Methanex assumed with Outperformer from Neutral at CIBC

CIBC upgraded Methanex (MEOH) to Outperformer from Neutral with a price target of $59, up from $48, after assuming the stock following a transfer of coverage. With methanol demand growing consistently at over 3% per year, CIBC foresees a favorable supply/demand balance given limited capacity additions and challenging greenfield economics, the analyst tells investors in a research note. The firm expects share repurchases to come back into view once OCI Global’s international methanol business has been integrated. It views the acquisition positively and believes Methanex is well positioned to benefit from the “nascent Trump 2.0 foreign policy.”