3 Undervalued Chemicals Stocks for Friday, February 06

By Tudor Pop
February 08, 2026
Diamond graphic indicating best value stocks in their industry
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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 Sunday, February 08, 2026. 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
Koppers Holdings Inc. KOP 0.34 41.2 6.3 4.7% 1.16 7.3 A
The Mosaic Company MOS 0.76 7.4 5.8 3.4% 0.71 na A
CVR Partners, LP UAN 1.76 8.5 5.4 6.6% 3.40 25.5 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.

Koppers Holdings Inc.’s Value Grade

Value Grade:

Metric Score KOP Industry Median
Price/Sales 14 0.34 1.11
Price/Earnings 80 41.2 24.0
EV/EBITDA 15 6.3 13.5
Shareholder Yield 17 4.7% 1.8%
Price/Book Value 29 1.16 1.50
Price/Free Cash Flow 16 7.3 27.8

Koppers Holdings Inc. provides treated wood products, wood preservation chemicals, and carbon compounds in the United States, Australasia, Europe, and internationally. It operates through three segments: Railroad and Utility Products and Services; Performance Chemicals; and Carbon Materials and Chemicals. The company procures and treats crossties, switch ties, and various types of lumber used for railroad bridges and crossings; offers utility products, including pressure treatment of transmission and distribution poles for electric and telephone utilities; untreated wood products and rail joint bars; and provides railroad services, such as engineering, design, repair, and inspection services for railroad bridges. It also provides copper-based wood preservatives comprising micronized copper azole, micronized pigments, alkaline copper quaternary, amine copper azole, dichloro-octyl-isothiazolinone, chromated copper arsenate under the MicroPro and MicroShades brands for decking, fencing, utility poles, construction lumber and timbers, and various agricultural applications; and supplies fire-retardant chemicals under the FlamePro brand for pressure treatment of wood applications. In addition, the company offers creosote for the treatment of wood or as a feedstock in the production of carbon black; carbon pitch, a raw material used in the production of aluminum and steel; naphthalene for use as a feedstock in the production of phthalic anhydride and as a surfactant in the production of concrete; phthalic anhydride for the production of plasticizers, polyester resins, and alkyd paints; and carbon black feedstock. It serves the railroad, specialty chemical, utility, residential lumber, agriculture, aluminum, steel, rubber, and construction sectors. Koppers Holdings Inc. was founded in 1988 and is headquartered in Pittsburgh, Pennsylvania.

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.

Koppers Holdings Inc. has a Value Score of 86, which is considered to be undervalued.

When you look at Koppers Holdings Inc.’s price-to-sales ratio at 0.34 compared to the industry median at 1.11, this company has a lower price relative to revenue compared to its peers. This could make Koppers Holdings Inc.’s stock more attractive for value investors.

Koppers Holdings Inc.’s price-earnings ratio is 41.20 compared to the industry median at 24.00. This means it has a higher share price relative to earnings compared to its peers. This could make Koppers Holdings Inc. less attractive for value investors.

Now, let’s assess Koppers Holdings Inc.’s EV/EBITDA ratio, also known as enterprise multiple. At 6.3, when compared to the industry median of 13.5, 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. Koppers Holdings Inc.’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. Koppers Holdings Inc.’s price-to-book ratio is lower than its industry median ratio of 1.50. This could make Koppers Holdings Inc. more attractive to investors looking for a new addition to their portfolio.

Lastly, let’s take a look at Koppers Holdings Inc.’s price-to-free-cash-flow ratio (P/FCF), which can indicate a company’s market value relative to its operating cash flow. Koppers Holdings Inc.’s price-to-free-cash-flow ratio is lower than its industry median ratio of 27.80. This could make Koppers Holdings Inc. more attractive because the lower P/FCF ratio indicates that Koppers Holdings Inc. 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 Mosaic Company’s Value Grade

Value Grade:

Metric Score MOS Industry Median
Price/Sales 26 0.76 1.11
Price/Earnings 8 7.4 24.0
EV/EBITDA 13 5.8 13.5
Shareholder Yield 23 3.4% 1.8%
Price/Book Value 14 0.71 1.50
Price/Free Cash Flow na na 27.8

The Mosaic Company, through its subsidiaries, produces and markets concentrated phosphate and potash crop nutrients. It operates in three segments: Phosphates, Potash, and Mosaic Fertilizantes. The company owns and operates mines and production facilities, which produce concentrated phosphate crop nutrients, such as diammonium phosphate, monoammonium phosphate, and MicroEssentials ammoniated phosphate products; and phosphate based animal feed ingredients under the Biofos and Nexfos brands, as well as produces a double sulfate of potash magnesia product under the K-Mag brand. It also produces and sells potash for use in the manufacturing of mixed crop nutrients and animal feed ingredients, and for industrial use; and for use in the deicing and as a water softener regenerant. In addition, the company provides blended crop nutrients for agricultural use; triple superphosphate, single superphosphate, and dicalcium phosphate; and biological fertilizer complements, industrial products, and other ancillary services. Further, it owns and operates chemical plants, crop nutrient blending and bagging facilities, port terminals, and warehouses; distributes nitrogen based crop nutrients and phosphogypsum; and purchases and sells phosphates, potash, and nitrogen products. The company sells its products to distributors, retail chains, cooperatives, independent retailers and dealers, industrial accounts, animal feed industry, wholesalers, farmers, crop nutrient manufacturers, and national accounts through its sales force. It also exports its products. The company operates in the United States, Brazil, China, Canada, Paraguay, Argentina, Japan, Colombia, India, Australia, Peru, Mexico, Honduras, the Dominican Republic, Thailand, Indonesia, and internationally. The Mosaic Company was incorporated in 1987 and is headquartered in Tampa, 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.

The Mosaic Company has a Value Score of 97, which is considered to be undervalued.

The Mosaic Company’s price-earnings ratio is 7.4 compared to the industry median at 24.0. This means that it has a lower price relative to its earnings compared to its peers. This makes The Mosaic Company more attractive for value investors.

The Mosaic Company’s price-to-book ratio is higher than its peers. This could make The Mosaic Company less attractive for value investors when compared to the industry median at 1.50.

You can read more about The Mosaic 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.

CVR Partners, LP’s Value Grade

Value Grade:

Metric Score UAN Industry Median
Price/Sales 46 1.76 1.11
Price/Earnings 10 8.5 24.0
EV/EBITDA 11 5.4 13.5
Shareholder Yield 10 6.6% 1.8%
Price/Book Value 68 3.40 1.50
Price/Free Cash Flow 59 25.5 27.8

CVR Partners, LP, together with its subsidiaries, engages in the production and sale of nitrogen fertilizer in the United States. The company offers ammonia and urea ammonium nitrate products. It serves agricultural and industrial customers. The company was incorporated in 2007 and is based in Sugar Land, 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.

CVR Partners, LP has a Value Score of 77, which is considered to be undervalued.

CVR Partners, LP’s price-earnings ratio is 8.5 compared to the industry median at 24.0. This means that it has a lower price relative to its earnings compared to its peers. This makes CVR Partners, LP more attractive for value investors.

CVR Partners, LP’s price-to-book ratio is lower than its peers. This could make CVR Partners, LP more attractive for value investors when compared to the industry median at 1.50.

You can read more about CVR Partners, LP’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.

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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.

  • Koppers Holdings Inc. stock has a Value Grade of A.
  • The Mosaic Company stock has a Value Grade of A.
  • CVR Partners, LP stock has a Value Grade of B.

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.

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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.

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith and we accept no liability for any errors or omissions. The full disclaimer can be read here.



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