Braskem (NYSE:BAK) Trading Up 9.9% – Still a Buy?

Braskem S.A. (NYSE:BAK) shares were up 9.9% on Wednesday . The company traded as high as $2.10 and last traded at $2.1650. Approximately 387,572 shares changed hands during mid-day trading, a decline of 83% from the average session volume of 2,344,772 shares. The stock had previously closed at $1.97.

Analysts Set New Price Targets

A number of brokerages have weighed in on BAK. Bradesco Corretora lowered shares of Braskem from an “outperform” rating to an “underperform” rating and set a $1.50 target price on the stock. in a research report on Tuesday, April 21st. Zacks Research cut Braskem from a “strong-buy” rating to a “hold” rating in a research note on Monday, May 18th. JPMorgan Chase & Co. downgraded Braskem from an “overweight” rating to a “neutral” rating in a report on Tuesday, June 30th. Weiss Ratings restated a “sell (e+)” rating on shares of Braskem in a research report on Friday, July 17th. Finally, Citigroup cut Braskem from a “neutral” rating to a “sell” rating in a report on Thursday, June 25th. Three investment analysts have rated the stock with a Hold rating and five have assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company presently has an average rating of “Strong Sell” and a consensus target price of $3.40.

Braskem Trading Up 7.9%

The company’s 50-day simple moving average is $2.58 and its 200-day simple moving average is $3.50. The stock has a market capitalization of $847.02 million, a price-to-earnings ratio of -0.88, a PEG ratio of 0.12 and a beta of 1.62.

Braskem (NYSE:BAK) last issued its quarterly earnings results on Friday, June 26th. The company reported $1.61 EPS for the quarter. Braskem had a negative net margin of 7.28% and a negative return on equity of 50.83%. The company had revenue of $4.20 billion for the quarter. On average, equities research analysts expect that Braskem S.A. will post 1.52 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. Ramsey Quantitative Systems bought a new stake in shares of Braskem in the 2nd quarter valued at about $155,000. Bank of America Corp DE raised its position in shares of Braskem by 178,471.4% during the first quarter. Bank of America Corp DE now owns 50,000 shares of the company’s stock worth $183,000 after acquiring an additional 49,972 shares during the last quarter. Brooklands Fund Management Ltd acquired a new position in shares of Braskem in the first quarter worth approximately $2,013,000. Cetera Investment Advisers acquired a new position in shares of Braskem in the first quarter worth approximately $51,000. Finally, Private Advisor Group LLC bought a new stake in Braskem in the first quarter valued at approximately $157,000.

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.