & Derivatives segment, while other business segments performed largely in line with forecasts.
BMO Capital noted that LyondellBasell plans to navigate the upcoming seasonal downturn by operating at lower rates to better match demand, while also facing increased energy and raw material costs in the near term.
The company intends to further reduce working capital to drive free cash flow, which BMO indicated would help "defend the dividend in the immediate-term." This strategy appears critical considering LYB’s substantial 11.8% dividend yield and its healthy free cash flow yield of 5%, according to InvestingPro data.
Management expressed an improving intermediate-term outlook based on industry capacity closures and stabilizing volumes, though BMO Capital observed that "a better supply/demand outlook remains to be seen." Despite this uncertainty, LYB maintains a "FAIR" overall financial health score from InvestingPro, which offers a comprehensive research report with additional insights on this and over 1,400 other US equities.
In other recent news, LyondellBasell Industries reported its third-quarter 2025 earnings, showcasing a strong financial performance with earnings per share of $1.01 and an EBITDA of $835 million. The company highlighted improvements in cash flow and operational efficiencies. Despite these positive results, KeyBanc noted that LyondellBasell has trimmed its fourth-quarter forecast and sees potential downside to the current consensus estimate of $697 million. Additionally, Mizuho has lowered its price target for LyondellBasell to $52.00 from $54.00, maintaining a Neutral rating on the stock. This represents a $2.00 decrease from the firm’s previous valuation. KeyBanc reiterated its Sector Weight rating following the company’s third-quarter results that exceeded expectations. These developments come as LyondellBasell maintains its dividend despite market pressures.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.