Goldman Sachs lowered the firm’s price target on Dow Inc. (DOW) to $28 from $31 and keeps a Neutral rating on the shares following quarterly results. The firm notes investors were aware of the potential dividend cut and before the earnings many thought it would be a clearing event if Dow cut the dividend. But with the weaker EBITDA, Dow is still burning cash even after the dividend cut to $1B with $2.5B capex. Investors worry that if the macro does not improve, another cut may be warranted, adds Goldman.
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