HUNTSMAN CORP (HUN)
US4470111075 - Common Stock
HUN gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 83 industry peers in the Chemicals industry. Both the profitability and financial health of HUN have multiple concerns. While showing a medium growth rate, HUN is valued expensive at the moment. HUN also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
HUN had positive earnings in the past year.
In the past year HUN had a positive cash flow from operations.
HUN had positive earnings in each of the past 5 years.
Each year in the past 5 years HUN had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of -1.18%, HUN is not doing good in the industry: 69.88% of the companies in the same industry are doing better.
HUN has a Return On Equity of -2.85%. This is in the lower half of the industry: HUN underperforms 67.47% of its industry peers.
HUN has a Return On Invested Capital of 0.53%. This is in the lower half of the industry: HUN underperforms 68.67% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for HUN is in line with the industry average of 6.66%.
The last Return On Invested Capital (0.53%) for HUN is well below the 3 year average (6.17%), which needs to be investigated, but indicates that HUN had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.18% | ||
| ROE | -2.85% | ||
| ROIC | 0.53% |
ROA(3y)6.04%
ROA(5y)7.35%
ROE(3y)13.28%
ROE(5y)18.1%
ROIC(3y)6.17%
ROIC(5y)5.32%
1.3 Margins
HUN's Profit Margin has declined in the last couple of years.
HUN has a Operating Margin of 0.67%. This is in the lower half of the industry: HUN underperforms 68.67% of its industry peers.
HUN's Operating Margin has declined in the last couple of years.
HUN has a Gross Margin of 14.03%. This is in the lower half of the industry: HUN underperforms 75.90% of its industry peers.
HUN's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.67% | ||
| PM (TTM) | N/A | ||
| GM | 14.03% |
OM growth 3Y-24.67%
OM growth 5Y-31.18%
PM growth 3Y-54.18%
PM growth 5Y-17.9%
GM growth 3Y-6.74%
GM growth 5Y-8.57%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), HUN is destroying value.
The number of shares outstanding for HUN has been reduced compared to 1 year ago.
HUN has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, HUN has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 1.95 indicates that HUN is not a great score, but indicates only limited risk for bankruptcy at the moment.
HUN has a Altman-Z score of 1.95. This is comparable to the rest of the industry: HUN outperforms 46.99% of its industry peers.
The Debt to FCF ratio of HUN is 28.56, which is on the high side as it means it would take HUN, 28.56 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 28.56, HUN is not doing good in the industry: 60.24% of the companies in the same industry are doing better.
HUN has a Debt/Equity ratio of 0.53. This is a neutral value indicating HUN is somewhat dependend on debt financing.
HUN has a Debt to Equity ratio (0.53) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.53 | ||
| Debt/FCF | 28.56 | ||
| Altman-Z | 1.95 |
ROIC/WACC0.07
WACC7.19%
2.3 Liquidity
A Current Ratio of 1.55 indicates that HUN should not have too much problems paying its short term obligations.
HUN has a worse Current ratio (1.55) than 71.08% of its industry peers.
A Quick Ratio of 0.98 indicates that HUN may have some problems paying its short term obligations.
HUN's Quick ratio of 0.98 is on the low side compared to the rest of the industry. HUN is outperformed by 73.49% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.55 | ||
| Quick Ratio | 0.98 |
3. Growth
3.1 Past
HUN shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -95.52%.
Measured over the past years, HUN shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -35.91% on average per year.
The Revenue for HUN has decreased by -19.66% in the past year. This is quite bad
The Revenue has been decreasing by -4.28% on average over the past years.
EPS 1Y (TTM)-95.52%
EPS 3Y-28.38%
EPS 5Y-35.91%
EPS Q2Q%-130%
Revenue 1Y (TTM)-19.66%
Revenue growth 3Y0.51%
Revenue growth 5Y-4.28%
Sales Q2Q%-8.47%
3.2 Future
The Earnings Per Share is expected to grow by 78.98% on average over the next years. This is a very strong growth
Based on estimates for the next years, HUN will show a quite strong growth in Revenue. The Revenue will grow by 8.52% on average per year.
EPS Next Y35.77%
EPS Next 2Y110.21%
EPS Next 3Y78.98%
EPS Next 5YN/A
Revenue Next Year3.26%
Revenue Next 2Y5.48%
Revenue Next 3Y5.32%
Revenue Next 5Y8.52%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 234.10, which means the current valuation is very expensive for HUN.
67.47% of the companies in the same industry are cheaper than HUN, based on the Price/Earnings ratio.
HUN's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 24.41.
A Price/Forward Earnings ratio of 14.72 indicates a correct valuation of HUN.
The rest of the industry has a similar Price/Forward Earnings ratio as HUN.
The average S&P500 Price/Forward Earnings ratio is at 20.59. HUN is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 234.1 | ||
| Fwd PE | 14.72 |
4.2 Price Multiples
62.65% of the companies in the same industry are cheaper than HUN, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of HUN indicates a slightly more expensive valuation: HUN is more expensive than 62.65% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 56.25 | ||
| EV/EBITDA | 17.28 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates HUN does not grow enough to justify the current Price/Earnings ratio.
A more expensive valuation may be justified as HUN's earnings are expected to grow with 78.98% in the coming years.
PEG (NY)6.54
PEG (5Y)N/A
EPS Next 2Y110.21%
EPS Next 3Y78.98%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.26%, HUN is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.07, HUN pays a better dividend. On top of this HUN pays more dividend than 87.95% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.30, HUN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.26% |
5.2 History
The dividend of HUN is nicely growing with an annual growth rate of 7.58%!
HUN has been paying a dividend for at least 10 years, so it has a reliable track record.
HUN has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)7.58%
Div Incr Years3
Div Non Decr Years16
5.3 Sustainability
HUN has negative earnings and hence a negative payout ratio. The dividend may be in danger.
The dividend of HUN is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-189.89%
EPS Next 2Y110.21%
EPS Next 3Y78.98%
HUNTSMAN CORP
NYSE:HUN (7/26/2024, 7:04:00 PM)
After market: 23.41 0 (0%)23.41
+0.34 (+1.47%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap4.05B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.26% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 234.1 | ||
| Fwd PE | 14.72 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)6.54
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.18% | ||
| ROE | -2.85% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 0.67% | ||
| PM (TTM) | N/A | ||
| GM | 14.03% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.53 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.55 | ||
| Quick Ratio | 0.98 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-95.52%
EPS 3Y-28.38%
EPS 5Y
EPS Q2Q%
EPS Next Y35.77%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-19.66%
Revenue growth 3Y0.51%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y