Bank of America Securities analyst Carlos Peyrelongue has maintained their neutral stance on CX stock, giving a Hold rating on March 25.
Carlos Peyrelongue has given his Hold rating due to a combination of factors impacting Cemex SAB. The company is expected to face a challenging first half of the year, particularly due to adverse weather conditions in the United States and difficult comparisons in Mexico following last year’s pre-election spending surge. These factors have led to a significant decline in cement volumes, creating a tough environment for the company.
Despite these challenges, there are long-term positives that Peyrelongue acknowledges, such as the potential recovery of volumes in the latter half of the year and ongoing nearshoring trends. Cemex is also focusing on cost reduction and cash flow improvements, with plans for substantial savings and investments. However, the current trading conditions, including softer US cement volumes and geopolitical risks, balance out these positives, leading to the Hold rating.
According to TipRanks, Peyrelongue is ranked #4121 out of 9290 analysts.
In another report released on March 25, Morgan Stanley also downgraded the stock to a Hold with a $8.00 price target.