RBC Capital analyst Nelson Ng downgraded Methanex (NASDAQ: MEOH) from Outperform to Sector Perform with a price target of $65.00 (from $55.00).

The analyst comments: "We are increasing our PT to $65 (from $55), and downgrading our rating on the shares of Methanex to Sector Perform (from Outperform) as the shares are increasingly becoming linked to the ongoing Iran conflict. With a YTD return of 49% (17% since the start of the Iran conflict), we believe the shares reflect the improving underlying fundamentals of the company (potentially accelerated deleveraging and share buyback timeline), as well as some methanol pricing upside from the Iran conflict. Our $10 price target increase reflects some elevated near-term methanol prices that could mostly normalize by year-end."

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

Shares of Methanex closed at $59.04 yesterday.