Here’s Why Quaker Chemical Corp. (KWR) is Relatively Less Exposed to Tariff

Heartland Advisors, an investment management company, released its “Heartland Value Fund” second quarter 2025 investor letter. A copy of the letter can be downloaded here. The fund returned 8.85%, compared to the 4.97% return for the Russell 2000 Value Index. The fund outperformed the benchmark over the past 1, 3, 5, and 10 years since inception. Over the past three months, stock selection accounted for almost all of the outperformance, specifically strong in Energy, Consumer Discretionary, Utilities, and Financials. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2025.

In its second quarter 2025 investor letter, Heartland Value Fund highlighted stocks such as Quaker Chemical Corporation (NYSE:KWR), in the second quarter 2024 investor letter. Quaker Chemical Corporation (NYSE:KWR) offers industrial process fluids for steel, aluminum, automotive, aerospace, offshore, can, mining, and metalworking companies. The one-month return of Quaker Chemical Corporation (NYSE:KWR) was 11.82%, and its shares lost 27.18% of their value over the last 52 weeks. On July 11, 2025, Quaker Chemical Corporation (NYSE:KWR) stock closed at $130.04 per share with a market capitalization of $2.299 billion.

Heartland Value Fund stated the following regarding Quaker Chemical Corporation (NYSE:KWR) in its second quarter 2025 investor letter:

“Quaker Chemical Corporation (NYSE:KWR) , a leading supplier of fluids used in metal production and metalworking, is a good example. The key end markets for KWR are the steel industry, industrial manufacturers, and vehicle OEMs — all areas where tariff concerns remain elevated. Quaker Houghton’s exposure, though, is relatively low as the company manufactures in the U.S. and a significant portion of its revenues are derived domestically.

Quaker’s products represent a low-cost part of their customers’ production process while being mission critical. The company also enjoys more pricing power than other commodity chemical companies because it often works under a service model where its employees are brought on site to help customers ensure that KWR’s chemicals are applied properly…” (Click here to read the full text)

In another article, we covered Quaker Chemical Corporation (NYSE:KWR) and shared the list of cheap beginner stocks to buy. In addition, please check out our hedge fund investor letters Q2 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.