2020/21 chemical industry earnings expectations are lowered

Hassan Ahmed, a stock analyst at Alembic Global Advisors in the United States, recently lowered the earnings forecasts of some chemical companies for 2020 and 2021 due to the decline in profit margins, prices and industrial activities.

Ahmed said that due to lower-than-expected industrial production, Ailanbeike Global Consulting has lowered its earnings per share forecasts for Air Liquide, Air Products and Linde.

As the profit margin of diphenylmethane diisocyanate was lower than expected, Alambic Global Consulting lowered Huntsman’s 2020 earnings forecast, and also lowered its Braskem Company (Braskem) and Dow Chemical Hollyand Basel’s earnings expectations.

Due to methanol prices, Methanex has lowered its earnings forecast. Tronox's earnings forecast was lowered because of the drop in zircon prices, while Celanese's earnings forecast was lowered because of lower auto production and lower acetyl profit margins.

The price of caustic soda was lower than expected. As a result, Ilanbic Global Consulting Company lowered the earnings expectations of Olin and Westlake Chemical Company in 2021; the performance of the Brazilian currency real was lower than expected, and Ilanbic Global Consulting Company raised the forecast Blasco's earnings forecast for 2021.