Ahead of the Bell: Albemarle slips premarket

Analyst Jeffrey J. Zekauskas lowered Albemarle to "Neutral" from "Overweight" in a note to investors, pointing out the stock has appreciated rapidly since January and has outperformed the Standard & Poor's 500 index.

Shares of Albemarle gained about 39 percent from a 52-week low of $31.99 on Jan. 22.

The stock's rise reflects the company's healthy growth, he said, particularly in its refinery catalysts segment, which were the major driver of profits in the first quarter.

In April, Albemarle said its first-quarter profit climbed 9 percent, while its catalyst segment reported a 37 percent jump in income.

Zekauskas maintained his earnings outlook for the Richmond, Va.-based company. He expects $2.75 per share in 2008 and $3.15 in 2009.

Analysts polled by Thomson Financial predict 2008 earnings of $2.76 per share and $3.20 per share for 2009, on average.

Albemarle shares lost 75 cents to $43.55 before the opening bell. They closed at $44.30 on Thursday.