Evercore Lowers LyondellBasell (LYB) Price Target to $57 Amid Mixed Q3 Outlook

Core Insights - LyondellBasell Industries N.V. is recognized as one of the 15 Extreme Dividend Stocks to Buy According to Hedge Funds [1] - Evercore ISI analyst Eric Boyes has reduced the price target for LyondellBasell from $65 to $57, maintaining an In Line rating, amid a mixed outlook for Q3 [2] - The CEO highlighted a cash conversion rate of 135% in Q3, with a goal of achieving $600 million in cash improvement by year-end and $1.1 billion by the end of 2026 [3] Financial Performance - The chemical sector experienced a shift, with about two-thirds of 20 companies reporting average gains of 6% post-earnings, despite half issuing below-expectation guidance for Q4 and negative revisions averaging 12% [2] - LyondellBasell's domestic polyethylene demand is projected to be the strongest since Q3 2022, with a 2.5% increase in North American demand compared to 2024 [3] Industry Trends - The company noted significant global ethylene capacity rationalization, with planned closures and idling from 2020 to 2028 expected to remove over 21 million tonnes of ethylene capacity, approximately 10% of global supply, particularly impacting Asia and Europe [4] - LyondellBasell is involved in producing and marketing polymers, chemicals, and refined products, while also focusing on advanced polymer and recycling technologies [5]