Orion S.A. downgraded to Neutral from Overweight at JPMorgan

JPMorgan downgraded Orion S.A. (OEC) to Neutral from Overweight with a price target of $12, down from $18. The firm says economic uncertainties create valuation risk for the shares. Multiple expansion at this juncture is less likely with the valuations of the carbon black companies in a normal relative range, the analyst tells investors in a research note. JPMorgan expects Orion’s rubber black segment to see a degree of stabilization in 2025 after two consecutive years of decline, and the specialty carbon black segment volume to recover, but says economic uncertainties create valuation risk.