Charlotte, North Carolina-based Albemarle Corporation (ALB) develops, manufactures, and markets engineered specialty chemicals for mobility, energy, connectivity, and health solutions. With a market cap of $8.4 billion, the company offers critical ingredients used in grid storage, automotive, aerospace, conventional energy, electronics, construction, agriculture and food, pharmaceuticals, and medical devices. The lithium giant is expected to announce its fiscal second-quarter earnings for 2025 after the market closes on Wednesday, Jul. 30.
Ahead of the event, analysts expect ALB to report a loss of $0.84 per share on a diluted basis, down significantly from a profit of $0.04 per share in the year-ago quarter. The company missed the consensus estimates in three of the last four quarters while beating the forecast on another occasion.
For the full year, analysts expect ALB to report a loss of $1.87 per share, up 20.1% from $2.34 per share in fiscal 2024. Meanwhile, its EPS is expected to rise 136.4% year over year to $0.68 in fiscal 2026.
ALB stock has considerably underperformed the S&P 500 Index’s ($SPX) 12.1% gains over the past 52 weeks, with shares down 27.5% during this period. Similarly, it significantly underperformed the Materials Select Sector SPDR Fund’s (XLB) 2.1% gains over the same time frame.
The primary reasons for ALB's underperformance are related to decreased pricing in its energy storage segment and reduced volumes in its Ketjen segment. These challenges have been further exacerbated by the unpredictable fluctuations in global trade policies under President Trump's administration, leading to increased volatility and uncertainty for the company.
On Apr. 30, ALB shares closed down by 1.5% after reporting its Q1 results. Its revenue stood at $1.1 billion, down 20.9% year over year. The company’s adjusted loss per share came in at $0.18, down 169.2% year over year.
Analysts’ consensus opinion on ALB stock is reasonably bullish, with a “Moderate Buy” rating overall. Out of 24 analysts covering the stock, seven advise a “Strong Buy” rating, two suggest a “Moderate Buy,” 13 give a “Hold,” and two recommend a “Strong Sell.” ALB’s average analyst price target is $78.92, indicating a potential upside of 11.2% from the current levels.
