
Olin (OLN) Stock Forecast & Price Target
Olin (OLN) Analyst Ratings
Bulls say
Olin Corp reported a year-over-year sales increase of 8% in the third quarter, totaling $1.71 billion, with notable growth in its Epoxy segment, which experienced a 23% rise in sales. The company anticipates a sequential improvement in average realized caustic soda prices due to tighter supply and stable demand, indicating a positive trajectory for the Chlor Alkali Products and Vinyls segment. Additionally, Olin's strategic adjustment to bolster its defense sector's production capacity, coupled with an increased run-rate savings target of $70 million to $90 million, underscores its commitment to enhancing operational efficiency and profitability.
Bears say
Olin Corporation's financial outlook is negatively impacted by anticipated earnings reductions due to inventory management strategies, with a projected earnings decline of approximately $40 million in the fourth quarter, despite a working capital improvement of about $150 million. Additionally, substantial year-over-year decreases in commercial Winchester sales, which fell by 24%, highlight significant challenges in consumer demand and elevated inventory levels at retail customers, adversely affecting profitability. Furthermore, there are concerns regarding the potential for a larger decline in industrial end markets for caustic soda, compounded by the risk of a prolonged recession in Europe, which could lead to further profitability declines in Olin's EDC and epoxy segments.
This aggregate rating is based on analysts' research of Olin and is not a guaranteed prediction by Public.com or investment advice.
Olin (OLN) Analyst Forecast & Price Prediction
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