Albemarle (ALB) AI Stock Analysis

• Market Cap: $19.54B
• Dividend Yield: 1.1%
• Average Volume (3M): 2.37M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.71
• Revenue Growth: -23.92%
• EPS Growth: 90.47%
• Country: US
• Employees: 8,300
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): -0.53
• Shares Outstanding: 117,847,220
• 10 Day Avg. Volume: 2,093,663
• 30 Day Avg. Volume: 2,368,030
• PEG Ratio: 0.67
• Price to Book (P/B): 1.75
• Price to Sales (P/S): 3.24
• P/FCF Ratio: 24.04
• Enterprise Value/Market Cap: 1.07
• Enterprise Value/Revenue: 4.07
• Enterprise Value/Gross Profit: 31.15
• Enterprise Value/Ebitda: 27.90
• 1Y Price Target: $190.65
• Price Target Upside: 14.97% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 17
• EPS Forecast (FY): 8.04
• Revenue Forecast (FY): $5.79B

• Rating: 54 Neutral
• Price Target: $167.00 ▲(0.71% Upside)
• Action: Reiterated Date: 03/07/26
• Date: Action: Reiterated 03/07/26

ALB scores 54 primarily due to weak recent profitability and mixed cash-flow/statement reliability, partially offset by a positive earnings-call backdrop emphasizing cost savings, free-cash-flow generation, and stronger demand outlook. Technicals are neutral-to-weak and valuation is constrained by losses, while recent portfolio and balance-sheet actions provide modest support.

Positive Factors

Cash generation & conversion

Sustained free cash flow and very high EBITDA-to-cash conversion indicate durable internal liquidity that can fund deleveraging, stable dividends, or strategic capex without relying on volatile lithium prices. This improves financial flexibility through the next 2–6 months even if earnings remain cyclical.

Portfolio optimization & balance-sheet actions

Proceeds from divestitures and active liability management materially bolster liquidity and reduce leverage risk. Focusing the portfolio on higher-priority businesses sharpens capital allocation and strengthens credit profile, supporting more durable operational focus over the medium term.

Favorable medium-term lithium demand & volumes

Upward revisions to structural lithium demand and rising Energy Storage volumes support a durable revenue runway tied to EV and stationary storage adoption. Higher contracted sales (~40% salts under long-term agreements) also reduces short‑term price exposure and steadies future cash flows.

Negative Factors

Earnings deterioration & GAAP losses

Sharp prior-year revenue and profitability declines show the company remains exposed to commodity cycles. Persistent GAAP losses and thin reported margins limit retained earnings and constrain reinvestment or buffer against future downcycles absent consistent cash conversion.

Margin compression & FX exposure

Material margin erosion from currency swings and weaker Specialties demand points to structural mix and hedging risks. Sustained margin pressure would reduce cash flow resilience and make profitability more dependent on commodity price recoveries rather than operational leverage.

Asset idling costs & operational restart risk

Significant cash outlays to idle and maintain restart readiness create recurring near-term costs and reduce optionality. If conversion economics remain unfavorable, the asset may stay idle longer, compressing capacity and increasing per‑unit costs across the network over the medium term.

Albemarle Business Overview & Revenue Model

Company Description

Albemarle Corporation develops, manufactures, and markets engineered specialty chemicals worldwide. It operates through three segments: Lithium, Bromine, and Catalysts. The Lithium segment offers lithium compounds, including lithium carbonate, lithium hydroxide, lithium chloride, and lithium specialties; and reagents, such as butyllithium and lithium aluminum hydride for use in lithium batteries for consumer electronics and electric vehicles, high performance greases, thermoplastic elastomers for car tires, rubber soles, plastic bottles, catalysts for chemical reactions, organic synthesis processes in the areas of steroid chemistry and vitamins, life sciences, pharmaceutical industry, and other markets. It also provides cesium products for the chemical and pharmaceutical industries; zirconium, barium, and titanium products for pyrotechnical applications that include airbag initiators; technical services for the handling and use of reactive lithium products; and lithium-containing by-products recycling services. The Bromine segment offers bromine and bromine-based fire safety solutions; specialty chemicals, including elemental bromine, alkyl and inorganic bromides, brominated powdered activated carbon, and other bromine fine chemicals for use in chemical synthesis, oil and gas well drilling and completion fluids, mercury control, water purification, beef and poultry processing, and other industrial applications; and other specialty chemicals, such as tertiary amines for surfactants, biocides, and disinfectants and sanitizers. The Catalysts segment provides hydroprocessing, isomerization, and akylation catalysts; fluidized catalytic cracking catalysts and additives; and organometallics and curatives. The company serves the energy storage, petroleum refining, consumer electronics, construction, automotive, lubricants, pharmaceuticals, and crop protection markets. Albemarle Corporation was founded in 1887 and is headquartered in Charlotte, North Carolina.

How the Company Makes Money

Albemarle generates revenue through the sale of its specialty chemical products across its three business segments. The Lithium segment, which has seen significant growth due to the increasing demand for electric vehicles and renewable energy storage, is a major revenue driver for the company. The company has established long-term supply agreements with key players in the electric vehicle market, further enhancing its revenue potential. The Bromine Specialties segment earns income from the production of bromine and related compounds used in diverse industries, while the Catalysts segment benefits from sales of catalyst solutions that improve the efficiency of refining operations. Albemarle's strategic partnerships and investments in lithium production facilities, as well as its focus on innovation in specialty chemicals, also contribute to its overall earnings and market position.

Albemarle Financial Statement Overview

Summary

Financial performance is mixed and cyclical: results deteriorated sharply in 2024 with a large net loss and weak profitability (income statement score 32), while leverage appears manageable on 2021–2024 data (balance sheet score 56). Cash flow shows resilience with positive operating cash flow and an apparent 2025 free-cash-flow rebound, but inconsistencies/incompleteness in the latest-year statements reduce confidence (cash flow score 49).

Income Statement

Results deteriorated sharply after a strong 2022–2023 cycle. Revenue fell materially in 2024 (down ~44% year over year) and profitability swung from healthy positive margins in 2022–2023 to significant losses in 2024 (net loss of ~$1.18B) with very weak gross profit. The latest annual period (2025) shows net losses continuing, while revenue is shown as zero, which limits comparability and suggests the most recent income statement data is incomplete.

Balance Sheet

Leverage looks manageable overall, with debt-to-equity generally in a moderate range in recent years (roughly ~0.36–0.45 in 2021–2024, improving from higher leverage in 2020). However, profitability pressure is showing up in returns, with negative return on equity in 2024. The 2025 balance sheet also shows total debt as zero alongside reduced equity, which is not consistent with the prior trend and makes the latest-year balance sheet less reliable for trend assessment.

Cash Flow

Cash generation is mixed. Operating cash flow remained positive in 2024 (~$702M), but free cash flow was meaningfully negative (about -$984M), indicating heavy cash outflows (likely investment/capex) despite weaker earnings. The latest annual period (2025) shows a sharp rebound to solid operating cash flow (~$1.28B) and positive free cash flow (~$692M), but given the simultaneous revenue/earnings data gaps, the strength of the rebound should be viewed cautiously.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	5.14B	5.38B	9.62B	7.32B	3.33B
Gross Profit	671.62M	60.24M	1.20B	3.09B	1.01B
EBITDA	754.37M	-45.07M	671.07M	2.80B	786.66M
Net Income	-510.63M	-1.18B	1.57B	2.69B	123.67M
Balance Sheet
Total Assets	16.37B	16.61B	18.27B	15.46B	10.97B
Cash, Cash Equivalents and Short-Term Investments	1.62B	1.19B	889.90M	1.50B	439.27M
Total Debt	3.30B	3.62B	4.28B	3.32B	2.52B
Total Liabilities	6.59B	6.41B	8.61B	7.27B	5.17B
Stockholders Equity	9.53B	9.96B	9.41B	7.98B	5.63B
Cash Flow
Free Cash Flow	692.47M	-992.65M	-827.96M	646.20M	-609.41M
Operating Cash Flow	1.28B	687.88M	1.33B	1.91B	344.26M
Investing Cash Flow	-146.01M	-1.58B	-2.56B	-1.42B	-666.59M
Financing Cash Flow	-834.19M	1.24B	623.91M	611.89M	50.21M

Albemarle Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 165.83
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ALB, the sentiment is Positive. The current price of 165.83 is below the 20-day moving average (MA) of 170.60, below the 50-day MA of 170.97, and above the 200-day MA of 110.76, indicating a neutral trend. The MACD of -1.62 indicates Positive momentum. The RSI at 48.37 is Neutral, neither overbought nor oversold. The STOCH value of 49.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ALB.

Albemarle Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EMN	68 Neutral	$7.86B	15.45	8.09%	5.33%	-3.33%	-19.59%
SQM	62 Neutral	$20.44B	33.47	10.92%	―	-10.07%	―
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
LYB	59 Neutral	$24.23B	-18.77	-6.63%	12.78%	-19.65%	-157.13%
WLK	55 Neutral	$14.40B	-6.32	-15.50%	2.88%	-5.32%	-1108.29%
ALB	54 Neutral	$19.54B	-32.60	-5.13%	1.10%	-23.92%	90.47%
AVTR	50 Neutral	$5.25B	-14.65	-9.02%	―	-3.59%	-126.16%

Albemarle Corporate Events

Albemarle Divests Ketjen Stake to Streamline Portfolio

On March 2, 2026, Albemarle completed the previously announced sale of its 51% controlling stake in Ketjen Corporation’s refining catalyst solutions business to an affiliate of KPS Capital Partners, while retaining a 49% minority interest and full ownership of Ketjen’s Performance Catalyst Solutions business. Together with its January 2026 divestiture of a 50% stake in the Eurecat joint venture to Axens SA, the company realized about $670 million in pre-tax proceeds, including roughly $547 million from the Ketjen deal.

Albemarle said it plans to use the transaction proceeds to reduce debt and for general corporate purposes, reinforcing its financial flexibility and sharpening its portfolio focus around higher-priority businesses. Also on March 2, 2026, the company announced the redemption of its 4.650% senior notes due 2027 and launched cash tender offers of up to $500 million for several longer-dated senior notes, moves that collectively signal an active balance-sheet management strategy with implications for bondholders and future capital allocation.

The most recent analyst rating on (ALB) stock is a Buy with a $210.00 price target. To see the full list of analyst forecasts on Albemarle stock, see the ALB Stock Forecast page.

Albemarle Adds Independent Directors to Strengthen Board Governance

On February 26, 2026, Albemarle’s board appointed Michelle T. Collins and Mark R. Widmar as independent directors, with the company disclosing the move in a press release dated March 2, 2026. Collins joined the Audit & Finance and Governance & Public Policy committees, while Widmar was named to the Executive Compensation & Talent Development and Safety, Sustainability, Operations & Capital committees, and both will receive standard non-employee director cash retainers and restricted stock awards.

Collins, a former Vice Chair and senior audit partner at Deloitte & Touche LLP with more than 40 years of audit and advisory experience, is expected to strengthen Albemarle’s oversight in financial reporting, governance and risk. Widmar, the Chief Executive Officer of First Solar and a former CFO with a long track record in global manufacturing and technology companies, brings deep expertise in operations, supply chains and emerging markets, and their appointments form part of Albemarle’s board succession planning aimed at reinforcing corporate governance and long-term value creation for stakeholders.

The most recent analyst rating on (ALB) stock is a Buy with a $198.00 price target. To see the full list of analyst forecasts on Albemarle stock, see the ALB Stock Forecast page.

Albemarle Board Member Dean Seavers Resigns

On December 8, 2025, Dean L. Seavers resigned from the Board of Directors of Albemarle Corporation, effective December 12, 2025. His departure is not due to any disagreements with the company’s operations, policies, or practices, suggesting a smooth transition without internal conflicts.

The most recent analyst rating on (ALB) stock is a Buy with a $152.00 price target. To see the full list of analyst forecasts on Albemarle stock, see the ALB Stock Forecast page.