Daily Stock Analysis: Huntsman Corporation

By Fredrik Arnold

Tuesday, December 13, 2022 3:22 AM EST

Huntsman Corp bears the ticker symbol (HUN), and this is my first mention of Huntsman Corp for my new Viking Portfolio. However, I have previously reviewed HUN for one or more of my previous seven Dog of The Week Portfolios.

Huntsman Corp is a US-based manufacturer of differentiated organic chemical products.

The company's products are used in adhesives, aerospace, automotive, construction products, among others. Its operating segments are Polyurethanes, Performance Products, Advanced Materials, and Textile Effects.

It derives most of its revenue from the Polyurethanes segment which includes MDI, polyols, TPU (thermoplastic polyurethane), and other polyurethane-related products.

Its geographical segments are the United States & Canada, Europe, Asia- Pacific, and the Rest of the world.

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

Three key data points gauge

Huntsman Corp:

(1) Price

(2) Dividends

(3) Returns

Those three basic keys best tell whether any company has made, is making, and will make money.

HUN Price

Huntsman’s price per share was $28.02 at Monday’s market close. And, in the past year, Huntsman’s share price fell by $3.92 or about 12.27%.

If Huntsman’s stock trades in the range of $16.00 to $40.00 this next year, its recent $28.02 share price might reach $30.50 by next year. My upside increase estimate of $2.48 reflects the median of one year price target estimates from 16 analysts.

HUN Dividends

Huntsman Corp’s most recently declared quarterly dividend of $0.2125 per share, equals $0.85 annually and casts an annual yield of 3.03%.

HUN Returns

Adding the $0.85 annual estimated HUN dividend to my one-year price upside estimate of $2.48 reveals a $3.33 potential gross gain per share.

At Monday’s $28.02 closing price, a little over $1000 would buy 36 shares.

A $10 broker fee (if charged), paid half at purchase and half at sale, might cost us about $0.28 per share.

Subtract that maybe $0.28 brokerage cost from my estimated $3.33 gross gain makes a net gain of $3.05 X 36 shares = $109.80 for a 10.9% net gain including a 3.03% annual dividend yield.

In one year our $1K investment in shares of Huntsman Corp would generate $30.30 in cash dividends. Of course, a single share of HUN stock at Monday's $28.02 price is $1.98 less than the annual dividend income from our $1000.00 investment.

So, by my dogcatcher ideal, this is the right time to buy HUN shares based on their dividends for the coming year 2023. The current dividend from $1K invested is $1.98 more than Huntsman Corp’s single share price. Consider yourself alerted.

All of the estimates above are speculation based on the past history of Huntsman Corp. Only time and money invested in this stock will determine its market value.

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Disclaimer: This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a solicitation, ...

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