In a report released today, Bhavesh Lodaya from BMO Capital reiterated a Buy rating on Element Solutions (ESI – Research Report), with a price target of $30.00.
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Bhavesh Lodaya has given his Buy rating due to a combination of factors that highlight Element Solutions’ strong performance and potential for growth. The company started the year with earnings surpassing expectations, and management has maintained its guidance for 2025 despite a challenging macroeconomic environment. This resilience is attributed to ESI’s effective cost management strategies and its robust business model, which includes a significant presence in high-growth semiconductor markets and a solid balance sheet.
Furthermore, Element Solutions has demonstrated strong organic growth in its electronics segment, which has alleviated some investor concerns about the broader market conditions. The company’s ability to generate strong free cash flow and its attractive valuation further support the Buy rating. Despite potential risks in the second half of the year, such as market softening and pre-buys, the overall outlook remains positive, with a projected 48% upside, reinforcing the Outperform rating.
In another report released today, KeyBanc also maintained a Buy rating on the stock with a $28.00 price target.
Based on the recent corporate insider activity of 13 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of ESI in relation to earlier this year.