Jefferies Cuts BASF to Underperform as Analyst Flags Margin Pressure and Oversupply
Published on 11/14/2026 at 14:32 | Editorial boerse-global.de
Jefferies downgraded BASF to "Underperform" from "Hold" on Wednesday, keeping its price target unchanged at EUR 44. Analyst Priyanka Patel cited margin risks, overcapacity and higher gas prices, along with a lack of any pickup in demand. The stock closed Friday at EUR 54.33 — well above the broker's target.
A 2027 forecast below consensus
For 2027, Jefferies projects EBITDA before special items of EUR 7.4 billion, a figure the research house says sits 5 percent below the consensus estimate. The call lands as the chemicals group reshapes its portfolio on several fronts.
Mining unit heads to SNF
On Thursday, BASF signed an agreement to sell its global mining business to SNF. The transaction covers roughly 140 employees and the Cork production site in Ireland. BASF expects the deal to close in 2027, subject to regulatory approvals and customary closing conditions. Financial terms were not disclosed.
Should investors sell immediately? Or is it worth buying BASF?
Evonik stands firm
No progress emerged on the proposed takeover of Evonik. According to Reuters, Evonik held to its rejection of the increased offer on Monday, even after a meeting between the two companies' leadership, and no further meetings were planned following the report. BASF is the potential buyer in that effort, with Evonik the target.
New MDI capacity in Louisiana
BASF officially commissioned a new MDI plant at its Geismar integrated site in Louisiana on Wednesday. The company puts the investment at around USD 1 billion, lifting annual MDI capacity at the location to roughly 600,000 tonnes.
Renewable power for polyisobutene
On Tuesday, BASF also announced that its European polyisobutene production for external customers would switch entirely to electricity from renewable sources. The conversion of the eligible Oppanol B and Glissopal products is scheduled for completion from January 2027.
Chilean divestment
Earlier, on 6 November, ALTA Performance Materials signed a contract to acquire BASF's Palatal business in Chile. BASF is the seller in that agreed transaction, with ALTA as the buyer.
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BASF Stock: New Analysis - 14 November
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