NYSE:HUN

Stock Analysis Report

Executive Summary

Huntsman Corporation manufactures and sells differentiated organic chemical products worldwide.


Snowflake Analysis

Excellent balance sheet established dividend payer.


Similar Companies

Share Price & News

How has Huntsman's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: HUN's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-9.2%

HUN

-4.4%

US Chemicals

-2.0%

US Market


1 Year Return

-46.3%

HUN

-33.8%

US Chemicals

-15.1%

US Market

Return vs Industry: HUN underperformed the US Chemicals industry which returned -33.6% over the past year.

Return vs Market: HUN underperformed the US Market which returned -14.9% over the past year.


Shareholder returns

HUNIndustryMarket
7 Day-9.2%-4.4%-2.0%
30 Day-30.8%-24.7%-19.7%
90 Day-44.1%-31.1%-23.2%
1 Year-44.5%-46.3%-29.5%-33.8%-13.4%-15.1%
3 Year-43.4%-47.6%-12.7%-29.6%10.9%3.7%
5 Year-32.8%-41.6%-3.5%-24.5%28.4%14.4%

Price Volatility Vs. Market

How volatile is Huntsman's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Huntsman undervalued compared to its fair value and its price relative to the market?

7.53x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: HUN ($12.93) is trading above our estimate of fair value ($12.25)

Significantly Below Fair Value: HUN is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: HUN is good value based on its PE Ratio (7.5x) compared to the Chemicals industry average (14.1x).

PE vs Market: HUN is good value based on its PE Ratio (7.5x) compared to the US market (12.5x).


Price to Earnings Growth Ratio

PEG Ratio: HUN is poor value based on its PEG Ratio (1.7x)


Price to Book Ratio

PB vs Industry: HUN is good value based on its PB Ratio (1.1x) compared to the US Chemicals industry average (1.4x).


Next Steps

Future Growth

How is Huntsman forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

4.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HUN's forecast earnings growth (4.4% per year) is above the savings rate (1.7%).

Earnings vs Market: HUN's earnings (4.4% per year) are forecast to grow slower than the US market (12.2% per year).

High Growth Earnings: HUN's earnings are forecast to grow, but not significantly.

Revenue vs Market: HUN's revenue (2.3% per year) is forecast to grow slower than the US market (7.1% per year).

High Growth Revenue: HUN's revenue (2.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: HUN's Return on Equity is forecast to be low in 3 years time (13.8%).


Next Steps

Past Performance

How has Huntsman performed over the past 5 years?

16.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HUN has high quality earnings.

Growing Profit Margin: HUN's current net profit margins (5.8%) are higher than last year (4.9%).


Past Earnings Growth Analysis

Earnings Trend: HUN's earnings have grown by 16% per year over the past 5 years.

Accelerating Growth: HUN's earnings growth over the past year (4.5%) is below its 5-year average (16% per year).

Earnings vs Industry: HUN earnings growth over the past year (4.5%) exceeded the Chemicals industry -11.3%.


Return on Equity

High ROE: HUN's Return on Equity (15.2%) is considered low.


Next Steps

Financial Health

How is Huntsman's financial position?


Financial Position Analysis

Short Term Liabilities: HUN's short term assets ($3.8B) exceed its short term liabilities ($2.0B).

Long Term Liabilities: HUN's short term assets ($3.8B) exceed its long term liabilities ($3.5B).


Debt to Equity History and Analysis

Debt Level: HUN's debt to equity ratio (84.6%) is considered high.

Reducing Debt: HUN's debt to equity ratio has reduced from 263.2% to 84.6% over the past 5 years.

Debt Coverage: HUN's debt is well covered by operating cash flow (37.5%).

Interest Coverage: HUN's interest payments on its debt are well covered by EBIT (4.1x coverage).


Balance Sheet

Inventory Level: HUN has a high level of physical assets or inventory.

Debt Coverage by Assets: HUN's debt is covered by short term assets (assets are 1.6x debt).


Next Steps

Dividend

What is Huntsman's current dividend yield, its reliability and sustainability?

5.03%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: HUN's dividend (5.03%) is higher than the bottom 25% of dividend payers in the US market (2.04%).

High Dividend: HUN's dividend (5.03%) is low compared to the top 25% of dividend payers in the US market (5.7%).


Stability and Growth of Payments

Stable Dividend: HUN's dividends per share have been stable in the past 10 years.

Growing Dividend: HUN's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (37.9%), HUN's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: HUN's dividends in 3 years are forecast to be well covered by earnings (37.1% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

8.8yrs

Average management tenure


CEO

Peter Huntsman (56yo)

19.75s

Tenure

US$16,468,951

Compensation

Mr. Peter R. Huntsman has been the Chief Executive Officer and President of Huntsman Corporation since July 2000 and 1994 respectively. Mr. Huntsman has been Executive Chairman of Huntsman Corporation sinc ...


CEO Compensation Analysis

Compensation vs Market: Peter's total compensation ($USD16.47M) is above average for companies of similar size in the US market ($USD5.63M).

Compensation vs Earnings: Peter's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Peter Huntsman
Chairman19.75yrsUS$16.47m3.38% $97.5m
Sean Douglas
Executive VP & CFO3.25yrsUS$3.51m0.077% $2.2m
David Stryker
Executive VP6.83yrsUS$3.27m0.10% $3.0m
R. Rogers
Senior Vice President of Global Human Resources10.67yrsUS$2.57m0.18% $5.1m
Anthony Hankins
Division President of Polyurethanes & CEO of Asia-Pacificno dataUS$5.12m0.23% $6.6m
Twila Day
VP & Chief Information Officer1.42yrsno datano data
John Calder
Director of Investor Relationsno datano datano data
Philip Lister
Vice President of Corporate Development0.92yrno datano data
Brian Ridd
Senior Vice President of Purchasing19.75yrsno datano data
Ronald Gerrard
Senior VP of Environmental10.83yrsno data0.079% $2.3m

8.8yrs

Average Tenure

57yo

Average Age

Experienced Management: HUN's management team is seasoned and experienced (8.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Peter Huntsman
Chairman19.75yrsUS$16.47m3.38% $97.5m
Nolan Archibald
Vice Chairman & Lead Independent Director8.92yrsUS$400.00k0.23% $6.7m
Robert Margetts
Independent Director9.67yrsUS$320.00kno data
M. Burns
Independent Director10.08yrsUS$370.00k0.038% $1.1m
Wayne Reaud
Independent Director15.08yrsUS$350.00k0.62% $17.8m
Mary Beckerle
Independent Director8.92yrsUS$330.00k0.0077% $223.1k
Daniele Ferrari
Independent Director2.08yrsUS$306.67kno data
Jan Tighe
Independent Director1.17yrsUS$255.00kno data

8.9yrs

Average Tenure

67.5yo

Average Age

Experienced Board: HUN's board of directors are considered experienced (8.9 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: HUN insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Huntsman Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Huntsman Corporation
  • Ticker: HUN
  • Exchange: NYSE
  • Founded: 1970
  • Industry: Diversified Chemicals
  • Sector: Materials
  • Market Cap: US$2.883b
  • Shares outstanding: 222.95m
  • Website: https://www.huntsman.com

Number of Employees


Location

  • Huntsman Corporation
  • 10003 Woodloch Forest Drive
  • The Woodlands
  • Texas
  • 77380
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HTRDB (Deutsche Boerse AG)YesCommon StockDEEURFeb 2005
HUNNYSE (New York Stock Exchange)YesCommon StockUSUSDFeb 2005
HTRBRSE (Berne Stock Exchange)YesCommon StockCHCHFFeb 2005

Biography

Huntsman Corporation manufactures and sells differentiated organic chemical products worldwide. The company operates in four segments: Polyurethanes, Performance Products, Advanced Materials, and Textile Effects. The Polyurethanes segment offers polyurethane chemicals, including methyl diphenyl diisocyanate, polyols, thermoplastic polyurethane, propylene oxide, and methyl tertiary-butyl ether products. The Performance Products segment manufactures amines, maleic anhydrides, surfactants, linear alkyl-benzene, ethylene glycol, ethylene oxide, olefins, and technology licenses. The Advanced Materials segment offers epoxy, acrylic, and polyurethane-based polymers formulations; high performance thermoset resins and curing agents; and base liquid and solid resins. The Textile Effects segment provides textile chemicals, dyes, and inks. The company’s products are used in a range of applications, including adhesives, aerospace, automotive, construction products, personal care and hygiene, durable and non-durable consumer products, digital inks, electronics, medical, packaging, coatings and construction, power generation, refining, synthetic fiber, textile chemicals, and dye industries. Huntsman Corporation was founded in 1970 and is headquartered in The Woodlands, Texas. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/03 23:59
End of Day Share Price2020/04/03 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.