LyondellBasell Industries NV Ordinary Shares Class A (Netherlands) (LYB) Company Bio
LyondellBasell Industries is one of the world's largest plastics, chemical and refining companies manufactures whose products and technologies are used in packaging, electronics, automotive parts, home furnishings, construction materials and biofuels. The company was founded in 2005 and is based in Rotterdam, the Netherlands.
LYB Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for LyondellBasell Industries NV. To summarize, we found that LyondellBasell Industries NV ranked in the 17th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 79.33%. As for the metrics that stood out in our discounted cash flow analysis of LyondellBasell Industries NV, consider:
The company's compound free cash flow growth rate over the past 5.7 years comes in at -0.18%; that's greater than only 9.36% of US stocks we're applying DCF forecasting to.
LyondellBasell Industries NV's weighted average cost of capital (WACC) is 7%; for context, that number is higher than merely 6.52% of tickers in our DCF set.
As a business, LyondellBasell Industries NV experienced a tax rate of about 3% over the past twelve months; relative to its sector (Basic Materials), this tax rate is higher than merely 23.59% of stocks generating free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Basic Materials that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as LYB, try ECL, GRA, ACH, APD, and ITP.
LyondellBasell ([[LYB]] +3.2%) flies near the top of the S&P 500 leaderboard following its $2B acquisition of half of Sasol's ([[SSL]] -3.1%) U.S. base chemicals business."This sale was widely anticipated and the $2B price is broadly in-line with our assessment of market expectations," Morgan Stanley analysts say.Lyondell paid a "very...
LyondellBasell (LYB) and Sasol (SSL) have entered into an agreement to form a 50/50 joint venture ((JV)) through which LyondellBasell will acquire 50% of Sasol's 1.5 MM ton ethane cracker, 0.9 MM ton low and linear-low density polyethylene plants and associated infrastructure for a total consideration of $2B.The JV will operate...