Analysts rate Albemarle Corp. (ALB:NYE) with a Hold rating and a $280 target

STA Research
by: STA Research
Albemarle Corp

Based on the Albemarle stock forecast from 13 analysts, the average analyst Albemarle stock price target is USD 280.96 over the next 12 months. Albemarle Corp’s average analyst rating is Hold. Stock Target Advisor’s own stock analysis of ALB stock forecast is Slightly Bearish, which is based on 6 positive signals and 10 negative signals. At the last closing, Albemarle stock price was USD 259.88Albemarle stock price has changed by -28.28% over the past week, +15.99% over the past month and +7.45% over the last year.

About Albemarle Corp. (ALB:NYE):

Albemarle Corporation develops, manufactures, and markets engineered specialty chemicals worldwide. It operates through three segments: Lithium, Bromine, and Catalysts. The Lithium segment offers lithium compounds, and reagents for use in lithium batteries for consumer electronics and electric vehicles. It also provides cesium products for the chemical and pharmaceutical industries. The Bromine segment offers bromine and bromine-based fire safety solutions. Albemarle Corporation was founded in 1887 and is headquartered in Charlotte, North Carolina.

 

What we like:

High market capitalization:

ALB stock one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Superior risk adjusted returns:

ALB stock has performed well, on a risk adjusted basis, compared to its sector peers (for a hold period of at least 12 months) and is in the top quartile.

High dividend returns:

ALB stock has outperformed its sector peers on average annual dividend returns basis in the past 5 years (for a hold period of at least 12 months) and is in the top quartile. This can be a good buy, especially if it is outperforming on total return basis , for investors seeking high income yields.

Low debt:

The company is less leveraged than its peers, and is among the top quartile, which makes it more flexible. However, do check the ALB stock forecast and look at its sector. Sometimes this is low because the company is not growing and has no growth potential.

Positive cash flow:

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow:

The company had positive total free cash flow in the most recent four quarters.

 

What we don’t like:

High volatility:

The total returns for this company are volatile and above median for its sector over the past 5 years. Make sure you have the risk tolerance for investing in such stock.

Below median total returns:

The company has under-performed its peers on annual average total returns in the past 5 years.

Overpriced compared to earnings:

ALB stock price is trading high compared to its peers on a price to earning basis and is above the sector median.

Overpriced compared to book value:

ALB stock price is trading high compared to its peers median on a price to book value basis.

Overpriced on cashflow basis:

ALB stock price is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Poor return on equity:

The company management has delivered below median return on equity in the most recent 4 quarters compared to its peers.

Overpriced on free cash flow basis:

Albemarle stock price is trading high compared to its peers on a price to free cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Low Earnings Growth:

ALB stock has shown below median earnings growth in the previous 5 years compared to its sector

Low Revenue Growth:

ALB stock has shown below median revenue growth in the previous 5 years compared to its sector

Low Dividend Growth:

ALB stock has shown below median dividend growth in the previous 5 years compared to its sector.

Disclaimer

Stock Target Advisor is not a broker/dealer, investment advisor, or platform for making stock buying or selling decisions. Our goal is to democratize and simplify financial information through automated analysis, aggregation of stock information, and education to help investors with their research. No content on our site, blogs or newsletters constitutes – or should be understood as constituting – a recommendation to enter into any securities transactions or to engage in any of the investment strategies presented in our site content. We also cannot guarantee the accuracy of any information presented on our site and in our analysis.

Leave a Reply

Your email address will not be published.