BASF - Stock is down 21% from highs in June 2014 -12% sinc July...
Trading conditions were tougher in Q314 as mentionned by the CEO - July was solid but September started much slower than expected by management. Geopolitiacl env. was a reason for that...Some investors offset thane USD move can become supportive int he coming months and I really think that momentum will change with a more difficult environment for Industrials...we still interesting signals of continuing growth in Asia...volume were goods but MArgins were still the issue but this will be better for big player like BASF....Russian normalisation shoudl a big catalyst for the stock as teh company is involved in Gas Field operations, BASF has governemnt garanty for these investments....Agro business should start t o normalize and should not be an issue anymore...Capex should not revise for now, should continue to benefit fo shale gas advantage in the US...only concern in the US is skyrocketing investments costs that could jeopardize the raw material cost advantage.
I will buy the stock relative to teh mkt to play a decent OP, I see the stock coming back quickly on the 74 levels.
BASF undeperform DAX by 14 since June, I see at least a 6% OP in the next few days/weeks