In this article, we discuss 5 best chemical stocks to buy now. If you want to read about some more chemical stocks to buy now, go directly to 10 Best Chemical Stocks To Buy Now.
5. Huntsman Corporation (NYSE:HUN)
Number of Hedge Fund Holders: 34
Huntsman Corporation (NYSE:HUN) manufactures and sells differentiated organic chemical products worldwide. It is one of the top chemical stocks to invest in. On August 9, the firm announced that it would be selling the Textile Effects division it owned to Archroma, a SK Capital Partners portfolio company, for a total enterprise value of $718 million. This includes the assumption of $125 million in net underfunded pension liabilities. Huntsman Corporation (NYSE:HUN) said the deal will be partially funded with preferred equity.
On August 11, RBC Capital analyst Arun Viswanathan maintained an Outperform rating on Huntsman Corporation (NYSE:HUN) stock and raised the price target to $43 from $39, highlighting the underperforming sales but noting the valuation multiple should be higher.
Among the hedge funds being tracked by Insider Monkey, New York-based investment firm Starboard Value LP is a leading shareholder in Huntsman Corporation (NYSE:HUN), with 8.3 million shares worth more than $235.6 million.
4. LyondellBasell Industries N.V. (NYSE:LYB)
Number of Hedge Fund Holders: 37
LyondellBasell Industries N.V. (NYSE:LYB) operates as a chemical company globally. The firm is among the best chemical stocks to invest in. On July 29, LyondellBasell Industries N.V. (NYSE:LYB) posted earnings for the second quarter of 2022, reporting earnings per share of $5.19, beating estimates by $0.49. The revenue over the period was $14.8 billion, up over 28% compared to the revenue over the same period last year and beating analyst expectations by $1.1 billion.
LyondellBasell Industries N.V. (NYSE:LYB) is based in Texas and was incorporated in 2009. Some of the products it sells include polyolefins and polyethylene products like density polyethylene, low density polyethylene, and linear low density polyethylene.
Among the hedge funds being tracked by Insider Monkey, New York-based firm Eagle Capital Management is a leading shareholder in LyondellBasell Industries N.V. (NYSE:LYB), with 4.1 million shares worth more than $358 million.
In its Q3 2021 investor letter, Miller Howard Investments, an asset management firm, highlighted a few stocks and LyondellBasell Industries N.V. (NYSE:LYB) was one of them. Here is what the fund said:
“We initiated a position in LyondellBasell Industries N.V. (NYSE:LYB). Chemical markets are currently robust given the combination of 2020 plant shutdowns and strongly recovering demand. Despite the tailwinds, Lyondell trades at a low valuation and yields just under 5%.”
3. Albemarle Corporation (NYSE:ALB)
Number of Hedge Fund Holders: 39
Albemarle Corporation (NYSE:ALB) develops, manufactures, and markets engineered specialty chemicals worldwide. The firm is among the best chemical stocks to invest in. On August 3, the firm posted earnings for the second quarter of 2022, reporting earnings per share of $3.45, beating estimates by $0.20. The revenue over the period was $1.4 billion, up over 91% compared to the revenue over the same period last year and roughly in line with analyst expectations.
On September 09, Citi analyst PJ Juvekar maintained a Buy rating on Albemarle Corporation (NYSE:ALB) stock and raised the price target to $345 from $294, noting that the demand/supply balance was compact for lithium despite high prices.
At the end of the second quarter of 2022, 39 hedge funds in the database of Insider Monkey held stakes worth $600 million in Albemarle Corporation (NYSE:ALB), compared to 44 the preceding quarter worth $454 million.
In its Q1 2021 investor letter, Carillion Tower Advisers, an asset management firm, highlighted a few stocks and Albemarle Corporation (NYSE:ALB) was one of them. Here is what the fund said:
“Albemarle Corporation (NYSE:ALB) is a global specialty chemicals company with leading positions in lithium, bromine, and refining catalysts. The firm’s shares outperformed in the quarter, driven largely by the current robust demand environment for lithium used in the manufacturing of electric vehicle batteries. As the global push towards the reduction of carbon emissions continues to gain steam, Albemarle is well positioned to benefit from the accelerating adoption of electric vehicles.”
2. DuPont de Nemours, Inc. (NYSE:DD)
Number of Hedge Fund Holders: 44
DuPont de Nemours, Inc. (NYSE:DD) provides technology-based materials and solutions. The company is one of the most prominent chemical stocks to invest in. In late August, investment advisory Stifel predicted that the company would successfully close the $5.2 billion purchase of Rogers Corp. after authorities in China had approved the deal. US-China geopolitical disputes are weighing heavily on the deal.
On August 8, Citi analyst P.J. Juvekar maintained a Buy rating on DuPont de Nemours, Inc. (NASDAQ:DD) stock and raised the price target to $75 from $72, highlighting the exceptional second quarter earnings report of the firm.
Among the hedge funds being tracked by Insider Monkey, New York-based investment firm 40 North Management is a leading shareholder in DuPont de Nemours, Inc. (NYSE:DD), with 5.88 million shares worth more than $326.8 million.
1. Dow Inc. (NYSE:DOW)
Number of Hedge Fund Holders: 45
Dow Inc. (NYSE:DOW) provides various materials science solutions for packaging, infrastructure, mobility, and consumer applications. The firm features on the list of best chemical stocks to invest in. Dow Inc. (NYSE:DOW) is slowly building a dividend profile. Over the past two years, it has consistently paid a dividend to shareholders. On August 10, the firm declared a quarterly dividend of $0.70 per share, in line with previous. The forward yield was 5.18%.
Dow Inc. (NYSE:DOW) is based in Michigan and was incorporated in 2018. Some of the products it sells include ethylene, propylene, aromatics, polyethylene, polyolefin elastomers, ethylene vinyl acetate, and ethylene propylene diene monomer rubbers.
At the end of the second quarter of 2022, 45 hedge funds in the database of Insider Monkey held stakes worth $871.5 million in Dow Inc. (NYSE:DOW), compared to 39 in the preceding quarter worth $851 million.
You can also take a peek at 15 Best Gambling Stocks To Buy Now and 10 High Dividend Stocks Picked by Billionaire Gabelli.
