The average of price targets set by Wall Street analysts indicates a potential upside of 28.3% in Methanex (MEOH). 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.
MEOH stock has gained 63.1% in the past year as higher methanol output, acquired assets and improved gas supply and dividend support drive growth.
Methanex (MEOH) witnessed a jump in share price last session on above-average trading volume. The latest trend in earnings estimate revisions for the stock doesn't suggest further strength down the road.
MEOH is boosting output with stronger gas supply, new assets and resilient methanol demand, positioning the company for long-term value and cash generation.
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
MEOH will indefinitely idle its Titan methanol plant in Trinidad after failing to secure a new gas contract, while preserving restart optionality.
MEOH's shares have gained 19.8% in the past six months, supported by the global production network and contributions from newly acquired assets.
Here is how Methanex (MEOH) and Materion (MTRN) have performed compared to their sector so far this year.
Methanex is well-positioned to benefit from the supply disruptions due to the Middle East conflict, declining inventories, and low capacity additions in the sector. Management is prioritizing cash generation to reduce the debt levels, while maintaining the dividend payments. Completion of the Geismar 3 expansion and the OCI acquisition has expanded Methanex's low-cost production capacity, which will improve long-term earnings and margins.
MEOH shares surged 47.7% year to date, riding higher methanol prices amid Middle East supply disruptions, while OCI assets support stronger earnings.
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
Here is how Methanex (MEOH) and Anglo American (NGLOY) have performed compared to their sector so far this year.