Huntsman Corporation Formulates Success

Huntsman Corporation was founded in 1970 and is headquartered in The Woodlands, Texas.

I use three key data points gauge the value of any dividend equity or fund like Huntsman Corporation (HUN): 

(1) Price

(2) Dividends

(3) Returns

After those three, four more keys will finally unlock an equity or fund in which to invest. 

No matter what, it's the first three primary traits that best tell whether a company has made, is making, and will make money. 

HUN Price

Huntsman's price was $32.99 per share at yesterday's market close. A year ago its price was $23.99 for a gain of $9 per share in the past year.  

Assuming Huntsman's price will continue to trade in the range of $25.00 to $45.00 next year, its price could grow another $9.00 from $32.99 to $41.99 by June 7, 2019. 

HUN Dividends

Huntsman's most recently declared quarterly dividend was $0.1625 per share payable in June. That $0.1625 quarterly dividend equates to an estimated annual payout of $0.65 for 2018 which yields 2% at yesterday's $32.99 closing stock price.  

Gains For HUN?

The $9.00 estimated year over year price gain plus an anticipated dividend of$0.65 makes a projected gross annual gain of $9.65 per share, which will be reduced by the costs to trade those shares.  

$1,000.00 invested today at the $32.99 price buys 30 shares. 

A $10 broker fee paid half at purchase and half at sale subtracts $0.33 per share.

Taking that $0.33 brokerage cost out of the estimated $9.65 gross gain per share leaves a net gain of $9.32 X 30 shares = $279.60 or a 28% potential net gain on a $989.70 investment.

Therefore, Huntsman Corporation (whose ticker symbol is HUN), now shows a possible 28% net gain including a 2% dividend yield. 

Ten analysts cover this stock:

Seven say "buy" HUN

One says HUN will "outperform."

Two say "hold" the stock.

The median analyst recommendation is 1.5 or "Outperform" and their median price target is $2 below the estimated year over year number I just calculated.

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Disclosure: Graphs and charts were compiled by Rydlun & Co., LLC from data derived from www.ycharts. com; www.finance.yahoo.com; analyst mean target price by Thomson/First Call in ...

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