Huntsman Corporation [NYSE: HUN] jumped around 0.82 points on Tuesday, while shares priced at $26.05 at the close of the session, up 3.25%. The company report on December 7, 2020 that Huntsman Announces the Acquisition of Gabriel Performance Products, Further Expanding its Specialty Chemicals Portfolio.
Huntsman Corporation (NYSE: HUN) announced its agreement to acquire Gabriel Performance Products, a North American specialty chemical manufacturer of specialty additives and epoxy curing agents for the coatings, adhesives, sealants and composite end-markets, from funds owned by Audax Private Equity.
Under terms of the agreement, Huntsman will pay $250 million, subject to customary closing adjustments, in an all-cash transaction funded from available liquidity. Gabriel had 2019 revenues of approximately $106 million with three manufacturing facilities located in Ashtabula, Ohio, Harrison City, Pennsylvania and Rock Hill, South Carolina. Based on calendar year 2019, the purchase price represents an adjusted EBITDA multiple of approximately 11 times, or approximately 8 times pro forma for synergies. The transaction is expected to close in the first quarter of 2021 after regulatory approvals.
Huntsman Corporation stock is now 7.82% up from its year-to-date (YTD) trading value. HUN Stock saw the intraday high of $26.17 and lowest of $25.13 per share. The company’s 52-week high price is 26.58, which means current price is +113.00% above from all time high which was touched on 11/09/20.
Compared to the average trading volume of 1.66M shares, HUN reached a trading volume of 2188600 in the most recent trading day, which is why market watchdogs consider the stock to be active.
What do top market gurus say about Huntsman Corporation [HUN]?
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for HUN shares is $28.25 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on HUN stock is a recommendation set at 2.00. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Scotiabank have made an estimate for Huntsman Corporation shares, keeping their opinion on the stock as Sector Outperform, with their previous recommendation back on October 30, 2020. While these analysts kept the previous recommendation, Deutsche Bank raised their target price to Buy. The new note on the price target was released on October 15, 2020, representing the official price target for Huntsman Corporation stock. Previously, the target price had yet another raise to $26, while Morgan Stanley analysts kept a Overweight rating on HUN stock. On September 28, 2020, analysts increased their price target for HUN shares from 18 to 23.
The Average True Range (ATR) for Huntsman Corporation is set at 0.87, with the Price to Sales ratio for HUN stock in the period of the last 12 months amounting to 0.93. The Price to Book ratio for the last quarter was 1.79, with the Price to Cash per share for the same quarter was set at 5.45.
How has HUN stock performed recently?
Huntsman Corporation [HUN] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 3.21. With this latest performance, HUN shares gained by 6.76% in over the last four-week period, additionally plugging by 35.96% over the last 6 months – not to mention a rise of 11.71% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for HUN stock in for the last two-week period is set at 58.38, with the RSI for the last a single of trading hit 61.41, and the three-weeks RSI is set at 57.92 for Huntsman Corporation [HUN]. The present Moving Average for the last 50 days of trading for this stock 24.46, while it was recorded at 25.32 for the last single week of trading, and 19.77 for the last 200 days.
Huntsman Corporation [HUN]: Deeper insight into the fundamentals
Operating Margin for any stock indicates how profitable investing would be, and Huntsman Corporation [HUN] shares currently have an operating margin of +6.75 and a Gross Margin at +20.33. Huntsman Corporation’s Net Margin is presently recorded at +5.78.
Return on Total Capital for HUN is now 8.57, given the latest momentum, and Return on Invested Capital for the company is 7.87. Return on Equity for this stock inclined to 15.10, with Return on Assets sitting at 4.83. When it comes to the capital structure of this company, Huntsman Corporation [HUN] has a Total Debt to Total Equity ratio set at 104.76. Additionally, HUN Total Debt to Total Capital is recorded at 51.16, with Total Debt to Total Assets ending up at 33.83. Long-Term Debt to Equity for the company is recorded at 95.31, with the Long-Term Debt to Total Capital now at 46.55.
Reflecting on the efficiency of the workforce at the company, Huntsman Corporation [HUN] managed to generate an average of $39,300 per employee. Receivables Turnover for the company is 6.11 with a Total Asset Turnover recorded at a value of 0.84.Huntsman Corporation’s liquidity data is similarly interesting compelling, with a Quick Ratio of 1.10 and a Current Ratio set at 1.60.
Earnings analysis for Huntsman Corporation [HUN]
With the latest financial reports released by the company, Huntsman Corporation posted 0.29/share EPS, while the average EPS was predicted by analysts to be reported at 0.29/share. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for HUN. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Huntsman Corporation go to 10.48%.
Insider trade positions for Huntsman Corporation [HUN]
There are presently around $4,522 million, or 79.40% of HUN stock, in the hands of institutional investors. The top three institutional holders of HUN stocks are: VANGUARD GROUP INC with ownership of 20,441,450, which is approximately -5.934% of the company’s market cap and around 0.40% of the total institutional ownership; CAPITAL WORLD INVESTORS, holding 14,854,734 shares of the stock with an approximate value of $386.97 million in HUN stocks shares; and BLACKROCK INC., currently with $303.78 million in HUN stock with ownership of nearly -2.976% of the company’s market capitalization.
Positions in Huntsman Corporation stocks held by institutional investors increased at the end of October and at the time of the October reporting period, where 127 institutional holders increased their position in Huntsman Corporation [NYSE:HUN] by around 22,450,400 shares. Additionally, 192 investors decreased positions by around 18,804,733 shares, while 56 investors held positions by with 132,351,368 shares. The mentioned changes placed institutional holdings at 173,606,501 shares, according to the latest SEC report filing. HUN stock had 45 new institutional investments in for a total of 2,526,935 shares, while 47 institutional investors sold positions of 3,416,196 shares during the same period.