Olin ( NYSE: OLN ) -5.8% pre-market Tuesday after cutting guidance for Q3 adjusted EBITDA to $530M-$550M after previously forecasting a ~15% decline from Q2 adjusted EBITDA of $727M.
The company cited "an accelerated deterioration in both European and North American demand particularly in epoxy and vinyls intermediates, which has been aggravated by increased Chinese exports precipitated by continuing weak Chinese domestic demand."
Olin ( OLN ) said Winchester has suffered lower than expected commercial ammunition volumes, as customer supply chain inventories were overfilled across some ammunition calibers.
On the bright side, the company said core electrochemical unit pricing for merchant chlorine and caustic soda continues to move higher.
"I'm shifting my fundamental thesis on Olin from one of more caution, to one of more bullishness," Wolf Report writes in a bullish analysis posted recently on Seeking Alpha .
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Olin sinks after slashing Q3 adjusted EBITDA guidance