Huntsman (NYSE:HUN) Reaches New 12-Month Low - Should You Sell?

Key Points

• Huntsman Corporation shares have hit a new 52-week low of $8.91, with the stock priced at $9.07 during mid-day trading.
• Several research firms have downgraded Huntsman's rating, with Wall Street Zen reducing it from "hold" to "sell," while Wells Fargo cut the price target from $13.00 to $9.00.
• Huntsman recently announced a quarterly dividend of $0.25, yielding 11.0%, but its dividend payout ratio stands at -51.28%.

Huntsman Corporation (NYSE:HUN - Get Free Report) shares reached a new 52-week low during mid-day trading on Tuesday . The company traded as low as $8.91 and last traded at $9.07, with a volume of 4353250 shares traded. The stock had previously closed at $9.46.

Wall Street Analyst Weigh In

A number of research firms have issued reports on HUN. Wall Street Zen lowered shares of Huntsman from a "hold" rating to a "sell" rating in a research report on Wednesday, May 21st. Wells Fargo & Company reduced their price target on shares of Huntsman from $13.00 to $9.00 and set an "equal weight" rating for the company in a research report on Tuesday, August 5th. UBS Group reduced their price target on shares of Huntsman from $13.00 to $11.00 and set a "neutral" rating for the company in a research report on Wednesday, July 9th. The Goldman Sachs Group cut their target price on shares of Huntsman from $12.00 to $10.00 and set a "sell" rating for the company in a report on Thursday, August 7th. Finally, Mizuho cut their target price on shares of Huntsman from $14.00 to $11.00 and set a "neutral" rating for the company in a report on Tuesday, July 15th. Two research analysts have rated the stock with a sell rating, eight have given a hold rating and one has given a buy rating to the stock. Based on data from MarketBeat.com, Huntsman presently has an average rating of "Hold" and an average target price of $12.06.

Huntsman Stock Performance

The company has a current ratio of 1.43, a quick ratio of 0.85 and a debt-to-equity ratio of 0.54. The stock has a market capitalization of $1.58 billion, a PE ratio of -4.65 and a beta of 0.70. The firm's fifty day moving average price is $10.82 and its two-hundred day moving average price is $13.41.

Huntsman (NYSE:HUN - Get Free Report) last released its quarterly earnings results on Thursday, July 31st. The basic materials company reported ($0.20) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.15) by ($0.05). Huntsman had a negative net margin of 5.75% and a negative return on equity of 2.48%. The company had revenue of $1.46 billion during the quarter, compared to analyst estimates of $1.51 billion. During the same period in the prior year, the business posted $0.14 EPS. Huntsman's revenue was down 7.4% compared to the same quarter last year. As a group, equities research analysts forecast that Huntsman Corporation will post 0.32 EPS for the current year.

Huntsman Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, September 30th. Investors of record on Monday, September 15th will be paid a $0.25 dividend. The ex-dividend date of this dividend is Monday, September 15th. This represents a $1.00 dividend on an annualized basis and a yield of 11.0%. Huntsman's dividend payout ratio (DPR) is currently -51.28%.

Institutional Investors Weigh In On Huntsman

A number of institutional investors have recently added to or reduced their stakes in HUN. Hexagon Capital Partners LLC grew its stake in Huntsman by 177.9% in the 1st quarter. Hexagon Capital Partners LLC now owns 2,179 shares of the basic materials company's stock valued at $34,000 after acquiring an additional 1,395 shares during the period. IFP Advisors Inc boosted its stake in Huntsman by 197.6% during the 2nd quarter. IFP Advisors Inc now owns 3,661 shares of the basic materials company's stock worth $38,000 after purchasing an additional 2,431 shares during the last quarter. Byrne Asset Management LLC acquired a new stake in Huntsman during the 2nd quarter worth $44,000. Caitong International Asset Management Co. Ltd boosted its stake in Huntsman by 1,717.9% during the 1st quarter. Caitong International Asset Management Co. Ltd now owns 3,254 shares of the basic materials company's stock worth $51,000 after purchasing an additional 3,075 shares during the last quarter. Finally, Zions Bancorporation National Association UT acquired a new stake in Huntsman during the 1st quarter worth $53,000. Institutional investors and hedge funds own 84.81% of the company's stock.

About Huntsman

Huntsman Corporation manufactures and sells diversified organic chemical products worldwide. The company operates in three segments: Polyurethanes, Performance Products, and Advanced Materials. The Polyurethanes segment offers polyurethane chemicals, including methyl diphenyl diisocyanate, polyether and polyester polyols, and thermoplastic polyurethane; and aniline, benzene, nitrobenzene and other co-products.

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