Dow Chemical Co. (DOW) Upgraded by Zacks Investment Research to “Buy”
Dow Chemical Co. (NYSE:DOW) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research report issued to clients and investors on Wednesday. The firm presently has a $58.00 price objective on the stock. Zacks Investment Research’s target price would suggest a potential upside of 9.45% from the stock’s previous close.
According to Zacks, “Dow should benefit from its cost reduction and aggressive portfolio management actions as well as strategic investments in the U.S. Gulf Coast and the Middle East. The company is also moving forward with its planned mega-merger with DuPont, which is expected to create significant synergies. Dow should also gain from cost synergies associated with Dow Corning Silicones business in 2016. Moreover, the company remains committed to boost shareholder returns.”
DOW has been the subject of several other research reports. Credit Suisse Group AG reaffirmed a “buy” rating and issued a $61.00 price target on shares of Dow Chemical in a research report on Friday, July 29th. Vetr cut shares of Dow Chemical from a “sell” rating to a “strong sell” rating and set a $46.12 price target for the company. in a research report on Monday, July 18th. Nomura reaffirmed a “buy” rating on shares of Dow Chemical in a research report on Tuesday, July 12th. RBC Capital Markets set a $65.00 price target on shares of Dow Chemical and gave the stock a “buy” rating in a research report on Tuesday, September 20th. Finally, JPMorgan Chase & Co. raised shares of Dow Chemical from a “neutral” rating to an “overweight” rating and upped their price target for the stock from $50.00 to $60.00 in a research report on Friday, July 29th. One research analyst has rated the stock with a sell rating, three have given a hold rating and twelve have issued a buy rating to the stock. The stock presently has an average rating of “Buy” and a consensus price target of $60.10.
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Shares of Dow Chemical (NYSE:DOW) traded down 1.12% during midday trading on Wednesday, reaching $52.99. 6,810,064 shares of the company traded hands. Dow Chemical has a 1-year low of $40.26 and a 1-year high of $57.10. The company has a market capitalization of $59.71 billion, a PE ratio of 7.74 and a beta of 1.40. The company has a 50 day moving average price of $53.07 and a 200 day moving average price of $52.26.
Dow Chemical (NYSE:DOW) last released its quarterly earnings data on Thursday, July 28th. The company reported $0.95 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.86 by $0.09. The company earned $12 billion during the quarter, compared to analysts’ expectations of $11.24 billion. Dow Chemical had a net margin of 18.31% and a return on equity of 18.86%. The firm’s quarterly revenue was down 7.4% on a year-over-year basis. During the same period in the previous year, the company earned $0.91 EPS. On average, analysts expect that Dow Chemical will post $3.53 earnings per share for the current year.
The firm also recently disclosed a quarterly dividend, which will be paid on Friday, October 28th. Stockholders of record on Friday, September 30th will be issued a $0.46 dividend. This represents a $1.84 annualized dividend and a dividend yield of 3.47%. The ex-dividend date is Wednesday, September 28th. Dow Chemical’s dividend payout ratio (DPR) is currently 27.10%.
Several hedge funds have recently added to or reduced their stakes in DOW. FMR LLC increased its stake in Dow Chemical by 48.8% in the second quarter. FMR LLC now owns 21,277,852 shares of the company’s stock valued at $1,057,723,000 after buying an additional 6,974,423 shares during the period. Franklin Resources Inc. increased its stake in shares of Dow Chemical by 17.9% in the first quarter. Franklin Resources Inc. now owns 16,565,479 shares of the company’s stock worth $842,520,000 after buying an additional 2,517,977 shares during the period. Emerald Acquisition Ltd. purchased a new stake in shares of Dow Chemical during the second quarter worth about $123,434,000. Boston Partners increased its stake in shares of Dow Chemical by 32.1% in the second quarter. Boston Partners now owns 10,172,823 shares of the company’s stock worth $505,691,000 after buying an additional 2,471,255 shares during the period. Finally, Investec Asset Management LTD increased its stake in shares of Dow Chemical by 7,832.3% in the first quarter. Investec Asset Management LTD now owns 2,161,396 shares of the company’s stock worth $109,929,000 after buying an additional 2,134,148 shares during the period. 67.52% of the stock is currently owned by institutional investors and hedge funds.
Dow Chemical Company Profile
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