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UBS Maintains a 'Buy' on LyondellBasell (LYB); Raising 2012 EPS Estimate to Reflect Cheaper Ethane

February 13, 2012 1:28 PM EST
LYB Hot Sheet
Rating Summary:
    10 Buy, 2 Hold, 1 Sell

Rating Trend: Down Down

Today's Overall Ratings:
    Up: 18 | Down: 7 | New: 26
UBS maintains a 'Buy' on LyondellBasell Industries (NYSE: LYB) price target raised from $47 to $50.

UBS analyst says, "LYB reported adjusted EPS in 4Q of $0.41, below our expectation of $0.65 and the consensus expectation of $0.77. Adjusted EBITDA of $675 million was $174 million below our estimate, and 92% of this difference was in refining."

"We are increasing our earnings outlook for 2012 from $4.00 to $4.25 per share to reflect our more favorable view on ethane costs. Lower raw material costs will be offset somewhat by scheduled maintenance turnarounds at the Channelview and Clinton, Iowa ethylene crackers that will begin in 2Q." (UBS lowers FY13 from $4.85 to $4.75)

For an analyst ratings summary and ratings history on LyondellBasell Industries click here. For more ratings news on LyondellBasell Industries click here.

Shares of LyondellBasell Industries closed at $44.75 yesterday, with a 52 week range of $22.90-$46.28.


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