HUN Forecast


Bullish Case: Huntsman's growth potential is supported by strong innovation in specialty chemicals and strategic partnerships. Positive market sentiment may increase share price, evidenced by stable implied volatility around 41% and potential breakthroughs in cancer research.


Bearish Case: Continued pressure from high volumes of put options indicates strong bearish sentiment. With poor recent earnings, weak demand, and persistent macroeconomic challenges, Huntsman's stock may decline further despite long-term potential.


Potential Outcomes:

1. 40% chance: Stock rebounds via innovation;

2. 30% chance: Neutral to bearish market pressures persist;

3. 20% chance: Major news drives volatility spikes;

4. 10% chance: Aggressive short selling diminishes share price.


Trading Oracle: Consider a long call spread (25C/30C) for bullish exposure, capturing upside as market sentiment shifts. Alternatively, employ short puts (22P) to capitalize on high IV if volatility decreases. Aim for 30-60 day expiration for optimal theta decay. Target potential gains aligned with recovery catalysts.


July 25, 2024


Huntsman Forecast

HUN      Huntsman











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