Loop Capital analyst Christopher Kapsch lowered the firm’s price target on Orion Engineered (OEC) to $35 from $41 but keeps a Buy rating on the shares. Orion and Cabot (CBT) and are exhibiting sensitivity to economic weakness, but nothing about the “structurally-better industry” thesis for this niche space is undermined by last week’s guidance withdrawal from Cabot, the analyst tells investors in a research note. Despite the disappointing downdrafts in the earnings cadence for both companies, Loop continues to believe both stocks are undervalued, adding that despite the current carbon black market softness, both Cabot and Orion should achieve another positive step change in pricing next year.
Confident Investing Starts Here:
- Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions
- Receive undervalued, market resilient stocks straight to you inbox with TipRanks' Smart Value Newsletter
Published first on TheFly
See today’s best-performing stocks on TipRanks >>
Read More on OEC: