BASF Stock: €1.4B Lawsuit Drives Share Price Higher

BASF's stock demonstrated notable momentum on the trading floor, climbing 1.8 percent on XETRA to reach a daily high of €42.80. This upward movement coincided with the chemical giant's significant legal action against several competitors, including Swiss-based Clariant, seeking €1.4 billion in damages through a Munich court filing. The lawsuit centers on alleged anti-competitive practices in the ethylene purchasing market, practices previously penalized by European Commission regulators in 2020. The legal action targets four companies accused of colluding to secure more favorable ethylene pricing arrangements.

Market Outlook Remains Positive

Despite ongoing legal challenges, market analysts maintain an optimistic stance on BASF's future performance. Their consensus points to a substantial upside potential, with an average price target of €52.84 per share. Financial projections for 2024 indicate expected earnings of €3.48 per share, complemented by an anticipated dividend of €2.48, reflecting continued confidence in the company's long-term market position.