Braskem (NYSE:BAK) Shares Up 4.1% – Should You Buy?

Braskem S.A. (NYSE:BAK)’s share price was up 4.1% during trading on Tuesday . The company traded as high as $6.18 and last traded at $6.16. Approximately 543,939 shares were traded during trading, a decline of 33% from the average daily volume of 808,914 shares. The stock had previously closed at $5.92.

Wall Street Analyst Weigh In

A number of equities analysts have commented on the stock. Citigroup raised shares of Braskem from a “neutral” rating to a “buy” rating in a research report on Tuesday, August 20th. UBS Group upgraded shares of Braskem from a “neutral” rating to a “buy” rating and upped their price target for the company from $7.70 to $10.00 in a research note on Wednesday, September 18th. Finally, JPMorgan Chase & Co. cut their price objective on shares of Braskem from $10.00 to $9.50 and set a “neutral” rating for the company in a research report on Tuesday, September 10th.

Braskem Price Performance

The firm’s 50-day simple moving average is $6.67 and its 200 day simple moving average is $6.87. The company has a debt-to-equity ratio of 23.25, a quick ratio of 0.84 and a current ratio of 1.31.

Braskem (NYSE:BAK) last released its quarterly earnings data on Thursday, August 8th. The company reported ($0.48) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.78) by $0.30. The business had revenue of $3.66 billion during the quarter, compared to analysts’ expectations of $3.56 billion. Braskem had a negative net margin of 12.98% and a negative return on equity of 276.59%. On average, sell-side analysts anticipate that Braskem S.A. will post -1.71 earnings per share for the current fiscal year.

Institutional Trading of Braskem

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Point72 Asset Management L.P. boosted its stake in shares of Braskem by 60.9% in the 2nd quarter. Point72 Asset Management L.P. now owns 41,200 shares of the company’s stock valued at $266,000 after purchasing an additional 15,600 shares during the last quarter. Boston Partners acquired a new position in Braskem in the first quarter valued at $627,000. American Century Companies Inc. boosted its position in Braskem by 1.6% during the second quarter. American Century Companies Inc. now owns 111,968 shares of the company’s stock valued at $722,000 after acquiring an additional 1,807 shares during the last quarter. Marshall Wace LLP grew its holdings in Braskem by 872.0% during the 2nd quarter. Marshall Wace LLP now owns 268,352 shares of the company’s stock worth $1,731,000 after acquiring an additional 240,744 shares during the period. Finally, MBB Public Markets I LLC raised its position in shares of Braskem by 69.5% in the 2nd quarter. MBB Public Markets I LLC now owns 1,597,293 shares of the company’s stock worth $10,303,000 after acquiring an additional 654,806 shares in the last quarter.

About Braskem

Braskem SA, together with its subsidiaries, produces and sells thermoplastic resins. The company operates through three segments: Brazil, United States and Europe, and Mexico. The Brazil segment produces and sells olefins, including ethylene, polymer and chemical grade propylene, butadiene, and butene-1; benzene, toluene, and xylenes products; fuels, such as automotive gasoline, liquefied petroleum gas, ethyl tertiary-butyl ether, and methyl tertiary-butyl ether; intermediates, such as cumene; aliphatics, aromatics, and hydrogenated solvents; and specialties comprising isoprene, dicyclopentadiene, piperylene, nonene, tetramer, polyisobutylene, and hydrocarbon resins.