Braskem (NYSE:BAK) Shares Gap Down – Here’s What Happened

Shares of Braskem S.A. (NYSE:BAK) gapped down prior to trading on Wednesday . The stock had previously closed at $1.63, but opened at $1.55. Braskem shares last traded at $1.4450, with a volume of 2,007,120 shares changing hands.

Analysts Set New Price Targets

A number of equities analysts have recently commented on BAK shares. Weiss Ratings reissued a “sell (e+)” rating on shares of Braskem in a report on Friday, July 17th. Zacks Research lowered Braskem from a “strong-buy” rating to a “hold” rating in a research note on Monday, May 18th. Citigroup cut Braskem from a “neutral” rating to a “sell” rating in a research report on Thursday, June 25th. Finally, JPMorgan Chase & Co. downgraded Braskem from an “overweight” rating to a “neutral” rating in a research note on Tuesday, June 30th. Three investment analysts have rated the stock with a Hold rating and five have assigned a Sell rating to the stock. Based on data from MarketBeat.com, Braskem has an average rating of “Strong Sell” and an average price target of $3.40.

Braskem Price Performance

The company has a fifty day moving average price of $2.40 and a two-hundred day moving average price of $3.44. The company has a market capitalization of $587.93 million, a P/E ratio of -0.61, a PEG ratio of 0.11 and a beta of 1.62.

Braskem (NYSE:BAK) last released its quarterly earnings results on Friday, June 26th. The company reported $1.61 earnings per share (EPS) for the quarter. The firm 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%. As a group, sell-side analysts forecast that Braskem S.A. will post 1.51 earnings per share for the current year.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the business. Brooklands Fund Management Ltd bought a new position in Braskem during the first quarter worth $2,013,000. Bank of America Corp DE increased its position in 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 buying an additional 49,972 shares in the last quarter. Cetera Investment Advisers bought a new stake in Braskem in the 1st quarter valued at about $51,000. Squarepoint Ops LLC acquired a new position in Braskem during the 4th quarter worth approximately $79,000. Finally, Quadrant Capital Group LLC raised its stake in Braskem by 222.1% during the 4th quarter. Quadrant Capital Group LLC now owns 12,809 shares of the company’s stock worth $38,000 after buying an additional 8,832 shares during the period.

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.