Dow Chemical’s Earnings Estimates Cut at Morgan Stanley (DOW)

in Gold Gold Investing Gold Investment by admin — March 10, 2010 7:00 am | no comments

Specialty chemicals maker The Dow Chemical Company ( DOW ) saw its earnings estimates lowered on Wednesday by analysts at Morgan Stanley. The analyst said it has cut its estimates for DOW through 2012, citing negative effects from higher propylene prices and Dow’s recent divestiture of its plastics unit, Styron. Morgan maintained its “Overweight” rating and $43 price target on the stock, however. Dow Chemical shares were mostly flat in premarket trading Wednesday. The Bottom Line We removed shares of DOW from our “recommended” list on Sept.29,2008, when the stock was trading at $33.97. The company has a 2.05% dividend yield, based on last night’s closing stock price of $29.22. The stock has technical support in the $24-$27 price area. If the shares can continue the recent momentum, we see overhead resistance around the $30-$32 price levels. We would remain on the sidelines for now. The Dow Chemical Company ( DOW ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.3 out of 5 stars. Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .