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LSB Industries rated Buy with $13.50 target, benefiting from low U.S. gas costs and strong operational gains.

Analyst Insights
16 Aug 2026
Seeking Alpha
View Source
Bullish
LSB Industries rated Buy with $13.50 target, benefiting from low U.S. gas costs and strong operational gains.

LSB Industries is rated Buy with a $13.50 price target due to its cost advantage from cheap U.S. natural gas compared to European peers. Operational efficiency improvements, especially at the El Dorado plant, and a flexible product mix support margin growth and resilience against agricultural price fluctuations. The company’s carbon capture project is projected to generate $25–30 million in annual cash flow by 2027, though regulatory and execution risks remain. Current valuation at 4.7x EV/EBITDA appears undervalued, with potential upside if production and fertilizer prices stay strong after maintenance.

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