Is This The Right Time To Follow Alex Roepers Into Huntsman Corporation (HUN)?

Furthermore, Atlantic Investment Management’s CIO held the opinion that Huntsman Corporation (HUN) is both a promising takeover target and an acquirer, although he predicted it to bring back cash to shareholders in the meantime. Mr. Roepers was clearly enthusiastic about the management’s future actions with cash balances and cash flows.

Well, investors who attended CNBC’s conference paid around $31.41 per share to follow Alex Roepers into Hunstman Corporation (HUN). Even though the stock’s price went as high as $33.55 in the following weeks, Huntsman shares currently change hands at $23.59 and haven’t been this cheap since June of 2017. Investors must have been spooked by the unintended consequences of the trade war between China and the US. The real question that we need to answer at this point is whether Huntsman still has the potential to earn $4.40 a share over the next 12 months. If Alex Roepers is right about the stock, it now has 100% upside potential.

We are going to take a closer look at the historical performance of all of Roepers’ 13F stock picks and dissect Roepers’ Huntsman thesis in the next issue of our monthly activist newsletter and decide whether it is a good idea to follow him into Huntsman.

Insider Monkey’s stock picks in our monthly activist newsletter returned 58.4% since its inception in March 2017 through the end of September. S&P 500 ETF (SPY) returned 26.2% during the same period. Our discretionary stock picks based on our analysis of the performance of activist hedge funds outperformed the market by 32 percentage points in just 18 months. You can download a free copy of this newsletter by creating a free account.

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