Braskem (NYSE:BAK) Shares Gap Down – Should You Sell?

Shares of Braskem S.A. (NYSE:BAK) gapped down before the market opened on Thursday . The stock had previously closed at $4.13, but opened at $3.98. Braskem shares last traded at $4.06, with a volume of 122,018 shares.

Analysts Set New Price Targets

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

Braskem Stock Performance

The stock has a fifty day moving average of $4.22 and a 200 day moving average of $5.06. The company has a market capitalization of $1.57 billion, a PE ratio of -1.11 and a beta of 2.06.

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

Institutional Investors Weigh In On Braskem

Large investors have recently made changes to their positions in the stock. JPMorgan Chase & Co. raised its position in shares of Braskem by 876.1% in the third quarter. JPMorgan Chase & Co. now owns 5,427 shares of the company’s stock worth $40,000 after acquiring an additional 4,871 shares during the period. R Squared Ltd acquired a new stake in shares of Braskem during the 4th quarter worth approximately $44,000. Blue Trust Inc. lifted its stake in shares of Braskem by 2,510.3% in 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 purchased a new position in Braskem during the fourth quarter worth about $53,000. Finally, Dark Forest Capital Management LP purchased a new position in shares of Braskem during the fourth quarter worth $71,000.

Braskem Company Profile

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.