Braskem (NYSE:BAK) Shares Gap Down – What’s Next?

Braskem S.A. (NYSE:BAK)’s share price gapped down prior to trading on Friday . The stock had previously closed at $3.08, but opened at $2.85. Braskem shares last traded at $2.9150, with a volume of 287,715 shares trading hands.

Analyst Upgrades and Downgrades

A number of equities research analysts have recently weighed in on the stock. Santander downgraded shares of Braskem from a “neutral” rating to an “underperform” rating in a research note on Thursday, October 16th. UBS Group cut shares of Braskem from a “buy” rating to a “neutral” rating and dropped their price target for the company from $5.10 to $3.80 in a research report on Friday, September 26th. Zacks Research downgraded Braskem from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, September 30th. Weiss Ratings reiterated a “sell (e+)” rating on shares of Braskem in a research note on Wednesday, October 8th. Finally, Citigroup lowered Braskem from a “buy” rating to a “hold” rating in a research note on Friday, October 10th. Five investment analysts have rated the stock with a Hold rating and two have assigned a Sell rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Reduce” and an average price target of $4.40.

Braskem Price Performance

The firm has a 50-day moving average of $2.79 and a 200 day moving average of $3.04. The company has a market capitalization of $1.16 billion, a PE ratio of -1.28 and a beta of 1.89.

Braskem (NYSE:BAK) last issued its quarterly earnings data on Wednesday, November 12th. The company reported ($0.02) EPS for the quarter, topping analysts’ consensus estimates of ($0.48) by $0.46. The business had revenue of $3.25 billion during the quarter, compared to analysts’ expectations of $3.23 billion. Equities analysts expect that Braskem S.A. will post -0.77 EPS for the current year.

Institutional Investors Weigh In On Braskem

A number of institutional investors and hedge funds have recently made changes to their positions in BAK. Ballentine Partners LLC purchased a new position in Braskem in the third quarter worth approximately $34,000. Brevan Howard Capital Management LP acquired a new position in Braskem in the 3rd quarter valued at about $64,000. Dark Forest Capital Management LP increased its stake in Braskem by 94.7% in the 3rd quarter. Dark Forest Capital Management LP now owns 32,127 shares of the company’s stock valued at $78,000 after buying an additional 15,630 shares during the period. Virtu Financial LLC raised its stake in shares of Braskem by 28.7% during the 3rd quarter. Virtu Financial LLC now owns 44,587 shares of the company’s stock worth $108,000 after buying an additional 9,938 shares in the last quarter. Finally, Van ECK Associates Corp acquired a new stake in shares of Braskem in the third quarter valued at about $117,000.

Braskem Company Profile

Braskem (NYSE:BAK) is a leading integrated petrochemical company based in São Paulo, Brazil, and holds the distinction of being the largest thermoplastic resins producer in Latin America. The company operates across the entire value chain, from feedstock sourcing and polymer production to distribution and recycling. Braskem’s comprehensive approach to petrochemical manufacturing enables it to serve a diverse set of end markets with a broad portfolio of products.

Braskem’s core product lines include polypropylene, polyethylene and polyvinyl chloride (PVC), which are used in industries such as packaging, automotive, construction and electrical & electronics.