Sabic Rating Updated to Buy as FAB Notes Q3 Results

06:12 AM EDT, 10/27/2026 (MT Newswires) -- FAB Securities updated its rating for Saudi Basic Industries (SASE:2010), d/b/a Sabic, following the company's third-quarter results. "We revised our rating on SABIC AGRI-NUTRIENTS from ACCUMULATE to BUY with an unchanged target price of SAR 138.00. The Company's share price has declined 10.9% since our previous rating (July 2026). SABIC AGRINUTRIENTS earnings remained under pressure on a YOY basis in 3Q26, with revenue and EBITDA declining 8.6% and 57.1% YOY, respectively, primarily due to lower sales volumes resulting from regional supply-chain disruptions," analysts wrote in a first look note published Monday. For the reporting quarter, the petrochemicals manufacturer's net profit came in at 484 million Saudi riyals, missing FAB's 727 million-riyal estimate. Revenue was 3.22 billion riyals, against the research firm's forecast of 2.75 billion riyals. "Despite the weak 3Q26 performance, we believe the earnings pressure is largely attributable to regional supply-chain disruptions rather than a deterioration in the Company's underlying fundamentals. The Company's efforts to diversify shipping routes, together with its planned capacity expansion and strategic partnerships, are expected to strengthen long-term growth and operational resilience," the research firm said.