Based on key financial metrics such as the price-to-sales ratio, shareholder yield and the price-earnings ratio, the following 5 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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5 Undervalued Chemicals Stocks
Of course, there are countless value stocks that are worth mentioning, but this is a concise list of the top 5 undervalued stocks in the Chemicals industry for Monday, November 24, 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 |
| Cabot Corporation | CBT | 0.88 | 8.1 | 6.9 | 5.8% | 2.13 | 14.8 | A |
| The Chemours Company | CC | 0.28 | na | 8.8 | 2.8% | 5.55 | na | B |
| Celanese Corporation | CE | 0.43 | na | 17.8 | 0.1% | 1.05 | 4.4 | B |
| LyondellBasell Industries N.V. | LYB | 0.38 | na | 14.0 | 13.1% | 1.36 | na | A |
| Rayonier Advanced Materials Inc. | RYAM | 0.27 | na | 8.3 | (1.7%) | 1.19 | na | B |
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.
Cabot Corporation’s Value Grade
Value Grade:
| Metric | Score | CBT | Industry Median |
| Price/Sales | 31 | 0.88 | 0.99 |
| Price/Earnings | 11 | 8.1 | 21.4 |
| EV/EBITDA | 18 | 6.9 | 12.1 |
| Shareholder Yield | 14 | 5.8% | 1.8% |
| Price/Book Value | 55 | 2.13 | 1.21 |
| Price/Free Cash Flow | 40 | 14.8 | 23.5 |
Cabot Corporation operates as a specialty chemicals and performance materials company. The company operates through two segments, Reinforcement Materials and Performance Chemicals. It offers reinforcing carbons that are used in tires as a rubber reinforcing agent and performance additive, as well as in industrial products, such as hoses, belts, extruded profiles, and molded goods; and engineered elastomer composites solutions. The company also provides specialty carbons for use in inks, coatings, plastics, adhesives, toners, batteries, and displays; conductive additives and fumed alumina used in lead acid and lithium-ion batteries for electric vehicles; fumed silica used in adhesives, sealants, cosmetics, batteries, inks, toners, silicone elastomers, coatings, polishing slurries, and pharmaceuticals; and fumed alumina for use in various products, including inkjet media, lighting, coatings, cosmetics, and polishing slurries. In addition, it offers aerogel, a hydrophobic, silica-based particle to use in various thermal insulation and specialty chemical applications; masterbatch and conductive compound products that are used in automotive, industrial, packaging, infrastructure, agriculture, consumer products, and electronics industries; and inkjet colorants for inkjet printing applications, as well as carbon nanotubes and fumed metal oxides. The company sells its products through distributors and sales representatives in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. Cabot Corporation was founded in 1882 and is headquartered in Boston, Massachusetts.
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.
Cabot Corporation has a Value Score of 86, which is considered to be undervalued.
When you look at Cabot Corporation’s price-to-sales ratio at 0.88 compared to the industry median at 0.99, this company has a lower price relative to revenue compared to its peers. This could make Cabot Corporation’s stock more attractive for value investors.
Cabot Corporation’s price-earnings ratio is 8.10 compared to the industry median at 21.40. This means it has a lower share price relative to earnings compared to its peers. This could make Cabot Corporation more attractive for value investors.
Now, let’s assess Cabot Corporation’s EV/EBITDA ratio, also known as enterprise multiple. At 6.9, when compared to the industry median of 12.1, the company may be considered undervalued 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. Cabot Corporation’s shareholder yield is higher 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. Cabot Corporation’s price-to-book ratio is higher than its industry median ratio of 1.21. This could make Cabot Corporation less attractive to investors looking for a new addition to their portfolio.
Lastly, let’s take a look at Cabot Corporation’s price-to-free-cash-flow ratio (P/FCF), which can indicate a company’s market value relative to its operating cash flow. Cabot Corporation’s price-to-free-cash-flow ratio is lower than its industry median ratio of 23.50. This could make Cabot Corporation more attractive because the lower P/FCF ratio indicates that Cabot 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.
The Chemours Company’s Value Grade
Value Grade:
| Metric | Score | CC | Industry Median |
| Price/Sales | 12 | 0.28 | 0.99 |
| Price/Earnings | na | na | 21.4 |
| EV/EBITDA | 29 | 8.8 | 12.1 |
| Shareholder Yield | 27 | 2.8% | 1.8% |
| Price/Book Value | 81 | 5.55 | 1.21 |
| Price/Free Cash Flow | na | na | 23.5 |
The Chemours Company provides performance chemicals in North America, the Asia Pacific, Europe, the Middle East, Africa, and Latin America. It operates through three segments: Thermal & Specialized Solutions, Titanium Technologies, and Advanced Performance Materials. The Thermal & Specialized Solutions segment provides refrigerants, thermal management solutions, propellants, foam blowing agents, and specialty solvents under the Freon and Opteon brand names. The Titanium Technologies segment offers TiO2 pigment, a white pigment that delivers whiteness, brightness, opacity, durability, efficiency, and protection in applications, including architectural and industrial coatings, flexible and rigid plastic packaging, polyvinylchloride, laminate papers used for furniture and building materials, coated paper, and coated paperboard for use in packaging under the Ti-Pure brand name. The Advanced Performance Materials segment products portfolio includes various specialty product solutions, membranes, industrial resins, additives, films, and coatings for consumer electronics, semiconductors, digital communications, transportation, energy, oil and gas, and medical markets under the Teflon, Viton, Krytox, and Nafion brand names. The company sells its products through direct and indirect channels, as well as through a network of resellers, third-party sales agents, and distributors. The Chemours Company was incorporated in 2014 and is headquartered in Wilmington, Delaware.
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.
The Chemours Company has a Value Score of 69, which is considered to be undervalued.
The Chemours Company’s price-to-book ratio is lower than its peers. This could make The Chemours Company more attractive for value investors when compared to the industry median at 1.21.
You can read more about The Chemours Company’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.
Celanese Corporation’s Value Grade
Value Grade:
| Metric | Score | CE | Industry Median |
| Price/Sales | 17 | 0.43 | 0.99 |
| Price/Earnings | na | na | 21.4 |
| EV/EBITDA | 70 | 17.8 | 12.1 |
| Shareholder Yield | 42 | 0.1% | 1.8% |
| Price/Book Value | 28 | 1.05 | 1.21 |
| Price/Free Cash Flow | 9 | 4.4 | 23.5 |
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.
Celanese Corporation’s price-to-book ratio is higher than its peers. This could make Celanese Corporation less attractive for value investors when compared to the industry median at 1.21.
You can read more about Celanese 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.
LyondellBasell Industries N.V.’s Value Grade
Value Grade:
| Metric | Score | LYB | Industry Median |
| Price/Sales | 15 | 0.38 | 0.99 |
| Price/Earnings | na | na | 21.4 |
| EV/EBITDA | 56 | 14.0 | 12.1 |
| Shareholder Yield | 3 | 13.1% | 1.8% |
| Price/Book Value | 39 | 1.36 | 1.21 |
| Price/Free Cash Flow | na | na | 23.5 |
LyondellBasell Industries N.V. operates as a chemical company in the United States, Germany, Mexico, Italy, Poland, France, Japan, China, the Netherlands, and internationally. The company operates in six segments: Olefins and Polyolefins—Americas; Olefins and Polyolefins—Europe, Asia, International; Intermediates and Derivatives; Advanced Polymer Solutions; Refining; and Technology. It produces and markets olefins and co-products, such as ethylene, aromatics, propylene and butadiene; polyolefins; polyethylene; and polypropylene homopolymers and copolymers; and propylene oxide and derivatives; oxyfuels and related products; and intermediate chemicals, such as styrene monomer, acetyls, and ethylene oxide. The company also produces and markets compounding and solutions, including polypropylene compounds, engineered plastics, masterbatches, engineered composites, colors and powders, and advanced polymers, such as catalloy and polybutene-1; and refines heavy, high-sulfur crude oil and other crude oils, as well as refined products, including gasoline and distillates. In addition, it develops and licenses chemical and polyolefin process technologies; manufactures and sells polyolefin catalysts; and serves food packaging, home furnishings, automotive components, and paints and coatings applications. LyondellBasell Industries N.V. was incorporated in 2009 and is headquartered in Houston, 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.
LyondellBasell Industries N.V. has a Value Score of 86, which is considered to be undervalued.
LyondellBasell Industries N.V.’s price-to-book ratio is lower than its peers. This could make LyondellBasell Industries N.V. more attractive for value investors when compared to the industry median at 1.21.
You can read more about LyondellBasell Industries N.V.’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.
Rayonier Advanced Materials Inc.’s Value Grade
Value Grade:
| Metric | Score | RYAM | Industry Median |
| Price/Sales | 11 | 0.27 | 0.99 |
| Price/Earnings | na | na | 21.4 |
| EV/EBITDA | 26 | 8.3 | 12.1 |
| Shareholder Yield | 61 | (1.7%) | 1.8% |
| Price/Book Value | 33 | 1.19 | 1.21 |
| Price/Free Cash Flow | na | na | 23.5 |
Rayonier Advanced Materials Inc. manufactures and sells cellulose specialty products in the United States, China, Europe, Japan, rest of Asia, Canada, Latin America, and internationally. It operates through High Purity Cellulose, Paperboard, and High-Yield Pulp segments. The company’s products include cellulose specialties, which are natural polymers that are used as raw materials to manufacture a range of consumer-oriented products, such as liquid crystal displays, impact-resistant plastics, thickeners for food products, pharmaceuticals, cosmetics, cigarette filters, high-tenacity rayon tire cords and industrial hoses, food casings, paints, and lacquers. It also offers commodity products, such as commodity viscose used in woven applications, including rayon textiles for clothing and other fabrics, as well as in non-woven applications comprising baby wipes, cosmetic and personal wipes, industrial wipes, and mattress ticking; and absorbent materials consisting of fluff that are used as an absorbent medium in disposable baby diapers, feminine hygiene products, incontinence pads, convalescent bed pads, industrial towels and wipes, and non-woven fabrics. In addition, the company provides paperboards for packaging, printing documents, brochures, promotional materials, paperback books and catalog covers, file folders, tags, and lottery tickets; and high-yield pulps to produces hardwood aspen, maple, and birch species for paperboard, packaging, printing and writing papers, and various other paper products. Rayonier Advanced Materials Inc. was founded in 1926 and is headquartered in Jacksonville, Florida.
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.
Rayonier Advanced Materials Inc. has a Value Score of 78, which is considered to be undervalued.
Rayonier Advanced Materials Inc.’s price-to-book ratio is lower than its peers. This could make Rayonier Advanced Materials Inc. fairly attractive for value investors when compared to the industry median at 1.21.
You can read more about Rayonier Advanced Materials 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 5 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.
- Cabot Corporation stock has a Value Grade of A.
- The Chemours Company stock has a Value Grade of B.
- Celanese Corporation stock has a Value Grade of B.
- LyondellBasell Industries N.V. stock has a Value Grade of A.
- Rayonier Advanced Materials Inc. stock has a Value Grade of B.
Now that you have a bit more background about each of the 5 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.
- 5 Undervalued Chemicals Stocks for Monday, November 24
- Is Linde plc (LIN) Overvalued?
- 6 Undervalued Chemicals Stocks for Friday, November 21
- Is Linde plc (LIN) Overvalued?
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