LyondellBasell (LYB) AI Stock Analysis

• Market Cap: $20.75B
• Dividend Yield: 8.49%
• Average Volume (3M): 4.04M
• Price to Earnings (P/E): 20.0
• Beta (1Y): 0.74
• Revenue Growth: -6.53%
• EPS Growth: -50.08%
• Country: US
• Employees: 20,000
• Sector: Basic Materials
• Sector Strength: 72
• Industry: Chemicals - Specialty
• EPS (TTM): 0.33
• Shares Outstanding: 321,400,020
• 10 Day Avg. Volume: 3,052,326
• 30 Day Avg. Volume: 4,039,778
• PEG Ratio: -0.81
• Price to Book (P/B): 1.55
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 12.38
• Enterprise Value/Market Cap: 1.42
• Enterprise Value/Revenue: 0.18
• Enterprise Value/Gross Profit: 7.58
• Enterprise Value/Ebitda: 1.85
• 1Y Price Target: $63.07
• Price Target Upside: -2.29% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 15

• Rating: 72 Outperform
• Price Target: $68.00 ▲(5.34%Upside)

LyondellBasell's stock score is primarily driven by its strong cash flow and attractive dividend yield, despite challenges in revenue and profit margins. Positive technical indicators and strategic corporate actions contribute to a favorable outlook, although market volatility and operational risks remain significant concerns.

Positive Factors

Asset Sales

The sale of European assets is seen as a positive outcome for investors, taking significant liabilities off the balance sheet.

Cost Management

LyondellBasell Industries should have significantly less maintenance costs in the second quarter compared to the first quarter.

Dividend Strategy

Management exuded confidence around the financial health of the company and underscored its intention to keep increasing dividends as it has done through past ups and downs.

Negative Factors

Demand Challenges

The company faces headwinds from a slowdown in demand due to macroeconomic conditions and steep US tariffs on China.

Earnings Pressure

LYB's earnings are pressured by higher costs and continued new global supply.

Market Uncertainty

The ongoing uncertainty in the market around tariffs is expected to continue weighing on US PE fundamentals.

LyondellBasell Business Overview & Revenue Model

Company Description

LyondellBasell Industries N.V. (LYB) is a multinational chemical company headquartered in Houston, Texas, and Rotterdam, Netherlands. It is one of the largest plastics, chemicals, and refining companies globally. The company operates in various sectors, including olefins and polyolefins, intermediates and derivatives, and refining. LyondellBasell's core products include polyolefins such as polyethylene and polypropylene, which are used in a wide range of applications, from packaging materials to automotive components and textiles.

How the Company Makes Money

LyondellBasell makes money through its diversified operations in the production and sale of chemicals and plastics. The company's revenue model is primarily based on the manufacturing and distribution of polyolefins, which are high-demand materials used in various industries for packaging, construction, automotive, and consumer goods. Additionally, LyondellBasell generates revenue from its intermediates and derivatives segment, which produces chemicals like propylene oxide and ethylene glycol, essential for making products like antifreeze, solvents, and coatings. The refining segment contributes to its earnings by processing crude oil into refined products such as gasoline and diesel. Key revenue streams include the sale of these products to industrial and commercial customers globally. The company also benefits from strategic partnerships and joint ventures that enhance its production capabilities and market reach. Factors such as global economic conditions, fluctuations in raw material prices, and regulatory changes can significantly impact LyondellBasell's earnings.

LyondellBasell Financial Statement Overview

Summary

LyondellBasell faces challenges in revenue and profit margins, impacting its income statement, but maintains a balanced capital structure with moderate leverage and robust cash flow.

Income Statement

LyondellBasell has experienced a decrease in revenue, with a TTM revenue of $38.04 billion compared to $40.30 billion in 2024. The gross profit margin for TTM is 10.24%, showing a decline from previous periods, indicating cost pressures or pricing challenges. The net profit margin stands at 2.41% for TTM, reflecting a decrease from the previous year, highlighting profitability concerns. However, the EBITDA margin of 6.82% for TTM is relatively stable, showing resilience in operational efficiency despite the revenue drop.

Balance Sheet

The debt-to-equity ratio for TTM is 1.03, indicating a balanced capital structure, though slightly leveraged. The return on equity (ROE) for TTM is 7.52%, showing a moderate return on shareholder investment. The equity ratio of 34.71% for TTM suggests a stable proportion of equity financing. Overall, the balance sheet reflects moderate leverage and reasonable equity financing, though the decline in equity compared to previous years is notable.

Cash Flow

The free cash flow for TTM is $1.998 billion, showing stability compared to previous periods. The operating cash flow to net income ratio is 3.65 for TTM, indicating strong cash generation relative to net income. The free cash flow to net income ratio of 2.18 for TTM supports the company's ability to generate sufficient cash. Overall, cash flow remains robust, supporting ongoing operations and potential investments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	38.04B	40.30B	41.11B	50.45B	46.17B	27.75B
Gross Profit	3.90B	4.56B	5.26B	6.60B	8.78B	3.39B
EBITDA	3.01B	3.61B	4.64B	6.33B	8.70B	3.30B
Net Income	1.07B	1.36B	2.11B	3.88B	5.61B	1.42B
Balance Sheet
Total Assets	35.19B	35.75B	37.00B	36.37B	36.74B	35.40B
Cash, Cash Equivalents and Short-Term Investments	1.87B	3.38B	3.39B	2.15B	1.48B	2.46B
Total Debt	12.66B	12.92B	13.00B	13.18B	13.60B	17.49B
Total Liabilities	22.85B	23.16B	23.94B	23.74B	24.87B	27.41B
Stockholders Equity	12.21B	12.46B	12.93B	12.62B	11.86B	7.97B
Cash Flow
Free Cash Flow	1.51B	1.98B	3.41B	4.23B	5.74B	1.46B
Operating Cash Flow	3.35B	3.82B	4.94B	6.12B	7.70B	3.40B
Investing Cash Flow	-1.77B	-1.85B	-1.78B	-1.98B	-1.50B	-4.91B
Financing Cash Flow	-2.03B	-1.90B	-1.95B	-3.41B	-6.38B	2.27B

LyondellBasell Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 64.55
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LYB, the sentiment is Positive. The current price of 64.55 is above the 20-day moving average (MA) of 60.55, above the 50-day MA of 58.19, and below the 200-day MA of 70.25, indicating a neutral trend. The MACD of 1.71 indicates Negative momentum. The RSI at 64.03 is Neutral, neither overbought nor oversold. The STOCH value of 83.99 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for LYB.

LyondellBasell Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LYB	72 Outperform	$20.75B	19.96	7.19%	8.49%	-6.53%	-50.08%
AVTR	69 Neutral	$9.25B	12.96	12.52%	―	-2.64%	173.69%
EMN	69 Neutral	$9.27B	10.22	16.16%	4.14%	2.78%	1.50%
PPG	64 Neutral	$26.63B	19.87	18.47%	2.32%	-7.67%	-0.58%
DD	63 Neutral	$31.59B	40.24	0.06%	2.17%	4.51%	-121.68%
Sector *	62 Neutral	$10.36B	10.18	0.09%	2.81%	2.25%	-33.44%
WLK	59 Neutral	$10.95B	28.70	3.71%	2.46%	-1.27%	48.34%

LyondellBasell Corporate Events

LyondellBasell Announces Sale of European Businesses

On June 5, 2025, LyondellBasell announced an agreement with AEQUITA for the sale of its olefins and polyolefins businesses in Europe, including sites in the UK, Spain, Germany, and France. This move is part of LyondellBasell’s strategic review and transformation plan to focus on core operations and value creation through circular and renewable solutions. The transaction, expected to close in the first half of 2026, involves a put option agreement and exclusive negotiations, with a potential loss on sale estimated between $700 million to $900 million due to various financial adjustments. The sale is anticipated to enhance LyondellBasell’s industry positioning by allowing it to concentrate on profitable leadership in the European market.

The most recent analyst rating on (LYB) stock is a Buy with a $90.00 price target. To see the full list of analyst forecasts on LyondellBasell stock, see the LYB Stock Forecast page.

LyondellBasell Extends Accounts Receivable Facility

On May 29, 2025, LyondellBasell‘s subsidiaries amended their $900 million structured accounts receivable facility, originally established in 2012, extending its term to June 26, 2026. This amendment aligns the facility with the company’s senior unsecured revolving credit facility, without materially changing other terms, and as of the amendment date, no trade receivable purchases or letters of credit were outstanding.

The most recent analyst rating on (LYB) stock is a Hold with a $60.00 price target. To see the full list of analyst forecasts on LyondellBasell stock, see the LYB Stock Forecast page.

LyondellBasell Shareholders Approve Key Proposals at AGM

At the annual general meeting on May 23, 2025, LyondellBasell Industries N.V. shareholders approved several key proposals, including the election of 12 directors, the discharge of directors from liability, and the adoption of the company’s annual accounts for 2024. The appointment of PricewaterhouseCoopers as the auditor and the ratification of their role as the independent registered public accounting firm for 2025 were also confirmed. Additionally, shareholders approved an advisory resolution on executive compensation and authorized the board to repurchase up to 10% of the company’s share capital, with the possibility of canceling repurchased shares. The share repurchase program, effective until November 23, 2026, allows for flexibility in execution based on market and economic conditions.

The most recent analyst rating on (LYB) stock is a Buy with a $113.00 price target. To see the full list of analyst forecasts on LyondellBasell stock, see the LYB Stock Forecast page.

LyondellBasell Issues 6.150% Guaranteed Notes for 2035

On May 15, 2025, LyondellBasell Industries N.V. announced the issuance of 6.150% Guaranteed Notes due 2035 through LYB International Finance III, LLC. This financial move is part of their strategic efforts to manage debt and optimize financial operations, indicating a focus on long-term financial stability.

The most recent analyst rating on (LYB) stock is a Hold with a $60.00 price target. To see the full list of analyst forecasts on LyondellBasell stock, see the LYB Stock Forecast page.

LyondellBasell Announces $500 Million Notes Offering

On May 6, 2025, LyondellBasell Industries and its subsidiary entered into an Underwriting Agreement with BofA Securities and Wells Fargo Securities for a $500 million public offering of 6.150% Guaranteed Notes due 2035. The issuance of these Notes, fully guaranteed by LyondellBasell, is expected to close on May 15, 2025, potentially strengthening the company’s financial position and market presence.