LyondellBasell Maintains Rating, Price Target Raised to $49
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 22 2026
0mins
Source: Benzinga
- Attractive Dividend Yield: LyondellBasell Industries NV offers a dividend yield of 10.58%, appealing to investors seeking stable returns, indicating the company's strong free cash flow and shareholder reward capability.
- Analyst Rating Update: RBC Capital analyst Arun Viswanathan raised LyondellBasell's price target from $44 to $49 while maintaining a Sector Perform rating, reflecting confidence in the company's future performance.
- Executive Changes Impact: SunCoke Energy Inc announced the retirement of CFO Mark W. Marinko effective March 13, 2026, appointing Shantanu Agrawal as his successor, which may affect the company's financial strategy and market confidence.
- Price Target Adjustments: Truist Securities analyst raised Sonoco Products Co's price target from $53 to $54, showing optimism about the company's future growth, despite Wells Fargo downgrading its rating to Equal-Weight with a target price cut to $47.
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Analyst Views on LYB
Wall Street analysts forecast LYB stock price to fall
15 Analyst Rating
1 Buy
11 Hold
3 Sell
Hold
Current: 55.330
Low
36.00
Averages
47.29
High
57.00
Current: 55.330
Low
36.00
Averages
47.29
High
57.00
About LYB
LyondellBasell Industries N.V. is a global, independent chemical company creating solutions for everyday sustainable living. The Company's segments include Olefins and Polyolefins-Americas (O&P-Americas), Olefins and Polyolefins-Europe, Asia, International (O&P-EAI), Intermediates and Derivatives (I&D), Advanced Polymer Solutions (APS), and Technology. The O&P-Americas and O&P-EAI segments produces and markets olefins and co-products, polyethylene, and polypropylene. The I&D segment produces and markets propylene oxide (PO) and its derivatives, oxyfuels and related products, and intermediate chemicals, such as styrene monomer (SM), and acetyls. The APS segment produces and markets compounding and solutions, such as polypropylene compounds, engineered plastics, masterbatches, engineered composites, colors, and powders. The Technology segment develops and licenses chemical and polyolefin process technologies and manufactures and sells polyolefin catalysts.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
LyondellBasell Announces Significant Dividend Cut
- Significant Dividend Cut: LyondellBasell announced a quarterly dividend reduction to $0.69 per share from $1.37, reflecting the company's strategic recalibration of financial commitments amid ongoing market challenges.
- Dismal Financial Outlook: The company expects Q1 2026 EPS to drop to $0.25 and revenue estimates to fall to $7.28 billion, both lower than previous forecasts, indicating persistent pressures in the industry.
- Weak Market Performance: LyondellBasell shares fell 1.48% to $54.51 in premarket trading, highlighting company-specific factors affecting its stock price, underperforming relative to the industrial sector.
- Analyst Ratings Remain Neutral: Despite challenges, analysts maintain a Hold rating with an average price target of $55.14, reflecting a cautious market sentiment regarding the company's future performance.
See More
LyondellBasell Reduces Dividend by 50% Amid Ongoing Chemical Industry Slump
- Dividend Recalibration: A dividend recalibration typically signals potential issues within a company, which can be concerning for investors.
- Investor Sentiment: Such adjustments often lead to negative investor sentiment, as they may indicate reduced profitability or financial instability.
- Market Reactions: The market usually reacts unfavorably to dividend recalibrations, resulting in stock price declines.
- Long-term Implications: Investors should be cautious, as these changes can have long-term implications for their investment strategies.
See More
LyondellBasell Cuts Quarterly Dividend by Nearly 50%
- Dividend Cut Announcement: LyondellBasell declared a quarterly dividend of $0.69 per share, representing a 49.6% decrease from the previous $1.37, indicating a strategic financial adjustment amid prolonged industry downturns.
- Shareholder Return Commitment: Despite market challenges, LyondellBasell returned approximately $2 billion to shareholders from existing cash and operations in 2025, demonstrating resilience and commitment to shareholder value even in adverse conditions.
- Future Strategic Planning: CEO Peter Vanacker stated that in 2026, the company will prioritize safety and reliability while driving additional cost reductions and seeking new profitability opportunities, reflecting a proactive approach to market recovery.
- Cash Flow Return Target: LyondellBasell remains committed to returning 70% of free cash flow to shareholders throughout the cycle, underscoring its ongoing commitment to financial stability and shareholder returns in uncertain market environments.
See More
Is LyondellBasell's Almost 10% Dividend Secure or a Red Flag for Investors?
High Dividend Yield: Lyondel's stock offers a high dividend yield of approximately 9.5%, which may attract investors, but such yields can indicate underlying business struggles, as the company's stock price has fallen significantly over the past three years.
Risks of Dividend Sustainability: The company's ability to maintain its dividend payments is under pressure due to weak cash generation and high debt levels, raising concerns about the sustainability of its dividend policy.
Market Conditions: Lyondel is currently facing challenging market conditions, including oversupply and declining margins, which could impact its future profitability and dividend payments.
Future Outlook: While there are expectations for modest improvements in the company's performance, analysts remain cautious, and the potential for a dividend cut is a significant concern for investors.
See More
AI-Exposed Stocks Face Challenges Amid Market Shift
- Market Sentiment Shift: As fears grow that artificial intelligence could disrupt demand rather than enhance it, software and AI-exposed stocks have faced significant sell-offs at the start of 2023, particularly in February, leading investors to reassess their risk exposure.
- Capital Flow Changes: Goldman Sachs equity strategist Ben Snider indicates that capital is rotating towards sectors perceived as insulated from AI disruption, marking a clear departure from last year's market strategies and reflecting diminished investor confidence in AI themes.
- Cyclical Industry Rally: Despite software stocks experiencing one of their worst weeks since the 2022 rate-hike panic, cyclical and consumer-linked industries have continued their recent rallies, indicating a growing preference for traditional sectors among investors.
- Strong Dow Jones Performance: Amid the decline in software stocks, the Dow Jones Industrial Average has rallied towards all-time highs, suggesting increased investor confidence in industries tied to physical assets and cyclical activity, further emphasizing the market's demand for safety from AI-driven productivity risks.
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Chemical Giants Dow and LyondellBasell Face Major Setbacks in 2025
- Stock Price Plunge: Both Dow and LyondellBasell saw their stock prices plummet by 41.7% in 2025, reaching multiyear lows, reflecting intensified competition and weak demand that have undermined investor confidence.
- Cost-Cutting Measures: Dow plans to achieve $500 million in cost savings by the second half of 2025 and is cutting approximately 4,500 jobs, which will incur one-time severance costs of $600 million to $800 million, aimed at improving its financial health amid ongoing market downturns.
- Cash Flow Improvements: LyondellBasell anticipates $600 million in cash flow improvements in 2025, and while it has not cut its dividend, it is enhancing cash flow through asset sales and project pauses, demonstrating resilience in challenging conditions.
- Future Outlook: Although analysts expect Dow to remain negative in earnings for 2026, LyondellBasell is projected to build on its 2025 profitability, with even better performance anticipated in 2027, indicating potential for industry recovery.
See More
LyondellBasell Announces Significant Dividend Cut
- Significant Dividend Cut: LyondellBasell announced a quarterly dividend reduction to $0.69 per share from $1.37, reflecting the company's strategic recalibration of financial commitments amid ongoing market challenges.
- Dismal Financial Outlook: The company expects Q1 2026 EPS to drop to $0.25 and revenue estimates to fall to $7.28 billion, both lower than previous forecasts, indicating persistent pressures in the industry.
- Weak Market Performance: LyondellBasell shares fell 1.48% to $54.51 in premarket trading, highlighting company-specific factors affecting its stock price, underperforming relative to the industrial sector.
- Analyst Ratings Remain Neutral: Despite challenges, analysts maintain a Hold rating with an average price target of $55.14, reflecting a cautious market sentiment regarding the company's future performance.
See More
LyondellBasell Reduces Dividend by 50% Amid Ongoing Chemical Industry Slump
- Dividend Recalibration: A dividend recalibration typically signals potential issues within a company, which can be concerning for investors.
- Investor Sentiment: Such adjustments often lead to negative investor sentiment, as they may indicate reduced profitability or financial instability.
- Market Reactions: The market usually reacts unfavorably to dividend recalibrations, resulting in stock price declines.
- Long-term Implications: Investors should be cautious, as these changes can have long-term implications for their investment strategies.
See More
LyondellBasell Cuts Quarterly Dividend by Nearly 50%
- Dividend Cut Announcement: LyondellBasell declared a quarterly dividend of $0.69 per share, representing a 49.6% decrease from the previous $1.37, indicating a strategic financial adjustment amid prolonged industry downturns.
- Shareholder Return Commitment: Despite market challenges, LyondellBasell returned approximately $2 billion to shareholders from existing cash and operations in 2025, demonstrating resilience and commitment to shareholder value even in adverse conditions.
- Future Strategic Planning: CEO Peter Vanacker stated that in 2026, the company will prioritize safety and reliability while driving additional cost reductions and seeking new profitability opportunities, reflecting a proactive approach to market recovery.
- Cash Flow Return Target: LyondellBasell remains committed to returning 70% of free cash flow to shareholders throughout the cycle, underscoring its ongoing commitment to financial stability and shareholder returns in uncertain market environments.
See More
Is LyondellBasell's Almost 10% Dividend Secure or a Red Flag for Investors?
High Dividend Yield: Lyondel's stock offers a high dividend yield of approximately 9.5%, which may attract investors, but such yields can indicate underlying business struggles, as the company's stock price has fallen significantly over the past three years.
Risks of Dividend Sustainability: The company's ability to maintain its dividend payments is under pressure due to weak cash generation and high debt levels, raising concerns about the sustainability of its dividend policy.
Market Conditions: Lyondel is currently facing challenging market conditions, including oversupply and declining margins, which could impact its future profitability and dividend payments.
Future Outlook: While there are expectations for modest improvements in the company's performance, analysts remain cautious, and the potential for a dividend cut is a significant concern for investors.
See More
AI-Exposed Stocks Face Challenges Amid Market Shift
- Market Sentiment Shift: As fears grow that artificial intelligence could disrupt demand rather than enhance it, software and AI-exposed stocks have faced significant sell-offs at the start of 2023, particularly in February, leading investors to reassess their risk exposure.
- Capital Flow Changes: Goldman Sachs equity strategist Ben Snider indicates that capital is rotating towards sectors perceived as insulated from AI disruption, marking a clear departure from last year's market strategies and reflecting diminished investor confidence in AI themes.
- Cyclical Industry Rally: Despite software stocks experiencing one of their worst weeks since the 2022 rate-hike panic, cyclical and consumer-linked industries have continued their recent rallies, indicating a growing preference for traditional sectors among investors.
- Strong Dow Jones Performance: Amid the decline in software stocks, the Dow Jones Industrial Average has rallied towards all-time highs, suggesting increased investor confidence in industries tied to physical assets and cyclical activity, further emphasizing the market's demand for safety from AI-driven productivity risks.
See More
Chemical Giants Dow and LyondellBasell Face Major Setbacks in 2025
- Stock Price Plunge: Both Dow and LyondellBasell saw their stock prices plummet by 41.7% in 2025, reaching multiyear lows, reflecting intensified competition and weak demand that have undermined investor confidence.
- Cost-Cutting Measures: Dow plans to achieve $500 million in cost savings by the second half of 2025 and is cutting approximately 4,500 jobs, which will incur one-time severance costs of $600 million to $800 million, aimed at improving its financial health amid ongoing market downturns.
- Cash Flow Improvements: LyondellBasell anticipates $600 million in cash flow improvements in 2025, and while it has not cut its dividend, it is enhancing cash flow through asset sales and project pauses, demonstrating resilience in challenging conditions.
- Future Outlook: Although analysts expect Dow to remain negative in earnings for 2026, LyondellBasell is projected to build on its 2025 profitability, with even better performance anticipated in 2027, indicating potential for industry recovery.
See More
