Methanex (NASDAQ:MEOH) Shares Gap Down After Earnings Miss

Methanex Corporation (NASDAQ:MEOH) (TSE:MX)’s stock price gapped down prior to trading on Friday following a weaker than expected earnings announcement. The stock had previously closed at $57.05, but opened at $53.02. Methanex shares last traded at $53.18, with a volume of 701,677 shares changing hands.

The specialty chemicals company reported ($0.14) EPS for the quarter, missing analysts’ consensus estimates of $0.81 by ($0.95). The company had revenue of $968.81 million during the quarter, compared to the consensus estimate of $1.03 billion. Methanex had a return on equity of 9.07% and a net margin of 5.97%.The company’s revenue for the quarter was up 2.1% on a year-over-year basis. During the same quarter in the previous year, the company posted $1.24 earnings per share.

Methanex Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Tuesday, March 31st. Stockholders of record on Tuesday, March 17th will be given a dividend of $0.185 per share. The ex-dividend date of this dividend is Tuesday, March 17th. This represents a $0.74 dividend on an annualized basis and a dividend yield of 1.4%. Methanex’s dividend payout ratio (DPR) is 25.08%.

Key Headlines Impacting Methanex

Here are the key news stories impacting Methanex this week:

• Positive Sentiment: UBS raised its price target to $60 and maintains a Buy rating, signaling analyst confidence in upside from current levels. Benzinga
• Positive Sentiment: UBS/other coverage published bullish forecasts calling for strong price appreciation for MEOH, which could support a recovery if methanol pricing and margins rebound. UBS Forecast
• Positive Sentiment: Methanex reported higher production (2.364 million tonnes in Q4) and generated strong 2025 cash flow, providing balance-sheet flexibility and support for capital allocation despite the quarterly loss. GlobeNewswire Q4 Release
• Neutral Sentiment: Revenues rose slightly year-over-year on higher volumes (helped by stronger Chile output), which is operationally positive but was insufficient to offset lower selling prices this quarter. Zacks: Revenues Up Y/Y
• Negative Sentiment: Methanex reported an adjusted Q4 loss of $0.14 per share versus the consensus $0.81 — a sizable miss — and revenue of $968.8M vs. estimates near $1.03B; weaker methanol prices pressured margins. Press Release / MarketBeat
• Negative Sentiment: The quarter included a New Zealand impairment that helped swing the company to a loss, a one-time charge that clouds near-term EPS comparisons and contributed to the stock weakness. TipRanks: Impairment
• Negative Sentiment: Pre-market coverage and headlines highlighted the earnings miss and related weakness, driving selling pressure into the session. MSN Pre-market

Wall Street Analysts Forecast Growth

MEOH has been the topic of several research analyst reports. Canadian Imperial Bank of Commerce cut Methanex from an “outperform” rating to a “neutral” rating and increased their price objective for the stock from $46.00 to $52.00 in a research note on Friday, February 6th. Scotiabank reiterated an “outperform” rating on shares of Methanex in a report on Wednesday, January 21st. Zacks Research raised Methanex from a “strong sell” rating to a “hold” rating in a research report on Tuesday, January 27th. Weiss Ratings restated a “hold (c)” rating on shares of Methanex in a report on Monday, December 29th. Finally, Raymond James Financial lowered shares of Methanex from an “outperform” rating to a “market perform” rating in a research note on Wednesday, January 14th. One equities research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating and five have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $48.70.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the stock. Invesco Ltd. boosted its position in Methanex by 8.3% during the fourth quarter. Invesco Ltd. now owns 254,573 shares of the specialty chemicals company’s stock valued at $10,112,000 after purchasing an additional 19,588 shares in the last quarter. Alberta Investment Management Corp raised its holdings in Methanex by 12.0% in the fourth quarter. Alberta Investment Management Corp now owns 1,111,000 shares of the specialty chemicals company’s stock worth $44,129,000 after purchasing an additional 119,000 shares in the last quarter. Wellington Management Group LLP lifted its position in shares of Methanex by 629.5% during the fourth quarter. Wellington Management Group LLP now owns 2,316,270 shares of the specialty chemicals company’s stock valued at $92,000,000 after buying an additional 1,998,763 shares during the last quarter. Toronto Dominion Bank boosted its holdings in shares of Methanex by 11.3% in the 4th quarter. Toronto Dominion Bank now owns 55,872 shares of the specialty chemicals company’s stock valued at $2,216,000 after buying an additional 5,690 shares in the last quarter. Finally, Orion Resource Partners LP grew its position in shares of Methanex by 157.6% in the 4th quarter. Orion Resource Partners LP now owns 126,323 shares of the specialty chemicals company’s stock worth $5,011,000 after buying an additional 77,291 shares during the last quarter. 73.49% of the stock is owned by institutional investors.

Methanex Stock Performance

The firm’s 50 day moving average is $47.26 and its 200 day moving average is $40.67. The company has a debt-to-equity ratio of 0.97, a quick ratio of 1.33 and a current ratio of 2.09. The stock has a market cap of $4.13 billion, a P/E ratio of 18.11 and a beta of 0.65.

About Methanex

Methanex Corporation is a Vancouver, Canada–based company and one of the world’s largest producers and suppliers of methanol. The company manufactures methanol, a key feedstock for a wide range of chemical products and industrial applications. Methanex markets its product to customers in energy, plastics, paints and coatings, and various chemical sectors, positioning the company as a critical link in the global supply chain for basic chemicals.

The company’s core product, methanol, serves as a building block for downstream chemicals such as formaldehyde, acetic acid and methyl tertiary butyl ether (MTBE).