Huntsman Reports 4Q Beat, Jefferies Maintains Buy

Jefferies & Company has published a research report on Hunstman HUN after the company reported a 4Q beat by $0.04 driven by polyurethanes and lower tax rates. In the report, Jefferies writes "Huntsman's significant operating leverage and cyclical exposure is magnified by financial leverage. While deleveraging should support the shares, we expect raw material pressure should complicate 2010. Excluding $0.12 in one-time headwinds, Q4 EPS was $0.24, $0.04 above consensus and $0.09 above our estimate. Versus our forecast, adjusted segment EBITDA results were $0.03/share above forecast. Taxes were an $0.11 benefit offset by share count and higher D&A." Jefferies maintains its Buy rating and $21 price target. Huntsman closed yesterday at $18.83.