Air Products & Chemicals Inc (APD) stock plummeted 5.52% in pre-market trading on Friday, as JPMorgan downgraded the industrial gas supplier from Overweight to Neutral and lowered its price target from $345 to $320.
The downgrade by JPMorgan came after APD reported its fiscal Q1 2025 earnings, which beat analyst estimates but showed slowing growth due to divestment of its LNG business and weakness in Europe. While APD maintained its full-year guidance, analysts raised concerns over headwinds from a stronger U.S. dollar, tariffs, and a challenging global helium market.
In addition to the JPMorgan downgrade, other analysts polled by FactSet have an average rating of Overweight on APD shares, with a mean price target of $359. However, the downgrade appears to have impacted investor sentiment, leading to the sharp sell-off in APD stock on Friday.