Based on key financial metrics such as the price-to-sales ratio, shareholder yield and the price-earnings ratio, the following 3 stocks made the list for top value stocks in the Chemicals industry. Those looking for value stocks to add to their portfolio may want to use this list as a starting point for further investment research.
Why Focus on Undervalued Chemicals Stocks?
Value investors seek to buy stocks at a discount to their intrinsic value. Long-term returns show that such strategies are advantageous. Value stocks, as a group, tend to outperform growth stocks over extended periods of time. Typically, value investors perform financial analysis of numerous metrics, don’t follow the herd and are long-term investors.
AAII’s A+ Investor Value Grade is derived from a stock’s Value Score. The Value Score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.
What Goes Into AAII’s Value Grade?
Stock evaluation requires access to huge amounts of data as well as the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movement. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors with that task.
AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A–F grades for more than just value. It is possible for a stock to appear cheap based on one valuation metric but appear expensive on another. It is also possible for one valuation ratio to be associated with outperforming stocks during certain periods of time but not others. Some stocks may even have null values for certain metrics like the price-earnings ratio or the price-to-book ratio but not others. An example of this would be a company with losses instead of profits or a negative book value because of heavy borrowing. Negative earnings or book value result in non-meaningful ratios that are left blank or null.
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3 Undervalued Chemicals Stocks
Of course, there are countless value stocks that are worth mentioning, but this is a concise list of the top 3 undervalued stocks in the Chemicals industry for Wednesday, November 19, 2025. Let’s take a closer look at their individual scores to see how they measure up against each other and the Chemicals industry median.
| Company | Ticker | Price/Sales | Price/Earnings | EV/EBITDA | Shareholder Yield | Price/Book Value | Price/Free Cash Flow | Value Grade |
| Celanese Corporation | CE | 0.41 | na | 17.8 | 0.1% | 1.01 | 4.2 | B |
| Huntsman Corporation | HUN | 0.25 | na | 16.3 | 11.8% | 0.52 | 59.1 | B |
| Kronos Worldwide, Inc. | KRO | 0.27 | na | 13.6 | 4.5% | 0.63 | na | A |
The Value Grade is assigned based on how each stock’s composite valuation compares to all other stocks.
The process for assigning grades starts with each variable for a given stock. The percentile rankings for all valid ratios that a stock has are calculated. So, for instance, a stock could have a price-to-book ranking in the 43rd percentile, a price-earnings ranking in the 67th percentile, a price-to-sales ranking in the 23rd percentile, etc. Then, those rankings are averaged for each stock. (A minimum of two valid variables are required, though all six will be used if available.)
Once the average of the individual variables is calculated, that average is ranked against all stocks. Put another way, each stock’s composite valuation is compared to all other stocks. These ranks are then sorted into quintiles from the cheapest 20% (a grade of A) to the most expensive 20% (a grade of F).
As always, we recommend that you conduct proper due diligence and research before investing in any security. We also suggest that investors utilize numerous grades, not just value, when it comes to deciding whether a company is a good fit for their allocation needs.
Celanese Corporation’s Value Grade
Value Grade:
| Metric | Score | CE | Industry Median |
| Price/Sales | 16 | 0.41 | 0.99 |
| Price/Earnings | na | na | 20.9 |
| EV/EBITDA | 70 | 17.8 | 12.1 |
| Shareholder Yield | 42 | 0.1% | 1.8% |
| Price/Book Value | 27 | 1.01 | 1.19 |
| Price/Free Cash Flow | 8 | 4.2 | 23.2 |
Celanese Corporation, a chemical and specialty materials company, manufactures and sells engineered polymers worldwide. The Engineered Materials segment offers nylon and polypropylene compounds and formulations, high temperature nylon, polyoxymethylene, polyethylene and polybutylene terephthalates, ultra-high molecular weight polyethylene, long-chain polyamides, long-fiber reinforced thermoplastics, liquid crystal polymers, thermoplastic elastomers and vulcanizates, polyphenylene sulfide, ethylene vinyl acetate pharmaceutical grade copolymers, and ethylene acrylic elastomers for use in automotive, medical, industrial, energy storage, consumer electronics, appliance, construction, filtration equipment, telecommunication, beverage, electrical, and consumer apparel applications. Its Acetyl Chain segment produces and supplies acetyl products, including acetic acid, vinyl acetate monomers, vinyl acetate ethylene emulsions, conventional emulsions, ethylene vinyl acetate resins and compounds, low-density polyethylene resins, redispersible powders, acetic anhydride, ethyl acetates, formaldehydes, butyl acetates, acetate tows, and acetate flakes for use in paints, coatings, adhesives, textiles, paper finishing, flexible packaging, lamination products, pharmaceuticals, films, inks, plasticizers, solvents, automotive parts, external thermal insulation composite systems, tiling, plasters and renders, lubricants, filtration, food and beverage, consumer goods, and food packaging applications. The company offers its products under the Celanyl, FRIANYL, ECOMID, Zytel, Celcon, Hostaform, Celanex, Crastin, Thermx, Rynite, GUR, Celstran, Factor, Vectra, Zenite, Forprene, Sofprene, Laprene, Hytrel, Santoprene, Dytron, Geolast, Vamac, Polifor, Tecnoprene, and VitalDose brands. It sells its products directly to customers and through distributors; and serves original equipment manufacturers and suppliers. Celanese Corporation was founded in 1912 and is headquartered in Irving, Texas.
Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.
Celanese Corporation has a Value Score of 78, which is considered to be undervalued.
When you look at Celanese Corporation’s price-to-sales ratio at 0.41 compared to the industry median at 0.99, this company has a lower price relative to revenue compared to its peers. This could make Celanese Corporation’s stock more attractive for value investors.
Now, let’s assess Celanese Corporation’s EV/EBITDA ratio, also known as enterprise multiple. At 17.8, when compared to the industry median of 12.1, the company may be considered overvalued in relation to its peers. Value investors could use the enterprise multiple to identify stocks that are considered overvalued or undervalued relative to their industry.
Shareholder yield is the sum of a stock’s dividend yield (paid over previous 12 months minus special dividends) and the percentage of net share buybacks over the previous 12 months. Celanese Corporation’s shareholder yield is lower than its industry median ratio of 1.80%. Value investors may look for an attractive shareholder yield because it can be a powerful tool for identifying if the company has a good management team.
As one of the most common value metrics, the price-to-book ratio evaluates a company’s current market price relative to its book value. Celanese Corporation’s price-to-book ratio is lower than its industry median ratio of 1.19. This could make Celanese Corporation more attractive to investors looking for a new addition to their portfolio.
Lastly, let’s take a look at Celanese Corporation’s price-to-free-cash-flow ratio (P/FCF), which can indicate a company’s market value relative to its operating cash flow. Celanese Corporation’s price-to-free-cash-flow ratio is lower than its industry median ratio of 23.20. This could make Celanese Corporation more attractive because the lower P/FCF ratio indicates that Celanese Corporation is undervalued. The P/FCF ratio metric can also be viewed over a long-term time frame to see if the company's cash flow to share price value is generally improving or worsening.
Huntsman Corporation’s Value Grade
Value Grade:
| Metric | Score | HUN | Industry Median |
| Price/Sales | 11 | 0.25 | 0.99 |
| Price/Earnings | na | na | 20.9 |
| EV/EBITDA | 65 | 16.3 | 12.1 |
| Shareholder Yield | 4 | 11.8% | 1.8% |
| Price/Book Value | 8 | 0.52 | 1.19 |
| Price/Free Cash Flow | 86 | 59.1 | 23.2 |
Huntsman Corporation manufactures and sells diversified organic chemical products worldwide. The company operates in three segments: Polyurethanes, Performance Products, and Advanced Materials. The Polyurethanes segment offers polyurethane chemicals, including methyl diphenyl diisocyanate, polyether and polyester polyols, and thermoplastic polyurethane; and aniline, benzene, nitrobenzene and other co-products. The Performance Products segment manufactures amines, such as polyetheramines, ethyleneamines, DGA Agent, JEFFCAT catalysts, and E-GRADE specialty amines and carbonates; and maleic anhydrides. The Advanced Materials segment offers epoxy, phenoxy, acrylic, polyurethane, and acrylonitrile-butadiene-based polymer formulations; and thermoset resins, curing and toughening agents, and carbon nanomaterials. The company provides pre-and post-sales technical service support to customers. Its products are used in a range of applications, including adhesives, aerospace, automotive, construction products, durable and non-durable consumer products, electronics, insulation, packaging, coatings and construction, power generation, and refining, as well as serves the elastomers, insulation, footwear, furniture, industrial, oil and gas, liquid natural gas transport, printed circuit boards, consumer, appliances, electrical power transmission and distribution, recreational sports equipment, and medical appliances markets. It sells its products through a network of distributors and agents. Huntsman Corporation was founded in 1970 and is headquartered in The Woodlands, Texas.
Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.
Huntsman Corporation has a Value Score of 74, which is considered to be undervalued.
Huntsman Corporation’s price-to-book ratio is higher than its peers. This could make Huntsman Corporation less attractive for value investors when compared to the industry median at 1.19.
You can read more about Huntsman Corporation’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.
Kronos Worldwide, Inc.’s Value Grade
Value Grade:
| Metric | Score | KRO | Industry Median |
| Price/Sales | 11 | 0.27 | 0.99 |
| Price/Earnings | na | na | 20.9 |
| EV/EBITDA | 55 | 13.6 | 12.1 |
| Shareholder Yield | 19 | 4.5% | 1.8% |
| Price/Book Value | 12 | 0.63 | 1.19 |
| Price/Free Cash Flow | na | na | 23.2 |
Kronos Worldwide, Inc. produces and markets titanium dioxide pigments (TiO2) in Europe, North America, the Asia Pacific, and internationally. The company offers TiO2 in two crystalline forms comprising rutile and anatase to impart whiteness, brightness, opacity, and durability for various products, including paints, coatings, plastics, paper, fibers, and ceramics, as well as for various specialty products, such as inks, foods, cosmetics, and pharmaceuticals. It also produces ilmenite, a raw material used directly as a feedstock by sulfate-process TiO2 plants; iron-based chemicals, which are used as treatment and conditioning agents for industrial effluents and municipal wastewater, as well as in the manufacture of iron pigments, cement, and agricultural products; and specialty chemicals for use in the formulation of pearlescent pigments, and production of electroceramic capacitors for cell phones and other electronic devices, as well as for use in natural gas pipe and other specialty applications. In addition, the company provides technical services for its products. It sells its products under the KRONOS brand through agents and distributors to paint, plastics, decorative laminate, and paper manufacturers. The company was founded in 1916 and is headquartered in Dallas, Texas. Kronos Worldwide, Inc. is a subsidiary of Valhi, Inc.
Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.
Kronos Worldwide, Inc. has a Value Score of 91, which is considered to be undervalued.
Kronos Worldwide, Inc.’s price-to-book ratio is higher than its peers. This could make Kronos Worldwide, Inc. less attractive for value investors when compared to the industry median at 1.19.
You can read more about Kronos Worldwide, Inc.’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.
Other Chemicals Stock Grades
Value is just one of the five Stock Grades included in our A+ Investor service. AAII members can see the top-graded stocks—those with grades of A or B for value, growth, momentum, earnings estimate revisions and quality—on the A+ Stock Grades Screener.
Also, if you want full access to all of AAII’s premium services, you can subscribe to one convenient bundled plan called AAII Platinum where you can try out A+ Investor, AAII Dividend Investing, the Stock Superstars Report, Growth Investing and VMQ Stocks. With the other premium services, you can dive deep into additional metrics, portfolios, commentary and information about Chemicals stocks as well as other industrys.
Choosing Which of the 3 Best Chemicals Stocks Is Right for You
Choosing which value stocks to invest in will ultimately depend on your individual goals and allocation; however, comparing similar value stocks in the same industry can help you analyze which might be better investments for you in the long run. So, let’s take a look at the Value Grade for all of our stocks.
- Celanese Corporation stock has a Value Grade of B.
- Huntsman Corporation stock has a Value Grade of B.
- Kronos Worldwide, Inc. stock has a Value Grade of A.
Now that you have a bit more background about each of the 3 undervalued stocks in the Chemicals industry as well as their overall grades, it’s time for you to conduct additional research to see if these could fit your portfolio needs based on your goals and risk tolerance. AAII can help you figure out both and identify which investments align with what works best for you.
We do so through a program of education that teaches you to invest for yourself and become an effective manager of your own wealth—no more relying on others for your financial independence. You can rely on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis that makes you a better investor.
A+ Investor adds to that qualitative teaching by giving you a powerful data suite that helps you whittle down investment decisions to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.
Additional Resources About Chemicals Stocks
Want to learn more about Chemicals stocks to see if they could be the right investment for you? Check out some additional resources and articles to help you on your financial journey.
- 7 Undervalued Chemicals Stocks for Wednesday, November 19
- Is Linde plc (LIN) Overvalued?
- 7 Undervalued Chemicals Stocks for Tuesday, November 18
- Is Linde plc (LIN) Overvalued?
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