Huntsman Corporation (HUN) Stock Plunges 1.32% Amid Buyback Decline

Huntsman Corporation (HUN) shares fell 1.32% intraday, marking the sixth consecutive day of decline and reaching its lowest level since February 2016.

Huntsman Corporation (HUN) experienced a significant decline, reaching a 52-week low of $10.74 on June 16, 2025. To analyze the impact of this event on future price movements, we will examine the stock's performance over the next 1 week, 1 month, and 3 months after reaching this low.

Next 1 Week:

- Short-Term Volatility: The stock is likely to experience increased volatility following the news of reaching a new low. This is due to the emotional response of investors who may sell their positions to cut losses.

- Technical Analysis: The stock's short-term technical indicators may suggest oversold conditions, which could lead to a price rebound as traders take advantage of the low prices to buy.

- Market Sentiment: The broader market sentiment and news surrounding the chemicals sector could influence the stock's movement. If there are positive developments or sector-wide rebounds, HUN could see a short-term uptick.

Next 1 Month:

- Recovery Trend: Historically, stocks tend to recover from new lows over a month, especially if the fundamentals of the company remain solid. Huntsman has a notable 9.17% dividend yield, which could attract income-focused investors.

- Analyst Ratings: The recent analyst ratings show a mixed picture, with some maintaining a "Buy" rating while others have lowered their targets. This suggests that while there is potential for a recovery, analysts are cautious about the stock's short-term prospects.

- Sector Performance: The performance of the chemicals sector will significantly impact HUN's movement. If the sector starts to show signs of recovery, HUN could benefit from this trend.

Next 3 Months:

- Strategic Adjustments: Huntsman's decision to amend its existing credit agreement to adjust its leverage ratio could provide the company with financial flexibility, potentially leading to improved stock performance.

- Dividend Sustainability: The company's consistent dividend payments over 19 years could bolster investor confidence, supporting the stock price over the longer term. However, this benefit may not immediately translate to a price increase.

- Economic Indicators: Broader economic indicators and global market trends will play a crucial role in shaping HUN's price movement over the next three months. If there is an economic downturn or continued softness in construction and automotive demand as indicated by Jefferies, this could impact HUN negatively.

In conclusion, while there is potential for a recovery in the short term, the stock's future performance will largely depend on broader market conditions, sector performance, and the company's strategic decisions. Investors should monitor these factors closely to make informed decisions about HUN's future price movements.

Huntsman Corporation's stock is currently exhibiting several negative signals, indicating a potential weak performance in the near future. This trend is part of a broader decline that has been observed in recent days.

One of the key factors impacting investor sentiment is the significant drop in Huntsman's buyback value. The company has seen a 61.5% decrease, amounting to a loss of $1.6 billion. This reduction in share repurchases has raised concerns among investors about the company's financial health and future prospects.

Despite the negative signals, there are some positive indicators for Huntsman. The company is listed as one of the five holdings with the highest upside potential in the SCHD ETF, suggesting that some analysts remain optimistic about its future performance. This inclusion in the ETF could provide a boost to the stock price if the market perceives it as a value play.

Additionally, Huntsman is in the midst of a major acquisition deal. The CEO has updated on the final document reviews for a Binding Letter of Intent, which could significantly influence the stock depending on the outcome and market perception. If the acquisition is successful, it could open up new opportunities for growth and diversification, potentially driving the stock price higher.

However, there are also concerns about Huntsman's Q1 earnings, which are expected to decline. This could negatively impact the stock price, as investors may become more cautious about the company's financial performance. The decline in earnings, combined with the negative signals and reduced buyback value, presents a challenging outlook for Huntsman in the near term.