'no painting over EPS cuts' at BASF, Berenberg cuts to 'sell'

** Berenberg downgrades German chemicals company BASF BAS to "sell" over EPS cuts and thin dividend coverage

** The market's muted reaction to a recent divestment of majority of coatings business suggests the stock's multi-year EUR 40/per share support level "may finally be ready to fall," the broker says

** Berenberg believes adroit portfolio management is proving "largely ineffectual" due to a tough macro environment, weak demand and low petrochemical margins

** Overcapacity in China is unlikely to be fixed by its next five-year plan in March 2026, Berenberg adds

** Berenberg cuts its 2026/27 EPS estimates by an average of 10%

** Among 27 analysts covering BASF, only four rate it "sell" while ten rate the stock "hold," and 13 "buy" or "strong buy" -LSEG data