'Not much growth, too much debt' - Berenberg cuts Lanxess to 'sell'

LANXESS AG

13/08/2026 08:15

** Shares in German specialty chemicals maker Lanxess LXSG.DE fall 6% after Berenberg downgrades the stock to "sell" from "hold"
** "Not much growth, too much debt," Berenberg says, adding that consensus is too optimistic about an earnings recovery and value capture from the Envalior joint venture
** Broker says Lanxess is "ill-suited" for the current macro environment
** Last week, Lanxess reported Q2 core profit slightly above expectations, but left its FY guidance unchanged and warned it saw no signs of a broader recovery in its core markets
** Berenberg says group capacity utilisation is below 70% and does not expect much near-term improvement, while it is also cautious on the long-term outlook for bromine prices
** Broker says Advent appears to be in a strong negotiating position over Envalior and doubts net proceeds, including shareholder loan repayment, will exceed €200 million
** Including today's fall, the stock is down 13.73% YTD

 (Reporting by Basile Day)
 ((Basile.Day@thomsonreuters.com))