Published on October 21st, 2025 by Felix Martinez
High-yield stocks pay out dividends that are significantly higher than the market average. For example, the S&P 500’s current yield is only ~1.2%.
High-yield stocks can be particularly helpful in shoring up income after retirement. A $120,000 investment in stocks with an average dividend yield of 5% creates an average of $500 a month in dividends.
Huntsman Corporation (HUN) is part of our ‘High Dividend 50’ series, which covers the 50 highest-yielding stocks in the Sure Analysis Research Database.
We have created a spreadsheet of stocks (and closely related REITs, MLPs, etc.) with dividend yields of 5% or more.
You can download your free full list of all securities with 5%+ yields (along with important financial metrics such as dividend yield and payout ratio) by clicking on the link below:
Next on our list of high-dividend stocks to review is Huntsman Corporation (HUN).
Business Overview
Huntsman Corporation reported a weak second quarter of 2025, with revenues of $1.46 billion, down 7% year-over-year and missing expectations by $36.7 million. The company reported a net loss of $158 million, or $0.92 per share, compared to a net gain of $22 million last year. Adjusted net loss was $34 million, with adjusted EBITDA falling to $74 million from $131 million, though operating cash flow remained positive at $92 million and free cash flow reached $55 million.
All segments saw declines. Polyurethanes revenue declined due to lower prices, reduced construction demand, and a scheduled turnaround at the Rotterdam facility. Performance Products dropped 10% amid softer market conditions, while Advanced Materials fell 5% due to weaker sales in coatings and aerospace. Segment EBITDA declines reflected lower volumes and prices, partially offset by cost savings.
Huntsman expanded its restructuring efforts, including the closure of its European Maleic Anhydride facility and a reduction in its global workforce by nearly 10%, primarily in Europe. CEO Peter Huntsman highlighted cost control and cash generation as priorities. The company ended the quarter with $399 million in cash and $1.3 billion in total liquidity, maintaining focus on balance sheet strength amid challenging market conditions.
Source: Investor Relations
Growth Prospects
Huntsman Corporation operates a highly cyclical business, with its financial performance being sensitive to raw material costs, currency fluctuations, and demand in the industrial sector. These factors have contributed to a decline in revenue over the past decade, from $11.58 billion in 2014 to $6.2 billion last year. Strategic acquisitions, however, have generated synergies that improved gross margins and partially offset weaker sales.
Earnings per share have been volatile, though medium-term growth of around 5% is expected, supported by cost-cutting initiatives, acquisitions, recovering sales, and share buybacks. Since launching its dividend in 2008, Huntsman has increased it six times, typically when performance allows for greater coverage.
Given recent profitability challenges, dividend growth is projected to remain modest at about 1% annually, and investors should not expect consistent yearly increases. Huntsman’s financial trajectory will largely depend on cyclical market conditions and operational efficiency.
Source: Investor Relations
Competitive Advantages & Recession Performance
The company benefits from a diversified product portfolio across four segments—Polyurethanes, Performance Products, Advanced Materials, and Textile Effects—which allows it to serve a wide range of industries, including aerospace, automotive, construction, and packaging.
Its focus on specialized chemical solutions, customer-driven innovation, and strategic acquisitions has helped maintain strong gross margins and operational efficiency, providing a degree of insulation from commodity pricing pressures and competitive market volatility. Global operations and established client relationships further reinforce Huntsman’s market position.
However, Huntsman’s cyclical business model makes it sensitive to economic downturns. Revenue and earnings tend to decline during recessions as industrial activity and construction demand soften. While the company has historically leveraged cost-cutting initiatives, restructuring, and strategic divestitures to preserve cash flow and protect the balance sheet, profitability remains volatile, and performance is closely tied to broader macroeconomic conditions.
- 2008 earnings-per-share: -$0.20
- 2009 earnings-per-share: -$0.80
- 2010 earnings-per-share: $0.83
Dividend Analysis
Huntsman Corporation has a modest but consistent dividend history, initiating its first payout in 2008 and increasing it six times since. Dividend policy is closely tied to business performance, with hikes typically occurring when profitability and cash flow allow for comfortable coverage. The company prioritizes balance sheet strength and cash generation over aggressive dividend growth. Currently, Huntsman offers a dividend yield of approximately 12.3%.
Given recent volatility in earnings and cyclical market pressures, dividend growth is expected to remain modest, with medium-term increases projected at around 1% annually. Investors should not expect regular yearly hikes, as the company has historically adjusted payouts only when performance warrants it. Strategic cost management, acquisitions, and share buybacks complement the dividend to enhance shareholder returns.
Final Thoughts
Huntsman’s recent performance has been pressured by lower sales volumes across all segments and rising costs from elevated inflation. Despite this, we expect earnings to resume growth, with forecasted annualized returns over 17% through 2030, driven by 5% earnings growth, a 12.3% yield, and potential multiple expansion. Shares are rated as highly speculative, and investors should anticipate significant price volatility.
High-Yield Individual Security Research
- 20 Highest Yielding Monthly Dividend Stocks
- 10 Super High Dividend REITs
- 5 Highest Yielding Royalty Trusts
Other Sure Dividend Resources
- Dividend Kings: 50+ years of rising dividends
- Dividend Champions: 25+ years of rising dividends
- Dividend Aristocrats: 25+ years of rising dividends and in the S&P 500
- Dividend Achievers: 10+ years of rising dividends and in the NASDAQ
- High Dividend Stocks: 5%+ dividend yields
- Monthly Dividend Stocks: Individual securities that pay out every month
- MLPs: List of MLPs and more
- REITs: List of REITs and more
- BDCs: List of BDCs and more