HUN

Huntsman Corporation

Industrial/Transportation


Presented:07/08/2014
Price:$27.35
Cap:$6.64B
Current Price:$23.37
Cap:$4.04B

Presented

Date07/08/2014
Price$27.35
Market Cap$6.64B
Ent Value$10.42B
P/E Ratio16.88x
Book Value$7.30
Div Yield2.2%
Shares O/S242.78M
Ave Daily Vol2,960,000
Short Int3.92%

Current

Price$23.37
Market Cap$4.04B
Huntsman Corporation, together with its subsidiaries, manufactures and sells differentiated organic and inorganic chemical products worldwide. The company operates in five segments: Polyurethanes, Performance Products, Advanced Materials, Textile Effects, and Pigments. The Polyurethanes segment offers polyurethane chemicals, including methyl diphenyl diisocyanate, propylene oxide, polyols, propylene glycol, thermoplastic polyurethane, aniline, and methyl tertiary-butyl ether products, which are used to produce rigid and flexible foams, as well as coatings, adhesives, sealants, and elastomers. The Performance Products segment provides amines, carbonates, surfactants, linear alkyl benzene, maleic anhydride, other performance chemicals, ethylene glycol, olefins, and technology licenses. The Advanced Materials segment offers liquid and solid epoxy resins; specialty resin compounds; cross-linking, matting, and curing agents; and epoxy, acrylic, and polyurethane-based formulations. The Textile Effects segment provides textile chemicals and dyes. The Pigments segment offers titanium dioxide. The company’s products are used for various applications in adhesives, aerospace, automotive, construction products, personal care and hygiene, durable and non-durable consumer products, electronics, medical, packaging, paints and coatings, power generation, refining, synthetic fiber, textile chemicals, and dye industries. Huntsman Corporation was founded in 1970 and is based in Salt Lake City, Utah.

Publicly traded companies mentioned herein: E. I. du Pont de Nemours and Company (DD), Huntsman Corporation (HUN), Rockwood Holdings, Inc. (ROC), Tronox Limited (TROX)

Highlights

A combination of a cyclical recovery, restructuring initiatives and a smart deal to acquire Rockwood’s pigments business should provide investors in Huntsman (HUN) with solid gains over the next two years. The presenter is long shares of the global manufacturer of chemicals and pigments, and believes the stock could be worth as much as $40-45 over the next 12-24 months.

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Idea Discussion

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