Braskem (NYSE:BAK) Sees Strong Trading Volume – Here’s What Happened

Braskem S.A. (NYSE:BAK) shares saw an uptick in trading volume on Tuesday. Approximately 2,491,216 shares were traded during mid-day trading, an increase of 6% from the previous session’s volume of 2,349,089 shares. The stock last traded at $1.8250 and had previously closed at $1.78.

Wall Street Analyst Weigh In

A number of equities analysts have issued reports on BAK shares. JPMorgan Chase & Co. cut Braskem from an “overweight” rating to a “neutral” rating in a report on Tuesday, June 30th. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Braskem in a research report on Friday, July 17th. Citigroup cut shares of Braskem from a “neutral” rating to a “sell” rating in a research note on Thursday, June 25th. UBS Group downgraded shares of Braskem from a “neutral” rating to a “sell” rating and decreased their target price for the company from $4.00 to $1.50 in a research report on Tuesday, September 15th. Finally, HSBC lowered shares of Braskem from a “buy” rating to a “hold” rating and lowered their price target for the company from $6.50 to $1.50 in a research note on Monday, September 28th. Three investment analysts have rated the stock with a Hold rating and six have given a Sell rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Strong Sell” and a consensus target price of $2.56.

Braskem Trading Up 3.7%

The company has a market cap of $735.42 million, a P/E ratio of -0.76, a PEG ratio of 0.11 and a beta of 1.56. The business has a 50 day moving average price of $1.85 and a 200-day moving average price of $2.87.

Braskem (NYSE:BAK) last released its earnings results on Friday, June 26th. The company reported $1.61 earnings per share for the quarter. The business had revenue of $4.20 billion during the quarter. Braskem had a negative net margin of 7.28% and a negative return on equity of 67.75%. On average, sell-side analysts expect that Braskem S.A. will post 1.58 earnings per share for the current year.

Institutional Trading of Braskem

Large investors have recently added to or reduced their stakes in the company. Brooklands Fund Management Ltd bought a new position in shares of Braskem in the 1st quarter valued at about $2,013,000. 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 holdings in shares of Braskem by 178,471.4% in the 1st quarter. Bank of America Corp DE now owns 50,000 shares of the company’s stock valued at $183,000 after purchasing an additional 49,972 shares during the period. Engineers Gate Manager LP lifted its stake in Braskem by 192.8% in the 2nd quarter. Engineers Gate Manager LP now owns 68,198 shares of the company’s stock valued at $166,000 after purchasing an additional 44,905 shares during the last quarter. Finally, Private Advisor Group LLC acquired a new stake in Braskem in the 1st quarter valued at about $157,000.

Braskem Company Profile

Braskem SA is a Brazilian petrochemical company headquartered in São Paulo, Brazil. The company produces basic chemicals and thermoplastic resins used in packaging, construction, automotive components, consumer goods, agriculture, and other industrial applications.

Its product portfolio includes olefins such as ethylene and propylene, polyolefins including polyethylene and polypropylene, polyvinyl chloride (PVC), caustic soda, and other chemical intermediates. Braskem also markets renewable polyethylene under the “I’m green” brand, which is made from sugarcane-based ethanol.

Established in 2002 through the consolidation of petrochemical assets in Brazil, Braskem expanded internationally through subsequent acquisitions and investments.