BASF's Evonik Pursuit Stalls as Earnings Lag Revenue Growth
Published on 11/09/2026 at 14:50 | Editorial boerse-global.de
BASF and Evonik wrapped up a weekend meeting of their top executives without laying out a roadmap toward formal takeover negotiations, leaving the German chemicals giant's acquisition ambitions in limbo. Two people familiar with the matter confirmed the gathering to Reuters on Monday, and Handelsblatt reported that Evonik's management emerged from the talks still opposed to the deal.
The standoff traces back roughly two weeks, when Evonik rejected BASF's improved offer and asked for further clarifications. That bid values Evonik at EUR 11.18 billion, or EUR 24 per share — the financial envelope framing the entire proposal.
Strategy, Not Just Price, Divides the Two Sides
Money is only part of the gap. Evonik argues its specialty chemicals business would develop better under the standalone structure it has mapped out, meaning the dispute runs to the strategic vision for the company as well as the terms on the table. BASF's case rests on the two sides' continued willingness to talk, provided that dialogue produces a workable basis for negotiation. What holds back a swift resolution is Evonik's sustained rejection, so long as neither party commits to a concrete path forward.
CEO Markus Kamieth has been clear that value creation for shareholders is the test any transaction must pass. Reuters reported on October 28 that BASF does not intend to buy Evonik at any price, with Kamieth stating the company would only pursue a deal that generates shareholder value.
Should investors sell immediately? Or is it worth buying BASF?
Revenue Jumps, but Per-Share Profit Slips
The operating picture is mixed. BASF posted third-quarter 2026 revenue of EUR 16.36 billion, up 14.18% from the same period a year earlier. Stronger business activity is a welcome signal, yet for earnings power to convince, that top-line growth needs to flow through to the bottom line.
It did not. Earnings per share came in at EUR 0.18 for the quarter, down from EUR 0.19 a year earlier — a decline that blunts the significance of the double-digit sales advance. Market watchers expect fourth-quarter 2026 results on February 26, 2027, and analysts project full-year 2026 earnings of EUR 3.24 per share.
Guidance Raised, Automotive Awards Stack Up
Behind the takeover saga, BASF lifted its earnings outlook about two weeks ago. For 2026 it now expects EBITDA before special items of EUR 7.4 billion to EUR 7.8 billion.
There was recognition on the automotive front as well. On Thursday, BASF, Stellantis and L&L Products jointly received an SPE Automotive Innovation Award for a composite tunnel reinforcement built for the 2027 model-year Jeep Grand Cherokee. A day earlier, BASF, Toyota and Vuteq took the SPE Automotive Innovation Grand Award for the injection-molded thermoplastic truck bed on the 2026 model-year Toyota Tacoma — both honors tied to specific components from joint projects with automaking partners.
BASF at a turning point? This analysis reveals what investors need to know now.
Shares Caught in Tech-Led Downdraft
BASF shares fell 2.9% on Friday, making the stock one of the weakest performers among European chemicals names as a global selloff driven by worries over AI growth swept the market. According to dpa-AFX, the slump in the AI and semiconductor sector, together with fears of tighter AI regulation, weighed on German equities — a broad market pressure the report described without singling out BASF as a loser.
For investors, two concrete developments now matter for the valuation: a durable foundation for the Evonik talks and a stronger conversion of sales growth into profit. With the takeover discussions still lacking a roadmap, the more verifiable yardstick lies in the company's earnings trajectory.
Ad
BASF Stock: New Analysis - 9 November
Fresh BASF information released. What's the impact for investors? Our latest independent report examines recent figures and market trends.
