ADRs in Focus: Cemex ADRs climb

Citi Investment Research analyst Stephen Trent maintained his $42 price target on the ADR in a note to investors, implying he expects the stock to gain 42 percent in the next 12 months.

Trent said he is pleased that Cemex has maintained its guidance for the year nearly a month after reporting its first-quarter earnings on April 21, and the stock has performed well since.

"In our experience, this is not a management team that makes a habit of missing its guidance," he said.

For the first quarter, Cemex said its EBITDA -or earnings before interest, taxes and amortization -rose 10 percent to $951 million. The company predicted full-year EBITDA of $5.6 billion.

Shares have climbed 8 percent from the April 22 close of $27.38.

In addition, the stock has held up well in a volatile market, he said, and has been helped by the relatively low first-quarter contribution from weaker U.S. markets.

On Friday, Cemex shares rose 92 cents, or 3.1 percent, to $30.49.

Broader ADR markets traded higher. At midday, the Bank of New York Latin America ADR Index climbed 6.90 points, or 1.4 percent, to 497.92.

The Bank of New York Composite ADR Index added 1.13 points to 187.93.

ADRs, or American Depositary Receipts, are securities that allow overseas companies to trade on U.S. markets.