Braskem (NYSE:BAK) Shares Gap Up – Still a Buy?

Braskem S.A. (NYSE:BAK) shares gapped up before the market opened on Tuesday . The stock had previously closed at $3.63, but opened at $3.72. Braskem shares last traded at $3.74, with a volume of 112,165 shares trading hands.

Analysts Set New Price Targets

Separately, Scotiabank downgraded shares of Braskem from a “sector outperform” rating to a “sector perform” rating in a research note on Monday, March 3rd.

Braskem Trading Up 3.2 %

The stock has a 50-day simple moving average of $4.23 and a two-hundred day simple moving average of $5.12. The firm has a market capitalization of $1.49 billion, a P/E ratio of -1.05 and a beta of 2.06.

Braskem (NYSE:BAK) last released its quarterly earnings data on Thursday, February 27th. The company reported ($0.39) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.38) by ($0.01). The business had revenue of $3.28 billion for the quarter, compared to the consensus estimate of $3.52 billion. Braskem had a negative net margin of 9.88% and a negative return on equity of 439.59%. As a group, research analysts expect that Braskem S.A. will post -0.77 EPS for the current year.

Institutional Investors Weigh In On Braskem

A number of institutional investors have recently added to or reduced their stakes in BAK. JPMorgan Chase & Co. lifted its position in shares of Braskem by 876.1% during the third quarter. JPMorgan Chase & Co. now owns 5,427 shares of the company’s stock valued at $40,000 after buying an additional 4,871 shares during the last quarter. R Squared Ltd acquired a new position in shares of Braskem during the fourth quarter worth $44,000. Blue Trust Inc. lifted its holdings in shares of Braskem by 2,510.3% during the 4th quarter. Blue Trust Inc. now owns 13,130 shares of the company’s stock valued at $51,000 after purchasing an additional 12,627 shares during the last quarter. Signaturefd LLC acquired a new stake in shares of Braskem in the 4th quarter worth $53,000. Finally, Dark Forest Capital Management LP purchased a new position in Braskem during the 4th quarter worth $71,000.

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.