BASF's Mining Exit and Louisiana MDI Ramp-Up Overshadowed by Jefferies Downgrade
Published on 11/15/2026 at 03:31 | Editorial boerse-global.de
BASF has signed an agreement to sell its global mining business to SNF, a move that will transfer the production site in Cork, Ireland, along with roughly 140 employees. The deal, inked on Thursday, is expected to close in 2027, subject to regulatory approvals and customary closing conditions.
The divestment comes as the German chemicals group continues to reshape its portfolio, and it coincides with a pair of analyst actions that have darkened the mood around the stock. Jefferies cut BASF from "Hold" to "Underperform" while keeping its price target at 44 euros, with analyst Priyanka Patel pointing to earnings risks, eroding margins, persistent overcapacity and higher gas prices. She also flagged the absence of any demand recovery and expects operating profit in 2027 to come in five percent below consensus.
Deutsche Bank Research had already moved on November 6, downgrading the shares from "Buy" to "Hold" and trimming its price target to 53 euros from 60 euros.
Should investors sell immediately? Or is it worth buying BASF?
New MDI Capacity in Louisiana
On the operational side, BASF officially commissioned its new MDI plant at the Geismar integrated site in Louisiana on Wednesday. The investment totaled around 1 billion US dollars, lifting the site's annual MDI production capacity to roughly 600,000 tonnes.
The company also reported FairWild certification for Cegesoft SB 45 TR, a shea butter-based ingredient, expanding its lineup of certified products.
Buyback and Evonik Stance
In a separate announcement on November 9, BASF disclosed the repurchase of around 352,000 of its own shares under its buyback program, with the purchases made between November 2 and November 6.
Meanwhile, Evonik has maintained its rejection of BASF's takeover offer, according to Reuters, even after a meeting of senior leadership over the weekend ahead of November 9. BASF's latest bid stood at 24.00 euros per Evonik share, and no further meetings were reportedly planned.
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BASF Stock: New Analysis - 15 November
Fresh BASF information released. What's the impact for investors? Our latest independent report examines recent figures and market trends.
