Huntsman Corporation (HUN)

Huntsman Corporation (HUN) Materials & Commodity Exposure

Huntsman Corporation is a global manufacturer of differentiated organic chemical products, operating through four segments. With a focus on polyurethanes, performance products, advanced materials, and textile effects, Huntsman serves diverse industries including aerospace, automotive, and construction. The company distinguishes itself through a broad product portfolio and global reach.

What Is the Investment Thesis for HUN?

Huntsman Corporation presents a mixed investment thesis. The company's diversified product portfolio across four segments offers stability, while its global presence allows it to capitalize on growth in various regions. The dividend yield of 4.51% provides an income stream for investors. However, the negative profit margin of -5.7% raises concerns about profitability. Key catalysts include potential growth in the aerospace and automotive sectors, driving demand for advanced materials. Potential risks include fluctuations in raw material prices and economic downturns affecting demand. Investors should closely monitor the company's ability to improve profitability and manage costs effectively.

Based on FMP financials and quantitative analysis

HUN Key Highlights

• Market capitalization of $1.84B reflects the company's current valuation in the market.
• Dividend yield of 4.51% offers an attractive income stream for investors.
• Beta of 0.60 indicates lower volatility compared to the overall market.
• Gross margin of 12.9% shows the percentage of revenue exceeding the cost of goods sold.
• Operates through four segments: Polyurethanes, Performance Products, Advanced Materials, and Textile Effects.

Who Are HUN's Competitors?

HUN is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are HUN's Key Strengths?

• Diversified product portfolio.
• Global presence.
• Technical expertise.
• Strong customer relationships.

What Are HUN's Weaknesses?

• Negative profit margin.
• Sensitivity to economic cycles.
• Exposure to raw material price fluctuations.
• Dependence on specific industries.

What Could Drive HUN Stock Higher?

• Potential growth in the aerospace sector driving demand for advanced materials.
• Automotive industry's shift towards electric vehicles creating opportunities for polyurethane materials.
• Increasing demand for sustainable and eco-friendly textile chemicals.
• Construction industry's demand for high-performance insulation materials.
• Expansion in emerging markets, particularly in Asia-Pacific.

What Are the Key Risks for HUN?

• Financial-distress signal — its Altman Z-Score of 1.38 sits in the distress zone (elevated bankruptcy risk).
• Negative return on equity (-11.8%) — the business is not currently generating profit on shareholder capital.
• Weak fundamentals — a Piotroski F-Score of 2/9 flags soft profitability, leverage or efficiency.
• Economic downturns affecting demand for chemical products.
• Increased competition from other chemical manufacturers.
• Regulatory changes impacting environmental compliance.
• Raw material price volatility affecting profitability.
• Disruptions in global supply chains.

What Are the Growth Opportunities for HUN?

• Growth opportunity 1: Expansion in the aerospace sector presents a significant opportunity for Huntsman's Advanced Materials segment. The increasing demand for lightweight and high-performance materials in aircraft manufacturing drives the need for Huntsman's epoxy and acrylic-based polymer formulations. This market is projected to grow at a rate of 6% annually, reaching $25 billion by 2030. Huntsman's competitive advantage lies in its ability to provide customized solutions and technical expertise to aerospace customers.
• Growth opportunity 2: The automotive industry's shift towards electric vehicles (EVs) creates opportunities for Huntsman's Polyurethanes segment. Polyurethane materials are used in EV battery systems, interiors, and structural components. The EV market is expected to grow rapidly, with global sales projected to reach 30 million units by 2030. Huntsman can capitalize on this trend by developing innovative polyurethane solutions that meet the specific needs of EV manufacturers.
• Growth opportunity 3: Increasing demand for sustainable and eco-friendly textile chemicals drives growth in Huntsman's Textile Effects segment. Consumers and brands are increasingly seeking textiles produced with environmentally responsible processes and materials. Huntsman can leverage this trend by offering innovative textile chemicals and dyes that reduce water consumption, energy usage, and waste generation. The market for sustainable textile chemicals is projected to grow at a rate of 8% annually.
• Growth opportunity 4: The construction industry's demand for high-performance insulation materials presents an opportunity for Huntsman's Polyurethanes segment. Polyurethane insulation provides excellent thermal performance, reducing energy consumption in buildings. The construction industry is expected to grow globally, driven by urbanization and infrastructure development. Huntsman can capitalize on this trend by offering innovative polyurethane insulation solutions that meet stringent energy efficiency standards.
• Growth opportunity 5: Expansion in emerging markets, particularly in Asia-Pacific, offers significant growth potential for Huntsman across all its segments. Rapid economic growth and increasing industrialization in countries like China and India drive demand for Huntsman's chemical products. Huntsman can leverage its global presence and established distribution networks to capitalize on these growth opportunities. The Asia-Pacific region is projected to account for 40% of global chemical demand by 2030.

What Opportunities Does HUN Have?

• Expansion in emerging markets.
• Growth in the aerospace and automotive sectors.
• Increasing demand for sustainable products.
• Development of innovative solutions.

What Threats Does HUN Face?

• Economic downturns.
• Increased competition.
• Regulatory changes.
• Raw material price volatility.

What Are HUN's Competitive Advantages?

• Diversified product portfolio across multiple segments.
• Global presence and established distribution networks.
• Technical expertise and customized solutions.
• Strong relationships with key customers in various industries.

What Does HUN Do?

Founded in 1970 and headquartered in The Woodlands, Texas, Huntsman Corporation has evolved into a global manufacturer of differentiated organic chemical products. The company operates through four segments: Polyurethanes, Performance Products, Advanced Materials, and Textile Effects. The Polyurethanes segment offers polyurethane chemicals such as methyl diphenyl diisocyanate, polyols, and thermoplastic polyurethane. The Performance Products segment manufactures amines and maleic anhydrides, including ethylene oxide and propylene oxide. The Advanced Materials segment provides epoxy, acrylic, and polyurethane-based polymer formulations. The Textile Effects segment offers textile chemicals and dyes. Huntsman's products are used in a wide array of applications, including adhesives, aerospace, automotive, construction, electronics, insulation, and packaging. The company's global presence enables it to serve diverse markets and industries, contributing to its competitive positioning within the chemicals sector.

What Products and Services Does HUN Offer?

• Manufactures polyurethane chemicals, including methyl diphenyl diisocyanate and polyols.
• Produces performance products such as amines and maleic anhydrides.
• Offers advanced materials like epoxy, acrylic, and polyurethane-based polymer formulations.
• Provides textile chemicals and dyes.
• Supplies products for adhesives, aerospace, and automotive applications.
• Serves the construction, electronics, and insulation industries.
• Offers solutions for medical, packaging, and coatings applications.

How Does HUN Make Money?

• Manufactures and sells differentiated organic chemical products.
• Operates through four segments: Polyurethanes, Performance Products, Advanced Materials, and Textile Effects.
• Generates revenue from sales to various industries, including aerospace, automotive, and construction.
• Focuses on providing customized solutions and technical expertise to customers.

What Industry Does HUN Operate In?

Huntsman Corporation operates in the chemicals industry, which is characterized by cyclical demand and sensitivity to economic conditions. The industry is driven by demand from sectors such as construction, automotive, and consumer goods. Key trends include a focus on sustainable and environmentally friendly products. Huntsman competes with other major chemical manufacturers, including The Chemours Company (CC). The industry is subject to regulations regarding environmental protection and safety.

Who Are HUN's Key Customers?

• Aerospace companies requiring high-performance materials.
• Automotive manufacturers using polyurethane in vehicle components.
• Construction companies needing insulation materials.
• Textile manufacturers utilizing dyes and chemicals.
• Packaging companies requiring adhesives and coatings.

ROE -12%Key Financial Metrics

Return on equity for Huntsman Corporation stands at -11.8%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is -4.5%, showing how much profit it generates from its asset base. Its free cash flow yield is 7.2%, a gauge of the cash the business throws off relative to its market value. A current ratio of 1.18 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is -17.6%, the inverse of the P/E and a quick read on earnings relative to price.

Huntsman Corporation (HUN) Valuation Context

Valued at $1.84B, HUN is classified as a small-cap stock. Relative to its peer group, HUN's quantitative score of 42/100 is below the peer average of 53/100.

Company Profile

Huntsman Corporation operates in the Chemicals industry within the Basic Materials sector. It is headquartered in The Woodlands, US. The company is led by CEO Peter R. Huntsman. HUN has traded publicly since 2005.

F-Score 2/9Financial Health

Huntsman Corporation's Piotroski F-Score is 2/9, a 9-point checklist of profitability, leverage and efficiency — flagging fundamental weakness worth scrutiny. Its Altman Z-Score of 1.38 places it in the distress zone, a signal of elevated financial risk.

FY2026 estForward Outlook

Wall Street analysts project Huntsman Corporation revenue of about $6.03B for fiscal 2026, with EPS near $-0.16. The estimate reflects 10 contributing analysts.

Net buyingInsider Activity

Over the past six months, Huntsman Corporation insiders filed 15 SEC Form 4 transactions — 10 sales and 5 purchases. On net that is roughly 77K shares acquired (about $149K) — insiders putting money in tends to read as conviction.

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Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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