Olin Maintained at Hold as Improving Earnings Momentum Offsets Near-Term Cash Flow Pressures

In a report released yesterday, Bhavesh Lodaya from BMO Capital maintained a Hold rating on Olin, with a price target of $30.00.

Bhavesh Lodaya has given his Hold rating due to a combination of factors that point to both improving fundamentals and a still-balanced risk-reward profile for Olin. He notes that earnings momentum is building, with second-quarter EBITDA likely tracking toward the upper end of guidance as tighter supply chains, structural cost advantages for U.S. Gulf Coast producers, and price strength in chlor-alkali and vinyls support profitability.

At the same time, he underscores that near-term cash flows face some temporary pressures, slowing deleveraging and limiting immediate upside for shareholders. While he views consensus expectations as somewhat cautious and recognizes positive structural drivers—such as the long-term supply agreement that removes planned capacity additions and an improving outlook for Epoxy—he does not yet see enough demand visibility or macro recovery signals to justify a more aggressive rating, and therefore maintains a Market Perform stance.

In another report released yesterday, Goldman Sachs also assigned a Hold rating to the stock with a $31.00 price target.

OLN’s price has also changed dramatically for the past six months – from $19.600 to $28.420, which is a 45.00% increase.