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Could Strong Earnings Alter The Investment Case For Huntsman Stock (HUN)?

Simply Wall St · 2d ago
  • Huntsman recently entered earnings season with analysts expecting year over year improvement in both profit and sales for the September 2026 quarter, supported by a higher "Most Accurate Estimate" relative to the wider consensus.
  • The key nuance is that expectations center on Huntsman converting higher revenue into better profitability, which directly tests its shift toward higher margin specialty chemicals and cost discipline.
  • We will now assess how Huntsman’s investment narrative could be influenced by optimism around a potentially stronger September 2026 earnings print.

Scan how analysts' optimism around Huntsman compares with other potential breakouts by reviewing our curated list of 29 high quality undervalued stocks.

Huntsman Investment Narrative Recap

To own Huntsman, you need to be comfortable with a chemicals group that is still loss making but working to lean harder into higher margin specialty products and tighter cost control. The near term hinge is whether management can translate any revenue momentum into cleaner profitability. The November 2026 earnings report is an important check on that narrative.

The biggest swing factor in the short run is operating leverage in polyurethanes and advanced materials. If end markets like construction and autos stay soft or if European energy and raw material costs flare up again, the risk is that pricing and utilization remain under pressure and the path back to sustainable earnings stays slow.

The upcoming September 2026 earnings release is the clearest announcement tied to this setup. Expectations point to higher revenue and a potential improvement in earnings, so the report effectively grades Huntsman on execution of its specialty tilt and cost actions while it is still dealing with a US$168.0 million net loss on US$5.9b of sales.

For you as a shareholder, the key questions are straightforward. Does the updated commentary show any easing in overcapacity and European cost strain? Is there evidence that portfolio pruning, asset closures and mix shift are starting to stabilize margins while the business maintains enough cash generation to handle debt and a dividend that is currently not covered by earnings or free cash flow?

Huntsman's narrative projects US$6.7b revenue and US$98.0 million earnings by 2029. This implies 4.3% yearly revenue growth and an earnings swing of US$266.0 million, from a current loss of US$168.0 million to the forecast profit level.

Uncover why Huntsman's fair value indicates a 22% potential upside to its current price that may not last much longer.

NYSE:HUN 1-Year Stock Price Chart
NYSE:HUN 1-Year Stock Price Chart

Exploring Other Perspectives

One alternate take focuses less on end market demand and more on the Huntsman and Olin merger plan. The most cautious analysts argue that if the more than US$400 million synergy target slips, Huntsman’s story looks tighter. Their models before this news sat closer to flat revenue near US$6.0b and 2029 earnings of about US$118.9 million. That is a more guarded setup than the consensus you have seen, and this earnings update could easily shift both narratives.

Explore 4 other Huntsman fair value estimates, including one that indicates as much as 19% downside from the current price.

Reach Your Own Conclusion

Disagree with existing narratives? Unusual investment results often come from independent thinking, so consider your own analysis carefully.

Looking for more investment ideas beyond Huntsman?

Once you have a clear view on Huntsman, it can help to compare it with other opportunities that offer different risk and income profiles using the Simply Wall St Screener.