Raymond James has cut its rating on Amyris Inc (NASDAQ:AMRS) to Underperform.
Pavel Molchanov of Raymond James has taken note of the fact that the company has been in the penalty box from the time when it exposed scale-up holdups and withdrew guidance nearly a year back. He said that industrial bio-tech scale-up is never clear-cut. He feels that the company’s scale-up issues do not everlastingly criticize the technology platform, however, it will surely take some time for visibility to re-appear.
The reason why Raymond James has changed rating on Amyris is somehow associated with the latest amass in the stock to the highest level among peers that Molchanov thinks as unnecessary.
Shares of AMRS fell 7.50%.
In other news, Huntsman Corporation(NYSE:HUN) has reported its quarterly profit for this quarter. The earnings results have surpassed the expectations of Wall Street owing to higher sales of polyurethane that is used in foam insulation.
Huntsman’s polyurethane business has gone up by 13% during the fourth quarter based on strong international demand that let the company to increase prices. The automotive and housing recovery in North America has also helped in increasing demand.
The polyurethane business has brought about half of the revenue to the company during this quarter.
Particles of titanium dioxide help in generating whiteness in car coatings and paints. The same chemical is used in making sunblock skin cream.
The largest producer of titanium dioxide in the world, DuPont had said a month back that weak demand for the pigment has played is toll on the profit of the fourth quarter.
Price points for the pigment came under pressure a year back as the factories that were idle in 2009 came back on track even when the demand was poor.
The pigments sector’s earnings contributed about 11% of the revenue in the fourth quarter. Situation will possible improve in the second half of 2013.
Shares of HUN are down 6.25%.