LyondellBasell Industries: Why Did It Get Upgraded?

3:31 pm ET, 17 Dec 2017

Over the weekend, Ford Equity Research upgraded LyondellBasell Industries NV (NYSE: LYB) from Hold to Buy.  Probably not the best know Company among the general investor population, LyondellBasell Industries operates as a manufacturer of chemicals and polymers, refiner of crude oil, producer of gasoline blending components, and developer of polymer technologies.

LyondellBasell's solid performance is partly attributable to its successful high-density polyethylene (HDPE) project and ethylene expansion initiatives. 

LyondellBasell is also benefitting from the favorable North American natural gas environment. It is executing its expansion projects to leverage the US natural gas liquids (NGLs) advantage.  LyondellBasell is constructing an HDPE plant on the US Gulf Coast that will employ its proprietary technology.

LYB is regarded as a solid stock among research analysis.  First Call Consensus Recommendation by Thomson Reuters calls for a buy rating of the Company.  

On the negative side, LyondellBasell Industries is currently rated as having Aggressive Accounting & Governance Risk by MSCI, indicating higher accounting and governance risk than the majority of other companies.

LyondellBasell emerged from Chapter 11 bankruptcy in 2010, and financially it has been doing fine since. 

Over the last year, LYB returned +19.58%. This return is higher than Basic Materials sector (-4.14%) and S&P 500 (18.29%), but lower than Specialty Chemicals industry (25.92%) returns.

Disclaimer: The news article above expresses the author’s opinion about the topic of the article. We strongly advise you not to base your investment decisions just on this article alone. If you’d like to become a writer for Finny Bites, please send us an email at hi@askfinny.com.

LyondellBasell Industries NV (LYB) Stock Guide

Updated at: 11:47 am ET, 12 Jul 2020

Before we start: if you're looking for LYB stock price, you can quickly find it out by visiting Finny and typing "LYB quote". If you're looking for a quick scoop on LYB stock (chart, price target, market cap, news and buy or sell analysis), go to Finny and look for "LYB". You'll get all this info in one place. Or you can just type "LYB news" to get the latest stock news.

Looking to buy or sell LyondellBasell Industries NV (LYB)? Interested in getting the full scoop on LYB, including earnings and dividends, stock forecast, buy or sell analysis and key stats? If so, you came to the right place.

In this LYB stock guide, we'll address key questions about LYB, above and beyond what you can find on Yahoo Finance, Zacks, MarketWatch or Morningstar.

Here is what you'll be able to find in this guide:

Earnings and Dividends: earnings, earnings date, dividend rate and dividend yield;
Analyst Predictions: stock forecast and analyst ratings;
Analysis: Finny Score and buy or sell analysis;
Key Stats: revenue, market cap, revenue growth, profit margin, P/E ratio, P/B ratio, industry, sector, and number of employees.

And here is the list of questions we'll answer:
1. What are LYB earnings?
2. When is LYB earnings date?
3. What is LYB dividend?
4. What is LYB dividend yield?
5. What is LYB stock forecast (i.e., prediction)?
6. LYB buy or sell? What is LYB Finny Score?
7. What are the reasons to buy LYB? Why should I buy LYB stock?
8. What are the reasons to sell LYB? Why should I sell LYB stock?
9. What are LYB key stats: revenue, market cap, revenue growth, profit margin, P/E ratio, P/B ratio industry, sector, and number of employees?

So let's start. Scroll down to the question that interests you the most.

Earnings and Dividends

1. What are LYB earnings?

LYB trailing 12-month earnings per share (EPS) is $7.88.

2. When is LYB earnings date?

LYB earnings date is July 31, 2020.

3. What is LYB dividend?

LYB forward dividend is $4.20.

4. What is LYB dividend yield?

LYB forward dividend yield is 7.99%.

Analyst Predictions

5. What is LYB stock forecast (i.e., prediction)?

Based on LYB analyst price targets, LYB stock forecast is $63.86 (for a year from now). That means the average analyst price target for LYB stock is $63.86. The prediction is based on 24 analyst estimates.

The low price target for LYB is $50.00, while the high price target is $94.00.

LYB analyst rating is Hold.

Analysis

6. LYB buy or sell? What is LYB Finny Score?

#{finnyScore:50}Our quantitative analysis shows 5 reasons to buy and 5 reasons to sell LYB, resulting in Finny Score of 50.

7. What are the reasons to buy LYB? Why should I buy LYB stock?

Here are the reasons to buy LYB stock:

8. What are the reasons to sell LYB? Why should I sell LYB stock?

Let's look at the reasons to sell LYB stock (i.e., the bear case):

  • LYB quarterly revenue growth was -14.60%, lower than the industry and sector average revenue growth (1.06% and 0.52%, respectively). See LYB revenue growth chart.
  • LYB Price/Book ratio is 2.43, which is high compared to its industry peers’ P/B ratios. See LYB forward Price/Book ratio chart.
  • LYB PEG ratio (P/E adjusted for growth) is 5.20, which is high compared to its industry peers’ PEG ratios. See LYB PEG chart.
  • LYB average analyst price target ($63.86) is below its current price ($65.04). See LYB price target chart.
  • LYB short interest (days to cover the shorts) ratio is 2.3. The stock garners more short interest than the average industry, sector or S&P 500 stock. See LYB short interest ratio chart.

Key Stats

9. What are LYB key stats : revenue, market cap, revenue growth, profit margin, P/E ratio, P/B ratio industry, sector, and number of employees?

Let's look at the key statistics for LYB:

Metrics LYB
Price $66.33
Average Price Target / Upside $63.86 / -3.72%
Average Analyst Rating Hold
Forward Dividend Yield 7.99%
Industry Specialty Chemicals
Sector Basic Materials
Number of Employees 19,450
Market Cap $17.78B
Forward P/E Ratio 6.74
Price/Book Ratio 0.53
Revenue (TTM) $33.44B
YoY Quarterly Revenue Growth -14.60%
Profit Margin 8.12%

If you liked this analysis, check out Stock Guides for other stocks.

Disclaimer: The news article above expresses the author’s opinion about the topic of the article. We strongly advise you not to base your investment decisions just on this article alone. If you’d like to become a writer for Finny Bites, please send us an email at hi@askfinny.com.

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