Jefferies Cuts BASF to Underperform While Chemical Giant Reshapes Portfolio
Published on 11/15/2026 at 13:11 | Editorial boerse-global.de
BASF is pressing ahead with a twin-track strategy of shedding non-core operations and expanding its core chemicals footprint, even as one of Europe's leading brokerage houses warns that the earnings outlook remains under pressure.
On Thursday, the Ludwigshafen-based group signed an agreement to sell its global mining business to SNF. The deal covers roughly 140 employees and the production site in Cork, Ireland. Completion is expected in 2027, subject to regulatory approvals and other customary closing conditions.
Louisiana MDI Plant Enters Service
Just a day earlier, BASF officially commissioned its new MDI production facility at the Geismar integrated site in Louisiana, USA. The investment totals around USD 1 billion, lifting annual MDI capacity at the location to approximately 600,000 tonnes.
The two moves illustrate a company reallocating capital: exiting a global business while simultaneously expanding output at an established Verbund site.
Should investors sell immediately? Or is it worth buying BASF?
Jefferies Flags Margin Risks
Jefferies downgraded BASF from "Hold" to "Underperform" on Wednesday, keeping its price target at EUR 44. Analyst Priyanka Patel cited weak chemicals spreads, persistent overcapacity and higher gas prices. No meaningful recovery in demand is in sight, according to the brokerage.
For 2027, Jefferies projects EBITDA before special items of EUR 7.4 billion — a figure the analysts say sits 5 percent below the consensus.
Renewable Power for Polyisobutene Lines
Separately, BASF plans to manufacture suitable polyisobutene products for external customers in Europe entirely with electricity from renewable sources starting January 2027. The switch, announced Tuesday, applies to the Oppanol B and Glissopal product ranges. Product specifications and article numbers will remain unchanged, the company said.
BASF at a turning point? This analysis reveals what investors need to know now.
Buyback Continues
Under its share buyback programme, BASF repurchased around 352,000 of its own shares between November 2 and November 6 inclusive, the company announced on November 9.
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BASF Stock: New Analysis - 15 November
Fresh BASF information released. What's the impact for investors? Our latest independent report examines recent figures and market trends.
