APD: How Much Upside Do Analysts See?

Analysts’ recommendations

The number of analysts tracking Air Products and Chemicals (APD) has more or less remained constant in the past six months. Currently, 21 analysts are actively tracking Air Products and Chemicals. Among the analysts, 86% recommended a “buy,” 10% recommended a “hold,” and 4% recommended a “sell.”

APD: How Much Upside Do Analysts See?

Analysts’ consensus indicates a target price of $191.47 for the stock, which implies a potential return of ~0.7% over Air Products and Chemicals’ closing price of $190.17 as of March 28. In the past three months, the stock’s consensus target price has increased marginally.

Air Products and Chemicals posted its first-quarter EPS at $1.86, which is a little lower than analysts’ expectations. The company reported sales of $2.2 billion, which missed analysts’ expectations. However, Air Products and Chemicals completed the acquisition of ACP Europe SA. The company got several new orders, which could drive its future growth. As a result, most of the analysts have given a “buy” recommendation.

Individual brokerage recommendations

  • Credit Suisse (CS) increased its target price for Air Products and Chemicals to $200.00, which implies a return potential of 5.2% from its closing price of $190.17 on March 28.
  • Bank of America (BAC) rated Air Products and Chemicals as “underperform” and recommend a target price of $170. However, the stock is already trading 11.9% above the recommended target price.
  • BMO (BMO) has recommended a target price of $200.00 for Air Products and Chemicals, which implies a potential return of 5.2% from its closing price on March 28.

Investors looking for exposure to Air Products and Chemicals could invest in the Invesco S&P 500 Equal Weight Materials ETF (RTM), which has invested 4.2% of its portfolio in Air Products and Chemicals.