HUNTSMAN CORP (HUN) Stock Fundamental Analysis
NYSE:HUN - New York Stock Exchange, Inc. - US4470111075 - Common Stock - Currency: USD
Overall HUN gets a fundamental rating of 3 out of 10. We evaluated HUN against 85 industry peers in the Chemicals industry. HUN may be in some trouble as it scores bad on both profitability and health. HUN does not seem to be growing, but still is valued expensively. HUN also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year HUN has reported negative net income.
In the past year HUN had a positive cash flow from operations.
Of the past 5 years HUN 4 years were profitable.
HUN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
HUN's Return On Assets of -2.17% is on the low side compared to the rest of the industry. HUN is outperformed by 67.06% of its industry peers.
HUN's Return On Equity of -5.37% is on the low side compared to the rest of the industry. HUN is outperformed by 61.18% of its industry peers.
The Return On Invested Capital of HUN (1.19%) is worse than 74.12% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for HUN is below the industry average of 7.01%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.17% | ||
| ROE | -5.37% | ||
| ROIC | 1.19% |
ROA(3y)1.44%
ROA(5y)5.47%
ROE(3y)3.16%
ROE(5y)12.59%
ROIC(3y)3.85%
ROIC(5y)4.46%
1.3 Margins
HUN has a Operating Margin of 1.44%. This is in the lower half of the industry: HUN underperforms 76.47% of its industry peers.
HUN's Operating Margin has declined in the last couple of years.
HUN's Gross Margin of 14.49% is on the low side compared to the rest of the industry. HUN is outperformed by 72.94% of its industry peers.
HUN's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.44% | ||
| PM (TTM) | N/A | ||
| GM | 14.49% |
OM growth 3Y-50.02%
OM growth 5Y-28.11%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-11.43%
GM growth 5Y-6.74%
2. Health
2.1 Basic Checks
HUN has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
HUN has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, HUN has less shares outstanding
The debt/assets ratio for HUN is higher compared to a year ago.
2.2 Solvency
HUN has an Altman-Z score of 1.70. This is a bad value and indicates that HUN is not financially healthy and even has some risk of bankruptcy.
HUN has a worse Altman-Z score (1.70) than 60.00% of its industry peers.
The Debt to FCF ratio of HUN is 25.71, which is on the high side as it means it would take HUN, 25.71 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of HUN (25.71) is comparable to the rest of the industry.
HUN has a Debt/Equity ratio of 0.57. This is a neutral value indicating HUN is somewhat dependend on debt financing.
HUN's Debt to Equity ratio of 0.57 is in line compared to the rest of the industry. HUN outperforms 56.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.57 | ||
| Debt/FCF | 25.71 | ||
| Altman-Z | 1.7 |
ROIC/WACC0.15
WACC8.13%
2.3 Liquidity
A Current Ratio of 1.48 indicates that HUN should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.48, HUN is doing worse than 67.06% of the companies in the same industry.
A Quick Ratio of 0.82 indicates that HUN may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.82, HUN is doing worse than 75.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.48 | ||
| Quick Ratio | 0.82 |
3. Growth
3.1 Past
The earnings per share for HUN have decreased strongly by -220.00% in the last year.
HUN shows a small growth in Revenue. In the last year, the Revenue has grown by 0.02%.
Measured over the past years, HUN shows a decrease in Revenue. The Revenue has been decreasing by -2.35% on average per year.
EPS 1Y (TTM)-220%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-83.33%
Revenue 1Y (TTM)0.02%
Revenue growth 3Y-7.68%
Revenue growth 5Y-2.35%
Sales Q2Q%-4.08%
3.2 Future
HUN is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 153.19% yearly.
Based on estimates for the next years, HUN will show a small growth in Revenue. The Revenue will grow by 2.60% on average per year.
EPS Next Y-239.74%
EPS Next 2Y187.87%
EPS Next 3Y153.19%
EPS Next 5YN/A
Revenue Next Year-1.35%
Revenue Next 2Y1.86%
Revenue Next 3Y2.6%
Revenue Next 5YN/A
3.3 Evolution
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 negative for HUN. In the last year negative earnings were reported.
The Price/Forward Earnings ratio is 26.43, which means the current valuation is very expensive for HUN.
Based on the Price/Forward Earnings ratio, HUN is valued a bit more expensive than the industry average as 65.88% of the companies are valued more cheaply.
HUN is valuated rather expensively when we compare the Price/Forward Earnings ratio to 21.94, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 26.43 |
4.2 Price Multiples
HUN's Enterprise Value to EBITDA ratio is in line with the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as HUN.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.59 | ||
| EV/EBITDA | 9.75 |
4.3 Compensation for Growth
A more expensive valuation may be justified as HUN's earnings are expected to grow with 153.19% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y187.87%
EPS Next 3Y153.19%
5. Dividend
5.1 Amount
HUN has a Yearly Dividend Yield of 8.07%, which is a nice return.
The stock price of HUN dropped by -33.92% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
HUN's Dividend Yield is rather good when compared to the industry average which is at 3.70. HUN pays more dividend than 89.41% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.36, HUN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.07% |
5.2 History
On average, the dividend of HUN grows each year by 9.05%, which is quite nice.
HUN has paid a dividend for at least 10 years, which is a reliable track record.
HUN has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)9.05%
Div Incr Years4
Div Non Decr Years17
5.3 Sustainability
HUN has negative earnings and hence a negative payout ratio. The dividend may be in danger.
HUN's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP-110.83%
EPS Next 2Y187.87%
EPS Next 3Y153.19%
11.63
-0.09 (-0.77%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners87.6%
Inst Owner Change1.87%
Ins Owners5.88%
Ins Owner Change4.56%
Market Cap2.02B
Analysts67.62
Price Target14.75 (26.83%)
Short Float %4.64%
Short Ratio1.83
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.07% |
Yearly Dividend1.01
Dividend Growth(5Y)9.05%
DP-110.83%
Div Incr Years4
Div Non Decr Years17
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-76.47%
Min EPS beat(2)-152.09%
Max EPS beat(2)-0.84%
EPS beat(4)1
Avg EPS beat(4)-37.63%
Min EPS beat(4)-152.09%
Max EPS beat(4)4.35%
EPS beat(8)1
Avg EPS beat(8)-27.85%
EPS beat(12)3
Avg EPS beat(12)-20.94%
EPS beat(16)7
Avg EPS beat(16)-13.35%
Revenue beat(2)0
Avg Revenue beat(2)-3.33%
Min Revenue beat(2)-6.25%
Max Revenue beat(2)-0.41%
Revenue beat(4)0
Avg Revenue beat(4)-2.91%
Min Revenue beat(4)-6.25%
Max Revenue beat(4)-0.41%
Revenue beat(8)1
Avg Revenue beat(8)-2.39%
Revenue beat(12)2
Avg Revenue beat(12)-2.31%
Revenue beat(16)3
Avg Revenue beat(16)-3.03%
PT rev (1m)-28.24%
PT rev (3m)-31.64%
EPS NQ rev (1m)-174.04%
EPS NQ rev (3m)-123.61%
EPS NY rev (1m)-2192.98%
EPS NY rev (3m)-140.41%
Revenue NQ rev (1m)-6.84%
Revenue NQ rev (3m)-7.69%
Revenue NY rev (1m)-4.79%
Revenue NY rev (3m)-5.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 26.43 | ||
| P/S | 0.34 | ||
| P/FCF | 26.59 | ||
| P/OCF | 7.96 | ||
| P/B | 0.69 | ||
| P/tB | 1.03 | ||
| EV/EBITDA | 9.75 |
EPS(TTM)-0.12
EYN/A
EPS(NY)0.44
Fwd EY3.78%
FCF(TTM)0.44
FCFY3.76%
OCF(TTM)1.46
OCFY12.57%
SpS34.39
BVpS16.83
TBVpS11.24
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.17% | ||
| ROE | -5.37% | ||
| ROCE | 1.51% | ||
| ROIC | 1.19% | ||
| ROICexc | 1.27% | ||
| ROICexgc | 1.55% | ||
| OM | 1.44% | ||
| PM (TTM) | N/A | ||
| GM | 14.49% | ||
| FCFM | 1.27% |
ROA(3y)1.44%
ROA(5y)5.47%
ROE(3y)3.16%
ROE(5y)12.59%
ROIC(3y)3.85%
ROIC(5y)4.46%
ROICexc(3y)4.26%
ROICexc(5y)5.51%
ROICexgc(3y)5.21%
ROICexgc(5y)6.86%
ROCE(3y)4.87%
ROCE(5y)5.65%
ROICexcg growth 3Y-54.19%
ROICexcg growth 5Y-26.52%
ROICexc growth 3Y-53.71%
ROICexc growth 5Y-28.3%
OM growth 3Y-50.02%
OM growth 5Y-28.11%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-11.43%
GM growth 5Y-6.74%
F-Score5
Asset Turnover0.83
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.57 | ||
| Debt/FCF | 25.71 | ||
| Debt/EBITDA | 4.45 | ||
| Cap/Depr | 61.59% | ||
| Cap/Sales | 2.98% | ||
| Interest Coverage | 1.18 | ||
| Cash Conversion | 67.73% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.48 | ||
| Quick Ratio | 0.82 | ||
| Altman-Z | 1.7 |
F-Score5
WACC8.13%
ROIC/WACC0.15
Cap/Depr(3y)81.07%
Cap/Depr(5y)89.35%
Cap/Sales(3y)3.4%
Cap/Sales(5y)3.76%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-220%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-83.33%
EPS Next Y-239.74%
EPS Next 2Y187.87%
EPS Next 3Y153.19%
EPS Next 5YN/A
Revenue 1Y (TTM)0.02%
Revenue growth 3Y-7.68%
Revenue growth 5Y-2.35%
Sales Q2Q%-4.08%
Revenue Next Year-1.35%
Revenue Next 2Y1.86%
Revenue Next 3Y2.6%
Revenue Next 5YN/A
EBIT growth 1Y115%
EBIT growth 3Y-53.86%
EBIT growth 5Y-29.79%
EBIT Next Year247.32%
EBIT Next 3Y74.29%
EBIT Next 5YN/A
FCF growth 1Y-82.16%
FCF growth 3Y-49.41%
FCF growth 5Y-33.84%
OCF growth 1Y-62.37%
OCF growth 3Y-34.87%
OCF growth 5Y-21.76%