On Wednesday at 11:05 AM (Bangkok time), the share price of Indorama Ventures Public Company Limited (SET: IVL) soared by 5.56% or THB 1.30 to THB 24.70, with a trading value of THB 737.38 million.
Yuanta Securities stated that despite a rebound from previous losses, petrochemical stocks continue to face a somber outlook. The analyst observed a recent upturn but foresees ongoing challenges for the sector in 2025 due to the introduction of fresh supplies into the market.
Meanwhile, IVL is projected to outshine its counterparts, with most of its businesses operating in the US, leveraging reduced material expenses compared to Asia. In addition, the company has already undergone asset impairment in the second quarter of 2024.
The analyst foresees a modest turnaround for IVL in the third quarter after facing losses in the previous three months. Enhanced performance across most of the company’s spreads is projected to drive better profits in the latter half of the year compared to the first six months.
Therefore, Yuanta Securities gives a ‘Speculative-BUY’ recommendation for IVL, with a target price of THB 19.50 per share.
