BASF U.S. shares initiated with a Buy at Berenberg

Berenberg initiated coverage of the U.S. shares of BASF with a Buy rating and $14.40 price target. increase in chemicals industry utilization to a level where pricing power drives a sizeable recovery in spreads may take a few months more than anticipated, the analyst tells investors in a research note. However, the firm believes BASF’s volumes will continue to improve and the cost curve should become more favorable as liquefied natural gas volumes to Europe increase.