B of A Securities Reiterates Sell Rating on Dow Inc.
B of A Securities keeps its sell rating and sets a $29 price target for Dow Inc, a 5.99% upside from the current price.
Key Points
- B of A Securities reiterated its sell rating on Dow Inc. with a price target of $29.
- B of A Securities's $29 price target implies 5.99% upside from Dow Inc.'s ($DOW) current $27.36 share price.
- Dow Inc. shares traded at $27.92 on Tuesday, with a market cap of $20.93 billion.
- Insiders, including CEO James Fitterling, recently bought shares, while various funds adjusted their positions.
Important disclosure: Podchat is not a registered investment adviser, broker-dealer, or financial planner. This article is for informational and educational purposes only and is not a recommendation to buy, sell, or hold any security. Content may be generated by automated systems using public filings, market data, and third-party sources, and may contain errors or omissions. Investing involves risk, including possible loss of principal. Past performance, insider activity, analyst ratings, price targets, sentiment scores, and hypothetical or backtested results are not guarantees of future performance. Please do your own research and consult a qualified professional before making investment decisions.
B of A Securities has maintained its sell rating on Dow Inc. (NYSE:DOW) as of June 30, 2026, setting a price target of $29. This update comes from analyst Matthew DeYoe and reflects the firm's cautious outlook on the chemical giant.
B of A Securities vs. the S&P 500
Hypothetical, simulated performance of disclosed positions vs. the S&P 500. Not realized profit and not investment advice. Past performance does not indicate future results. Details.
Other Institutional Activity in Dow Inc.
Several major institutional investors have recently adjusted their positions in Dow Inc. BlackRock, Inc. increased its holdings by 840,209 shares, bringing its total to 53,337,528 shares valued at approximately $2.22 billion. Vanguard Capital Management LLC opened a new position with 46,193,815 shares worth $1.92 billion. State Street Corp slightly boosted its stake by 243,218 shares, reaching a total of 35,113,389 shares valued at around $1.46 billion. Meanwhile, Pzena Investment Management LLC reduced its position by 8,679,285 shares, now holding 18,947,602 shares worth about $789.17 million.
Dow Inc. Stock Down 9.3%
Shares of Dow Inc. traded near $27.92 on Tuesday. The company has a market capitalization of approximately $20.93 billion. Dow Inc. is trading with a forward P/E ratio of 13.56 and a beta of 0.405, indicating lower volatility compared to the broader market. The stock's 52-week range spans from $20.40 to $42.74. Its 50-day moving average is $35.93, while the 200-day moving average stands at $29.78. The company's financial health is supported by a current ratio of 1.85 and a quick ratio of 0.90, though it carries a debt-to-equity ratio of 117.13.
$DOW price target
Past daily closes and this analyst's 12-month price target. Not investment advice.
Recent Earnings
Dow Inc. reported revenue of $39.33 billion, although it experienced a revenue decline of 6.1%. The company posted a net margin of -7.24% and a return on equity of -15.26%, reflecting ongoing challenges in profitability. The next earnings report is expected on July 23, 2026.
Earnings drift grade
Outlook vs expectations on the last report — not price action.
-
Forward outlook
5 analysts raised price targets.
-
EPS & revenue
EPS beat estimates by 51.8%. Revenue met estimates.
-
Profit surprise
EBITDA missed by 76 percent. Operating income beat by 50 percent.
-
Pre-earnings setup
Bar was low, analysts cautious going in.
-
Analyst signal
5 target raises.
-
Earnings quality
Operating margin down 1.6 points. Positive free cash flow.
Earnings Call Summary
Dow reported first quarter revenue of $9.8 billion and EBITDA of $873 million. The Middle East conflict disrupted global supply chains starting in March, creating tight conditions that benefited Dow's Americas-based assets. Management expects these supply constraints and pricing momentum to persist through 2026, delivering significant earnings upside in coming quarters as they execute cost-reduction and transformation initiatives.
Guidance Dow guided second quarter revenue of approximately $12 billion and EBITDA of about $2 billion. Management expects pricing gains across all business segments to drive earnings higher, especially in polyethylene where April prices were announced up $0.30 per pound, with May prices rising another $0.20.
Good report. The company beat and showed some forward improvement, with a few meaningful caveats.
Dividend
Dow Inc. offers an annual dividend rate of $1.40 per share, yielding 4.82%. The payout ratio is a conservative 7%, providing income to shareholders while retaining earnings to potentially improve its financial position.
Insider Buying and Selling at Dow Inc.
Recent insider transactions at Dow Inc. include purchases by several executives. Chair and CEO James Fitterling acquired 68,230 shares on February 12, 2026. Other insiders, such as Gaurdie Banister Jr., Wesley Bush, Debra Dial, Luis Alberto Moreno Mejia, and Daniel Yohannes, each bought 5,127 shares on April 9, 2026. These transactions were not part of a pre-planned trading program.
Analysts Set New Price Targets
On June 30, 2026, B of A Securities maintained its sell rating on Dow Inc. with a $29 price target. Other analysts have varied opinions, with Citigroup maintaining a buy rating and setting price targets of $35 and $41 in recent months. RBC Capital also reiterated a buy rating with a $51 target. The consensus among analysts is a buy, with an average target price of $41.88 based on 16 opinions.
About Dow Inc.
Dow Inc. is a leading materials science company headquartered in Midland, Michigan. It operates globally, providing solutions in packaging, infrastructure, mobility, and consumer applications. The company is structured into three main segments: Packaging & Specialty Plastics, Industrial Intermediates & Infrastructure, and Performance Materials & Coatings. Led by CEO James R. Fitterling, Dow employs approximately 34,600 people worldwide.
Bottom Line
B of A Securities' reiteration of a sell rating for Dow Inc. highlights ongoing concerns about the company's financial performance. Investors closely watch these ratings as they provide insights into potential future stock performance. While the 13F filings offer a backward-looking view, they remain a key tool for understanding institutional sentiment.
Get Dow Inc. alerts
New 13F filings, insider trades, and analyst moves on $DOW, sent to your inbox. Free, and you can unsubscribe anytime.
This instant news alert was generated by automated narrative technology and financial data from Podchat and public regulatory filings. It is for informational purposes only and is not financial advice.