Vulcan Materials (VMC:NYE), an construction materials business, has accused Mexican security authorities and cement manufacturer Cemex of illegally seizing control of its southern Mexico port terminal. Vulcan has been involved in a legal fight with Mexican authorities over its limestone mining operations, and the government apparently wishes to exploit Vulcan’s property for shipping and tourism. Vulcan asserted that it has been unable to mine and ship construction aggregate since the Mexican government halted its activities due to environmental concerns a year ago.
Cemex has asserted that its recent attempt to seize control of the terminal was supported by an order from a local court and the state attorney general. Previously, Cemex had a deal with a local Vulcan subsidiary that permitted it to use the port, but in recent months, negotiations had fallen down.
Republican U.S. Senator from Alabama Katie Britt has denounced the conduct of the Mexican government and urged President Joseph Biden to raise the issue personally with Mexico President Andrés Manuel López Obrador.
Vulcan Materials Stock Forecast:
Wall Street analysts have assigned VMC stock a Strong Buy rating with an average price target of $199.71, indicating a 27.5% potential. In addition, VMC has a Smart Score of 10, indicating that it will likely outperform the market.
Based on the Vulcan Materials stock forecasts from 17 analysts, the average analyst target price for Vulcan Materials Company is USD 199.71 over the next 12 months. Vulcan Materials Company’s average analyst rating is Buy.
Stock Target Advisor’s own stock analysis of Vulcan Materials Company is Slightly Bearish, which is based on 5 positive signals and 10 negative signals. At the last closing, Vulcan Materials stock price was USD 163.27. Vulcan Materials Company’s stock price has changed by -1.63% over the past week, -12.05% over the past month, and -11.01% over the last year.
Vulcan Materials Company, together with its subsidiaries, produces and supplies construction aggregates primarily in the United States. It operates through four segments: Aggregates, Asphalt, Concrete, and Calcium.
The company was formerly known as Virginia Holdco, Inc. and changed its name to Vulcan Materials Company. Vulcan Materials Company was founded in 1909 and is headquartered in Birmingham, Alabama.