Albemarle Corporation [NYSE: ALB] stock went on a downward path that fall over -4.31% on Thursday, amounting to a one-week price decrease of less than -6.89%. The company report on February 4, 2021 that Albemarle Announces Pricing of Public Offering of Common Stock.
Albemarle Corporation (NYSE: ALB), a leader in the global specialty chemicals industry, announced the pricing of a previously announced underwritten public offering of 8,496,733 shares of its common stock at a price to the public of $153.00 per share. The gross proceeds from this offering are expected to be approximately $1.3 billion, before deducting the underwriting discounts and commissions and estimated offering expenses payable by Albemarle. Albemarle has granted the underwriters a 30-day option to purchase up to 1,274,509 additional shares at the public offering price, less the underwriting discounts and commissions. The offering is expected to close on or about February 8, 2021, subject to the satisfaction of customary closing conditions.
Albemarle intends to use the net proceeds of the offering primarily to fund growth capital expenditures, such as the construction and expansion of lithium operations in Australia, Chile and Silver Peak, Nevada, and opportunities in China. Albemarle also intends to use the net proceeds for debt repayment in the short term and other general corporate purposes.
Over the last 12 months, ALB stock rose by 76.87%. The one-year Albemarle Corporation stock forecast points to a potential downside of -22.74. The average equity rating for ALB stock is currently 3.00, trading closer to a bullish pattern in the stock market.
The market cap for the stock reached $16.87 billion, with 106.39 million shares outstanding and 106.12 million shares in the current float. Compared to the average trading volume of 1.56M shares, ALB stock reached a trading volume of 8386599 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Guru’s Opinion on Albemarle Corporation [ALB]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for ALB shares is $126.20 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on ALB stock is a recommendation set at 3.00. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Citigroup have made an estimate for Albemarle Corporation shares, keeping their opinion on the stock as Neutral, with their previous recommendation back on January 06, 2021. The new note on the price target was released on January 05, 2021, representing the official price target for Albemarle Corporation stock. On November 09, 2020, analysts increased their price target for ALB shares from 99 to 132.
The Average True Range (ATR) for Albemarle Corporation is set at 7.87, with the Price to Sales ratio for ALB stock in the period of the last 12 months amounting to 5.20. The Price to Book ratio for the last quarter was 4.00, with the Price to Cash per share for the same quarter was set at 6.45.
ALB Stock Performance Analysis:
Albemarle Corporation [ALB] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -6.89. With this latest performance, ALB shares dropped by -4.93% in over the last four-week period, additionally plugging by 74.83% over the last 6 months – not to mention a rise of 76.87% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for ALB stock in for the last two-week period is set at 40.82, with the RSI for the last a single of trading hit 32.32, and the three-weeks RSI is set at 46.76 for Albemarle Corporation [ALB]. The present Moving Average for the last 50 days of trading for this stock 155.45, while it was recorded at 163.01 for the last single week of trading, and 103.51 for the last 200 days.
Insight into Albemarle Corporation Fundamentals:
Operating Margin for any stock indicates how profitable investing would be, and Albemarle Corporation [ALB] shares currently have an operating margin of +19.09 and a Gross Margin at +35.07. Albemarle Corporation’s Net Margin is presently recorded at +14.86.
Return on Total Capital for ALB is now 10.75, given the latest momentum, and Return on Invested Capital for the company is 8.97. Return on Equity for this stock inclined to 14.19, with Return on Assets sitting at 6.11. When it comes to the capital structure of this company, Albemarle Corporation [ALB] has a Total Debt to Total Equity ratio set at 81.08. Additionally, ALB Total Debt to Total Capital is recorded at 44.77, with Total Debt to Total Assets ending up at 32.33. Long-Term Debt to Equity for the company is recorded at 75.72, with the Long-Term Debt to Total Capital now at 41.82.
Reflecting on the efficiency of the workforce at the company, Albemarle Corporation [ALB] managed to generate an average of $88,871 per employee. Receivables Turnover for the company is 4.95 with a Total Asset Turnover recorded at a value of 0.41.Albemarle Corporation’s liquidity data is similarly interesting compelling, with a Quick Ratio of 0.90 and a Current Ratio set at 1.40.
ALB Stock EPS
With the latest financial reports released by the company, Albemarle Corporation posted 1.73/share EPS, while the average EPS was predicted by analysts to be reported at 1.74/share. When compared, the two values demonstrate that the company fail the estimates by a Surprise Factor of -0.60%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for ALB. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Albemarle Corporation go to 15.00%.
Albemarle Corporation [ALB] Insider Position Details
There are presently around $14,291 million, or 89.70% of ALB stock, in the hands of institutional investors. The top three institutional holders of ALB stocks are: VANGUARD GROUP INC with ownership of 12,246,559, which is approximately -3.177% of the company’s market cap and around 0.20% of the total institutional ownership; BLACKROCK INC., holding 7,512,008 shares of the stock with an approximate value of $1.16 billion in ALB stocks shares; and FRANKLIN RESOURCES INC, currently with $1.12 billion in ALB stock with ownership of nearly -3.751% of the company’s market capitalization.
Positions in Albemarle Corporation stocks held by institutional investors increased at the end of February and at the time of the February reporting period, where 313 institutional holders increased their position in Albemarle Corporation [NYSE:ALB] by around 4,045,331 shares. Additionally, 266 investors decreased positions by around 7,222,617 shares, while 88 investors held positions by with 80,989,362 shares. The mentioned changes placed institutional holdings at 92,257,310 shares, according to the latest SEC report filing. ALB stock had 112 new institutional investments in for a total of 860,332 shares, while 50 institutional investors sold positions of 790,637 shares during the same period.