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UBS Maintains Buy on Methanex, Raises Price Target to $74

BenzingaBenzinga Newsdesk

UBS analyst Joshua Spector maintains Methanex (NASDAQ:MEOH) with a Buy and raises the price target from $71 to $74.

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    Methanex surged 14% on October 30, 2026, after reporting strong Q3 earnings that beat analyst expectations. Revenue grew 50% to $1.39 billion driven by a 48% increase in methanol prices due to Middle East supply disruptions. Adjusted net income reached $284 million ($3.69 per share) versus $5 million in the prior year quarter. The company also announced a new share repurchase program authorizing buybacks of up to 5% of outstanding shares, with guidance for methanol prices to remain elevated at $525-$550 per tonne through November.

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    Methanex Corporation (MEOH) shares have gained 56.5% over the past year driven by expanded North American capacity and the OCI acquisition, with Geismar achieving record production. However, the company faces significant challenges including gas constraints, weak demand in China, lower realized pricing, and elevated shipping costs, resulting in a Hold rating.