LyondellBasell Hikes Quarterly Dividend for 15 Consecutive Years

LyondellBasell Industries N.V.’s LYB board has announced a quarterly dividend of $1.37 per share, reflecting a 3-cent increase (or roughly 2.2%) from the first-quarter 2025 dividend. The amount will be distributed on June 9, 2025, with the ex-dividend and record date set for June 2, 2025.

This marks the 15th consecutive year of dividend growth for LYB, underscoring the company’s continued commitment to delivering value to shareholders. The increase highlights LYB’s disciplined approach to capital allocation, the strength of its strategic direction and its resilience in managing through economic cycles.

In the first quarter, the company surpassed its long-term cash conversion target over the past year. It maintained a balanced capital allocation strategy, investing $483 million in capital expenditures and returning $543 million to shareholders through dividends and stock buybacks.

LYB stock has plunged 43.2% in the past year compared with the 29.6% decline of the industry.

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For the second quarter, the company anticipates improved seasonal demand across most of its business segments. U.S. natural gas and ethane feedstock prices have eased, while lower crude oil costs are benefiting operations in Europe and Asia. Oxyfuels margins are expected to rise as gasoline crack spreads widen during the summer driving season.

In Europe, ongoing rapid capacity reductions are projected to enhance the regional supply-demand balance over time. Furthermore, a more constructive stance on economic and regulatory policies in Europe is contributing to cautious optimism. Despite ongoing economic uncertainty, global demand for packaging is expected to stay firm, supporting essential sectors like food, healthcare and daily consumer goods.

LYB’s Rank & Key Picks

LYB currently carries a Zacks Rank #5 (Strong Sell).

Better-ranked stocks in the basic materials space include Carpenter Technology Corporation CRS, Alamos Gold Inc. AGI and Hawkins, Inc. HWKN

Carpenter Technology currently carries a Zacks Rank #1 (Strong Buy). CRS beat the Zacks Consensus Estimate in each of the last four quarters, with the average earnings surprise being 11.1%. The company's shares have soared 110% in the past year. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for Alamos Gold current-year earnings is pegged at $1.29 per share. AGI, carrying a Zacks Rank #1, surpassed the Zacks Consensus Estimate in two of the trailing four quarters while missing twice, with the average earnings surprise being 1.4%. The company's shares have rallied 58.1% in the past year.

Hawkins, which currently carries a Zacks Rank #2, beat the consensus estimate in one of the trailing four quarters while missing thrice. In this time frame, it delivered an earnings surprise of roughly 8.2%, on average. The company's shares have rallied 43.6% in the past year.

 

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This article originally published on Zacks Investment Research (zacks.com).

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