BASF: share falls on Berenberg downgrade after rebound
(CercleFinance.com) - BASF shares fell sharply on Tuesday morning in Frankfurt, following a downgrade by Berenberg, which dropped its buy recommendation on the stock after a 22% rebound from its January lows.
The German chemicals giant's shares are currently down 1.5%, posting the biggest drop on the DAX index (currently down 0.4%).
This morning Berenberg announced that it has downgraded the share from 'buy' to 'hold', albeit with a target price nudged up to E52 (from E50 previously).
In a research note, the broker says that it had maintained its 'buy' rating on the stock despite disappointed hopes of a recovery in the chemicals market last year.
The analyst recalls that his 'buy' recommendation was motivated by the prospect of asset disposals under favourable conditions and a fall in natural gas prices.
More recently, hopes of a resolution to the Russian-Ukrainian conflict, support measures from the German government and a recovery in the Chinese economy have buoyed the stock, Berenberg adds.
Copyright (c) 2025 CercleFinance.com. All rights reserved.
The German chemicals giant's shares are currently down 1.5%, posting the biggest drop on the DAX index (currently down 0.4%).
This morning Berenberg announced that it has downgraded the share from 'buy' to 'hold', albeit with a target price nudged up to E52 (from E50 previously).
In a research note, the broker says that it had maintained its 'buy' rating on the stock despite disappointed hopes of a recovery in the chemicals market last year.
The analyst recalls that his 'buy' recommendation was motivated by the prospect of asset disposals under favourable conditions and a fall in natural gas prices.
More recently, hopes of a resolution to the Russian-Ukrainian conflict, support measures from the German government and a recovery in the Chinese economy have buoyed the stock, Berenberg adds.
Copyright (c) 2025 CercleFinance.com. All rights reserved.