Today's Trend
Huntsman Corporation (NYSE: HUN) shares have been under pressure as investors weigh significantly reduced earnings expectations against potential benefits from the company’s merger-related opportunities.
- Huntsman’s latest earnings call highlighted potential upside from its merger strategy, which could provide longer-term benefits through improved scale, cost efficiencies, or portfolio positioning. Management also discussed the associated risks. Huntsman Earnings Call Highlights Merger Upside, Risks
- Huntsman’s shares remain near the lower portion of their 52-week range and below both their 50-day and 200-day moving averages, signaling weak technical momentum. The stock’s valuation is also difficult to assess using earnings-based measures because the company is expected to remain unprofitable in the near term.
- Zacks Research lowered EPS forecasts across nearly every reported period. FY2026 estimates were cut to a loss of $0.40 per share from a $0.30 loss, while FY2027 was reduced to a $0.20 loss from $0.08 of earnings and FY2028 was lowered to a $0.14 loss from $0.22 of earnings. Quarterly estimates were also reduced, including Q4 2026, Q1 and Q2 2027, Q3 and Q4 2027, and Q1 and Q2 2028. The revisions indicate expectations for a longer and deeper earnings downturn, with the current full-year consensus still calling for a $0.24-per-share loss.
Overall, the analyst estimate reductions are the primary negative catalyst for HUN, suggesting weaker demand, pricing, or margins than previously expected. Merger-related upside offers a potential longer-term offset, but investors appear focused on Huntsman’s delayed return to profitability.