BMO Capital Markets on Monday reiterated its outperform rating on the shares of Methanex (MX.TO, MEOH) and its US$65.00 price target after the methanol producer closed an acquisition.

"Updating model to reflect recent methanol price moves (which have bounced up again after coming off peaks), Egyptian gas volatility, and MEOH closing the OCI asset acquisition. Q2E doesn't really matter, but seems in line anyway, and methanol prices are trading around mid-cycle. What will determine MEOH's next share price moves in our view will be operational performance, namely G3 continuing to run well and how well the new OCI assets operate. We still see ~$9-10/sh FCF at mid-cycle (basically spot) methanol underpinning our maintained constructive leaning, but it's time now to perform," analyst Joel Jackson wrote.

(MT Newswires covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www.mtnewswires.com/contact-us)

Price: 45.81, Change: -1.01, Percent Change: -2.16