Shares of Albemarle Corporation (NYSE:ALB) have been assigned a consensus rating of “Hold” by analysts, according to a report from Marketbeat. Out of the twenty-nine analysts currently covering the stock, three recommend selling, seventeen suggest holding, eight advise buying, and one analyst has issued a strong buy recommendation.
The average price target for Albemarle shares over the next twelve months stands at approximately $108.63. Recent analyses from various research firms have shown a range of adjustments to these targets. Notably, UBS Group upgraded its rating from “neutral” to “buy” and increased its price target significantly from $107.00 to $185.00 in a report released on Friday.
Following suit, Mizuho raised its price objective from $92.00 to $110.00, maintaining a “neutral” rating. Similarly, Wells Fargo & Company boosted its target from $90.00 to $100.00 with an “equal weight” rating given on Tuesday, November 11. Additionally, Jefferies Financial Group increased its target from $124.00 to $152.00, assigning a “buy” rating.
Finally, on December 2, Baird R W upgraded Albemarle from a “strong sell” to a “hold” rating.
Stock Performance and Financial Overview
As of Wednesday, shares of Albemarle opened at $129.29. The company boasts a quick ratio of 1.51, a current ratio of 2.27, and a debt-to-equity ratio of 0.40. With a market capitalization of $15.22 billion, Albemarle has a price-to-earnings ratio of -81.32 and a beta of 1.42. Over the past twelve months, the stock has ranged from a low of $49.43 to a high of $132.90.
Albemarle recently announced its quarterly earnings on November 5, revealing earnings per share (EPS) of ($0.19). This performance surpassed analysts’ expectations of ($0.92) by $0.73. The company reported revenue of $1.31 billion, exceeding the consensus estimate of $1.27 billion. Despite these positive figures, revenue decreased by 3.5% compared to the same quarter last year, which had an EPS of ($1.55). Analysts predict an EPS of ($0.04) for the current year.
Dividend Announcement and Institutional Activity
Albemarle has also declared a quarterly dividend of $0.405 per share, scheduled for payment on January 2, 2024. Shareholders of record on December 12, 2023 will be eligible for this dividend, which represents an annualized dividend of $1.62 and a yield of 1.3%. Notably, the company’s payout ratio currently stands at -101.89%.
In recent months, several institutional investors and hedge funds have altered their stakes in Albemarle. For instance, Manning & Napier Advisors LLC acquired a new stake valued at approximately $138.72 million during the third quarter. ProShare Advisors LLC increased its stake by 48.5% in the second quarter, now owning 2,870,110 shares worth around $179.87 million. Meanwhile, AQR Capital Management LLC lifted its position by over 22,000% during the same period.
As it stands, approximately 92.87% of Albemarle’s stock is held by hedge funds and other institutional investors, indicating strong institutional confidence in the company.
Albemarle Corporation continues to navigate the complexities of the specialty chemicals market, driven by its dedication to innovation and adaptability in its operations.
