September 1, 2023
Dimensional Fund Advisors LP Increases Holdings in Huntsman Co.
Huntsman Co. (NYSE:HUN) recently saw an increase in its holdings by Dimensional Fund Advisors LP during the first quarter of this year. According to a filing with the Securities and Exchange Commission (SEC), Dimensional Fund Advisors LP added 0.8% to its holdings, acquiring an additional 72,604 shares of the basic materials company’s stock. The firm now owns a total of 9,501,111 shares of Huntsman, representing approximately 5.17% of the company’s worth at the end of the quarter, valued at $259,942,000.
Huntsman Corporation is a global manufacturer and marketer of differentiated and specialty chemicals used in various industries such as adhesives, coatings, insulation materials, construction products, and more. The company operates through four primary business segments: Polyurethanes, Performance Products, Advanced Materials, and Textile Effects.
Recently on August 1st, Huntsman announced its earnings results for the quarter. The basic materials company reported earnings per share (EPS) of $0.22 for the quarter, falling short of the consensus estimate of $0.30 by ($0.08). Despite this miss on EPS estimates, Huntsman demonstrated a net margin of 2.64% and a return on equity of 5.75%. However, it is important to note that the business experienced a decline in revenue compared to analyst expectations; reporting $1.60 billion for the quarter while analysts had anticipated $1.70 billion in revenue.
The decrease in revenue can be attributed to several factors including potential market challenges or shifts in consumer demand during this period compared to the same quarter last year when Huntsman posted $1.28 earnings per share with higher revenues.
Analysts are now anticipating that Huntsman Co.’s full-year earnings for the current year will be approximately $0.82 per share.
Investors and analysts continue to closely watch Huntsman Co.’s performance in the market, especially considering its recent earnings disappointment. The decision by Dimensional Fund Advisors LP to increase its holdings in this basic materials company indicates potential confidence in its long-term growth prospects, despite short-term setbacks.
As always, interested investors are advised to conduct their own research and due diligence before making any investment decisions related to Huntsman Co. (NYSE:HUN). It is essential to consider a comprehensive analysis of the company’s financials, industry trends, and competitive landscape before taking any positions in the stock.
Updated on: 07/12/2023
Debt to equity ratio: Buy
Price to earnings ratio: Strong Sell
Price to book ratio: Strong Buy
DCF: Strong Buy
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Huntsman Co. Attracts Attention and Investments from Institutional Investors and Hedge Funds
September 1, 2023: Huntsman Co., a leading basic materials company, has recently attracted the attention of institutional investors and hedge funds. Companies such as FMR LLC, Charles Schwab Investment Management Inc., Allspring Global Investments Holdings LLC, Invesco Ltd., and Norges Bank have all increased their stakes in Huntsman.
FMR LLC has boosted its investment in Huntsman by a staggering 61.7% during the first quarter of this year. This increase translates to the acquisition of an impressive 3,044,156 shares of the company’s stock, valued at $218,227,000. Similarly, Charles Schwab Investment Management Inc. has raised its stake by an astonishing 152.6%, acquiring an additional 2,639,490 shares worth $119,541,000 during the same period.
Another notable player in the market is Allspring Global Investments Holdings LLC. The firm has seen a substantial increase in their position with a growth rate of 119.8%. They now hold a total of 4,665,493 shares valued at $127,648,000. Invesco Ltd., on the other hand, grew their stake by 69.8%, purchasing an extra 1,873,388 shares during the last quarter which are currently valued at $170,921,000.
Norges Bank entered the scene more recently with a new position in Huntsman during the fourth quarter of last year. Their investment amounted to approximately $47 ,780 ,000.
Overall , hedge funds and other institutional investors now own a significant majority – 83.44% – of Huntsman’s stock.
Shares of Huntsman Co.’s stock (HUN) traded up $0.32 during mid-day trading on Friday to reach $28.19 per share . The volume was recorded at almost 100K shares compared to its average volume which is around 2 million shares. Over the past year, Huntsman stock has fluctuated between its 12-month low of $23.52 and its 12-month high of $33.46.
As for the company’s financial ratios, Huntsman Co. currently has a current ratio of 2.14 and a quick ratio of 1.28, positioning it favorably as a company with strong liquidity. Additionally, its debt-to-equity ratio stands at 0.41.
The stock’s moving averages also indicate positive prospects, with a 50-day moving average of $27.76 and a 200-day moving average of $27.21.
On another note, Huntsman Co recently announced that it will be paying out a quarterly dividend to its shareholders on Friday, September 29th . Investors who are recorded as shareholders by Friday, September15th will receive a dividend payment of $0.2375 per share.The annualized dividend amounts to $0.95 per share which corresponds to an impressive yield of approximately3 ,37%. For investors interested in these dividends , please note that the ex-dividend date is set for Thursday , September14th.
Looking at recent research analysis , various firms have weighed in on HUN stock.Therecommendations indicate diverse opinions: Morgan Stanley reaffirms an “overweight” rating with a price target of $30 ; Deutsche Bank Aktiengesellschaft lowered their price target from $29 to $27; Bank of America reduced their price objective from $24 to$22; Citigroup increased their target price from $29 to$30 with a neutral rating ; and finally,58.com reiterated an “initiates” rating.After analyzing these responses,it becomes apparent that the consensus rating for Huntsman Co.’s stock is labeled as “Hold,”with an average price target set at around$28.42 according to Bloomberg.com.
In conclusion,Huntsman Co .has successfully attracted numerous institutional investors and hedge funds who have increased their stakes in the company.The recent actions of these significant players speak volumes about their confidence in Huntsman’s prospects. The stock continues to exhibit stability and is likely to generate positive returns for its shareholders moving forward. It will be interesting to see how these latest developments impact the future performance of Huntsman in the ever-evolving market.