Analyst Maintains Sell on LyondellBasell, Keeps $68 Price Target Below Current Share Price Amid Concerns Over Unsustainable Supply-Driven Profits

Bank of America Securities analyst Matthew DeYoe reiterated a Sell rating on LyondellBasell yesterday and set a price target of $68.00.

Matthew DeYoe has given his Sell rating due to a combination of factors that, in his view, limit upside despite the recent earnings beat. He notes that first-quarter EBITDA modestly exceeded expectations and that LyondellBasell is currently benefiting from an unusually tight supply environment, which should further lift profits in the near term, but he remains wary of how durable these conditions will be once disruptions ease.

DeYoe emphasizes that, unlike the 2021–2022 period, demand now lacks the support of massive stimulus and faces a weaker macro backdrop, while today’s elevated profitability is heavily driven by temporary supply issues that could reverse abruptly if the geopolitical situation normalizes. Reflecting this caution, he keeps his price objective at $68—below the current share price—and even compresses the valuation multiple applied to 2026 earnings, indicating that he sees the stock as overvalued relative to a more normalized mid‑cycle earnings outlook.

DeYoe covers the Basic Materials sector, focusing on stocks such as Ecolab, Nutrien, and FMC. According to TipRanks, DeYoe has an average return of 8.4% and a 56.82% success rate on recommended stocks.