Braskem (NYSE:BAK) Shares Gap Down After Analyst Downgrade

Braskem S.A. (NYSE:BAK)’s stock price gapped down prior to trading on Thursday after Bank of America downgraded the stock from a neutral rating to an underperform rating. The stock had previously closed at $4.24, but opened at $3.97. Bank of America now has a $2.80 price target on the stock. Braskem shares last traded at $4.0550, with a volume of 890,624 shares changing hands.

Other research analysts have also recently issued reports about the company. Citigroup cut Braskem from a “hold” rating to a “sell” rating in a report on Monday, February 16th. Weiss Ratings reissued a “sell (e+)” rating on shares of Braskem in a research note on Wednesday, January 21st. Finally, Zacks Research downgraded Braskem from a “strong-buy” rating to a “hold” rating in a research report on Monday, January 19th. Three equities research analysts have rated the stock with a Hold rating and four have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock has a consensus rating of “Strong Sell” and an average target price of $3.87.

Institutional Trading of Braskem

Several institutional investors have recently added to or reduced their stakes in BAK. UBS Group AG lifted its stake in Braskem by 2.6% during the third quarter. UBS Group AG now owns 783,445 shares of the company’s stock worth $1,896,000 after purchasing an additional 19,956 shares in the last quarter. State Street Corp grew its stake in shares of Braskem by 7.2% in the fourth quarter. State Street Corp now owns 311,507 shares of the company’s stock valued at $919,000 after buying an additional 20,805 shares in the last quarter. Renaissance Technologies LLC raised its holdings in shares of Braskem by 619.5% in the 4th quarter. Renaissance Technologies LLC now owns 265,488 shares of the company’s stock valued at $783,000 after buying an additional 228,588 shares during the period. Jump Financial LLC raised its holdings in shares of Braskem by 607.1% in the 2nd quarter. Jump Financial LLC now owns 263,771 shares of the company’s stock valued at $865,000 after buying an additional 226,467 shares during the period. Finally, Jane Street Group LLC lifted its stake in Braskem by 193.6% during the 4th quarter. Jane Street Group LLC now owns 220,898 shares of the company’s stock worth $652,000 after acquiring an additional 145,655 shares in the last quarter.

Braskem Trading Down 10.5%

The business has a fifty day moving average of $3.95 and a 200 day moving average of $3.23. The company has a market capitalization of $1.41 billion, a PE ratio of -1.55 and a beta of 1.84.

About Braskem

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.