LyondellBasell price target raised to $88 from $82 at BMO Capital

BMO Capital analyst John McNulty raised the firm’s price target on LyondellBasell (LYB) to $88 from $82 and keeps a Market Perform rating on the shares after its Q1 earnings beat. The firm sees significant tailwinds for the company’s near-term earnings, given that 40c rise in US polyethylene prices and margins are so far helping Q2, the analyst tells investors in a research note. BMO adds that it sees the company having the largest earnings leverage to the ongoing Middle East disruptions, noting that with full supply chain normalization unlikely for the rest of the year, the stock could see continued momentum.