Braskem (NYSE:BAK) Trading 10% Higher – Time to Buy?

Braskem S.A. (NYSE:BAK) shot up 10% during mid-day trading on Wednesday . The stock traded as high as $1.79 and last traded at $1.8150. Approximately 330,959 shares traded hands during mid-day trading, a decline of 86% from the average daily volume of 2,433,741 shares. The stock had previously closed at $1.65.

Analysts Set New Price Targets

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

Braskem Trading Up 16.7%

The firm has a market cap of $767.31 million, a PE ratio of -0.79, a P/E/G ratio of 0.10 and a beta of 1.62. The business’s 50-day simple moving average is $2.26 and its 200 day simple moving average is $3.36.

Braskem (NYSE:BAK) last announced its quarterly earnings results on Friday, June 26th. The company reported $1.61 earnings per share for the quarter. Braskem had a negative net margin of 7.28% and a negative return on equity of 67.75%. The firm had revenue of $4.20 billion during the quarter. Analysts expect that Braskem S.A. will post 1.58 earnings per share for the current year.

Institutional Trading of Braskem

A number of hedge funds have recently bought and sold shares of BAK. Brooklands Fund Management Ltd bought a new stake in Braskem during the 1st quarter valued at $2,013,000. Dark Forest Capital Management LP raised its position in shares of Braskem by 94.7% in the 3rd quarter. Dark Forest Capital Management LP now owns 32,127 shares of the company’s stock worth $78,000 after acquiring an additional 15,630 shares in the last quarter. Brevan Howard Capital Management LP purchased a new stake in shares of Braskem during the 3rd quarter worth $64,000. Quadrant Capital Group LLC lifted its stake in shares of 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 purchasing an additional 8,832 shares during the last quarter. Finally, Citadel Advisors LLC bought a new stake in Braskem during the second quarter valued at about $89,000.

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.