NEW YORK (TheStreet) -- Shares of LyondellBasell Industries NV (LYB) are down 6.22% to $83.67 today as Brent crude oil prices hit a four-year low after Saudi Arabia cut the cost of its crude oil to the U.S., Bloomberg reports.
Stock of the independent chemical company has fallen by 27% since the middle of September when Lyondell Basell shares hit an all-time high of $115.40.
Additionally, LyondellBasell, has converted much of its U.S. chemicals facilities to run on natural gas feedstock, specifically ethane, which is cheap and abundant thanks to new fracking techniques, according to Forbes, giving LyondellBasell a huge advantage over foreign companies that use oil-based naphtha as a feedstock.
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Now that Saudi Arabia has cut prices for U.S. oil exports and Brent crude has hit a four-year low, the so-called "ethane advantage" has shrunk considerably, Forbes added.
Separately, TheStreet Ratings team rates LYONDELLBASELL INDUSTRIES NV as a Buy with a ratings score of A. TheStreet Ratings Team has this to say about their recommendation:
"We rate LYONDELLBASELL INDUSTRIES NV (LYB) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth, compelling growth in net income, revenue growth and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company shows low profit margins."