Is Huntsman Corp. overvalued or undervalued?

As of 31 October 2023, Huntsman Corp. has moved from an expensive to a risky valuation grade. The company appears to be overvalued given its current financial metrics, particularly its Price to Book Value of 0.83 and an EV to EBITDA ratio of 11.12, which suggests a high valuation relative to earnings before interest, taxes, depreciation, and amortization. Additionally, the ROCE is low at 1.79%, indicating inefficient capital use.
In comparison to its peers, Huntsman Corp. has a significantly lower EV to EBITDA ratio than Eastman Chemical Co. at 10.37 and Element Solutions, Inc. at 14.82, both of which are performing better in the market. Furthermore, Huntsman Corp.'s stock has underperformed against the S&P 500, with a year-to-date return of -42.93% compared to the S&P 500's 12.22%, reinforcing the notion that the stock may be overvalued in its current state.