Braskem Q2: Mixed Results, Cheap Valuation
I recommend buying Braskem shares post-2Q24 results, which showed operational improvement despite missing market expectations and ongoing financial challenges. BAK's revenue remained stable at $3.65 billion, with excellent cost control leading to a 9% recurring EBITDA margin. Valuation is attractive with a potential 33.8% appreciation, trading at 6.5x EV/EBITDA against an industry average of 8.7x.
Wall Street Analysts Predict a 46.24% Upside in Braskem (BAK): Here's What You Should Know
The average of price targets set by Wall Street analysts indicates a potential upside of 46.2% in Braskem (BAK). While the effectiveness of this highly sought-after metric is questionable, the positive trend in earnings estimate revisions might translate into an upside in the stock.
Braskem: Likely Waiting To Be Purchased
Braskem's controlling holding, Novonor, is looking for a buyer for its stake in the company. The proposals to purchase this stake exceed the company's current market cap by two times. For this reason, I believe that the dangerous risks, such as the sinking of Maceió, are already in the price, bringing a good opportunity.
Brazil senators suggest charges against Braskem over sinking city
A Brazilian congressional committee on Tuesday suggested charging petrochemical producer Braskem with crimes against the environment and public properties over the sinking soil of a city that forced thousands of families to relocate.
