Stock Analysis | Lyondellbasell Industries Outlook - A Weak Technical Picture Amid Mixed Analyst Sentiment

1. Market Snapshot

Headline Takeaway: Lyondellbasell Industries (LYB) is currently experiencing a weak technical outlook with a score of 3.91 and a clear bearish tilt from indicators. The stock has seen a price decline of 22.18% recently, and while some analysts remain neutral, others are cautious. Investors are advised to proceed with caution in the near term.

2. News Highlights

Recent news developments have touched on several sectors that could indirectly affect LYB:

• Chemical Industry Environmental Settlements: On August 4, 2025, Chemours, DuPont, and Corteva announced a $875 million settlement for pollution involving "forever chemicals" in New Jersey. While not directly tied to LYB, this highlights regulatory and environmental risks for the broader chemical industry.
• EPA Policy Shifts: On August 1, 2025, news emerged that the EPA is reconsidering rules on "forever chemicals," which may create regulatory uncertainty for chemical companies like LYB. State-level regulations are likely to fill the gap, potentially increasing compliance costs.
• FTX's Staking Activities: Also on August 1, FTX's staking of Ethereum and Solana raised concerns about asset liquidity and creditor repayments. While unrelated to LYB directly, it reflects broader economic and financial market volatility that could impact investor sentiment.

3. Analyst Views & Fundamentals

Analysts have shown a mixed outlook for LYB. The simple average rating score is 3.25, while the performance-weighted rating is 2.53. This suggests that while some analysts remain neutral or cautious, others are bearish. The ratings are not consistent, and the dispersion among them indicates uncertainty in the market.

The price trend of LYB is currently downward, with a decline of -22.18%, and this aligns with the bearish sentiment expressed by the weighted ratings. The recent analyst activity includes one "Buy" and three "Neutral" ratings, indicating a lack of strong conviction either way.

Key Fundamental Factors:

• Revenue-MV: 1.31 (internal diagnostic score: 3)
• PCF: -103.42 (internal diagnostic score: 2)
• PE: 205.04 (internal diagnostic score: 1)
• CFOA: -0.64% (internal diagnostic score: 2)
• Cost of sales ratio: 91.29% (internal diagnostic score: 0)
• Equity multiplier: 2.92 (internal diagnostic score: 2)
• Cash-MV: 0.29 (internal diagnostic score: 2)
• Net cash flow from operating activities per share (YoY growth rate %): -118.67% (internal diagnostic score: 0)
• Total profit / EBIT (%): 61.93% (internal diagnostic score: 2)
• Cash-UP: 0.62 (internal diagnostic score: 1)

4. Money-Flow Trends

Big money is currently flowing out of LYB. The fund-flow score is 7.71, which is considered a "good" score in this context. However, this is misleading due to the negative overall trend. The block inflow ratio is 46.79%, and the overall inflow ratio is 47.40%, indicating that while there is some inflow, the trend is still negative across all sizes of investors.

Investors are advised to watch for any signs of a reversal in these trends, as a sustained outflow could further pressure the stock price.

5. Key Technical Signals

The technical outlook for LYB is weak, with a score of 3.91 and a clear bearish tilt. Here are the key indicators:

• WR Overbought: 1.31 (internal diagnostic score: 1.31)
• WR Oversold: 1.41 (internal diagnostic score: 1.41)
• MACD Death Cross: 6.06 (internal diagnostic score: 6.06)
• Earnings Release Date: 6.87 (internal diagnostic score: 6.87)

Over the past five days, LYB has seen several notable technical signals. On July 23, the WR Overbought indicator was active. On July 24, both WR Oversold and MACD Death Cross were in play. On August 1, WR Oversold and Earnings Release Date indicators were also observed. These signals suggest a market in consolidation with a lack of strong directional momentum.

Key insights from the technical analysis include: 1) the market is in a state of consolidation, and 2) bearish signals are clearly dominating (2 bearish vs. 0 bullish indicators). This suggests that investors should be cautious and consider avoiding new positions or exiting existing ones.

6. Conclusion

Lyondellbasell Industries is facing a challenging technical environment with a weak score and bearish indicators. Analysts are divided, and while some remain neutral or cautious, the price trend is clearly downward. The fundamental picture is mixed, with some positive factors but also significant weaknesses.

Actionable Takeaway: Given the bearish technical signals and the weak price trend, investors should consider waiting for a clearer breakout or a pull-back before making any new positions. Watch for the upcoming earnings release and any regulatory developments that could impact the broader chemical industry.