Jefferies Turns Bearish on BASF as Buyback, Mining Sale and Louisiana Ramp-Up Unfold
Published on 11/15/2026 at 06:50 | Editorial boerse-global.de
BASF has spent the past week reshaping its portfolio on several fronts at once — buying back its own stock, offloading its global mining business, commissioning a billion-dollar plant in Louisiana and adding a sustainability certification to its product range. The market's read on all of it, however, is being shaped by a pair of broker downgrades.
Buyback Running Through Early November
The company repurchased shares between 2 and 6 November inclusive as part of its ongoing buyback programme. The purchases ran alongside a busy stretch of corporate news.
Evonik Rebuffs Improved Offer
On the deal-making side, BASF's attempt to acquire Evonik failed to break through. According to Reuters, which cited people familiar with the matter, Evonik held to its rejection of the raised offer following talks with BASF on 9 November. No further meetings are currently scheduled.
Mining Unit Heads to SNF
BASF did find a buyer for another piece of the business. On Thursday it agreed to sell its global mining operations to SNF. The transaction covers the Cork production site and roughly 140 employees. Completion is expected in 2027, subject to regulatory approvals and customary conditions.
Should investors sell immediately? Or is it worth buying BASF?
Louisiana MDI Plant Comes Online
Capital is flowing in the other direction as well. On Wednesday BASF officially started up its new MDI facility at the Geismar integrated site in Louisiana. The investment came to USD 1 billion, and the plant lifts the site's annual MDI capacity to around 600,000 tonnes.
FairWild Certification for Shea-Based Ingredient
BASF also reported on Thursday that its shea butter-based ingredient Cegesoft SB 45 TR has received FairWild certification, widening its range of certified products.
Jefferies Goes to Underperform
Against that operational backdrop, Jefferies downgraded BASF from "Hold" to "Underperform" on Wednesday while keeping its price target at EUR 44. Analyst Priyanka Patel pointed to eroding margins, persistent overcapacity, higher gas prices and a lack of recovery in demand. Her forecast for 2027 operating profit sits five percent below consensus.
BASF at a turning point? This analysis reveals what investors need to know now.
The bearish call follows Deutsche Bank Research, which cut the stock from "Buy" to "Hold" on 6 November and trimmed its price target to EUR 53 from EUR 60.
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