Braskem (NYSE:BAK) Shares Gap Down on Disappointing Earnings

Braskem S.A. (NYSE:BAK)’s share price gapped down prior to trading on Thursday following a weaker than expected earnings announcement. The stock had previously closed at $4.08, but opened at $3.80. Braskem shares last traded at $3.85, with a volume of 384,820 shares trading hands.

The company reported ($0.39) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.38) by ($0.01). Braskem had a negative return on equity of 439.59% and a negative net margin of 9.88%. The firm had revenue of $3.28 billion for the quarter, compared to analysts’ expectations of $3.52 billion.

Hedge Funds Weigh In On Braskem

A number of large investors have recently bought and sold shares of the business. Covalis Capital LLP increased its position in shares of Braskem by 27.1% in the fourth quarter. Covalis Capital LLP now owns 1,173,852 shares of the company’s stock valued at $4,531,000 after buying an additional 250,215 shares in the last quarter. Marshall Wace LLP increased its holdings in Braskem by 14.3% in the 4th quarter. Marshall Wace LLP now owns 787,348 shares of the company’s stock worth $3,039,000 after acquiring an additional 98,406 shares in the last quarter. Walleye Capital LLC increased its holdings in Braskem by 60.5% in the 4th quarter. Walleye Capital LLC now owns 512,076 shares of the company’s stock worth $1,977,000 after acquiring an additional 193,120 shares in the last quarter. Renaissance Technologies LLC raised its position in Braskem by 126.1% during the fourth quarter. Renaissance Technologies LLC now owns 329,910 shares of the company’s stock worth $1,273,000 after acquiring an additional 184,010 shares during the period. Finally, Trexquant Investment LP lifted its holdings in Braskem by 145.8% during the fourth quarter. Trexquant Investment LP now owns 258,638 shares of the company’s stock valued at $998,000 after purchasing an additional 153,401 shares in the last quarter.

Braskem Stock Down 7.1 %

The firm has a market cap of $1.47 billion, a price-to-earnings ratio of -1.04 and a beta of 2.03. The company’s 50-day moving average price is $4.28 and its 200-day moving average price is $5.42.

Braskem Company Profile

Braskem SA, together with its subsidiaries, produces and sells thermoplastic resins. The company operates through three segments: Brazil, United States and Europe, and Mexico. The Brazil segment produces and sells olefins, including ethylene, polymer and chemical grade propylene, butadiene, and butene-1; benzene, toluene, and xylenes products; fuels, such as automotive gasoline, liquefied petroleum gas, ethyl tertiary-butyl ether, and methyl tertiary-butyl ether; intermediates, such as cumene; aliphatics, aromatics, and hydrogenated solvents; and specialties comprising isoprene, dicyclopentadiene, piperylene, nonene, tetramer, polyisobutylene, and hydrocarbon resins.