11 Undervalued Chemical Stocks to Buy Now

4. Olin Corporation (NYSE:OLN)

Forward P/E: 15.87

Number of Hedge Fund Holders: 38

Olin Corporation (NYSE:OLN) is an American chemical and ammunition company that ranks among the best chemical stocks to buy. The company’s chemical products include chlorine and caustic soda, vinyls, epoxies, chlorinated organics, bleach, hydrogen, and hydrochloric acid. Through the Winchester brand, it also offers sporting and law enforcement ammunition, reloading components, small caliber military ammunition and components, industrial cartridges, and clay targets. Olin Corporation (NYSE:OLN) serves customers in approximately 100 countries around the world.

On March 27, Citi adjusted its price target on Olin Corporation (NYSE:OLN) and lowered it from $34 to $30 while maintaining a “Buy” rating. This decision came after a detailed investor lunch with the company’s top management, including CEO Ken Lane, CFO Todd Slater, and Director of IR Steve Keenan, where they discussed the company’s market position and outlook. Olin Corporation’s (NYSE:OLN) management noted that the chlor-alkali industry has largely reached a bottom while Electrochemical Unit (ECU) values have remained stable for six quarters despite weakness in end markets. Caustic soda prices have also shown stability recently but the management acknowledged potential oversupply concerns from new capacity additions in the industry. To provide an update on near-term performance, Olin Corporation’s (NYSE:OLN) top management confirmed that Q1 2025 performance is progressing in line with expectations. However, they cautioned that antidumping duty rulings on epoxy are not fully resolving supply/demand challenges in the market and current pricing issues as prices can’t seem to rise above increasing feedstock costs.