Core Points - LyondellBasell has declared a dividend of $1.37 per share, which will be paid to shareholders on December 8, 2025, with an ex-dividend and record date of December 1, 2025 [1] Company Overview - LyondellBasell is a leader in the global chemical industry, focusing on creating solutions for sustainable living through advanced technology and investments [2] - The company aims to enable a circular and low carbon economy while unlocking value for customers, investors, and society [2] - As one of the largest producers of polymers and a leader in polyolefin technologies, LyondellBasell develops, manufactures, and markets high-quality products for various applications, including sustainable transportation, food safety, clean water, and healthcare [2]

Core Insights - LyondellBasell Industries N.V. is recognized as one of the 15 Extreme Dividend Stocks to Buy According to Hedge Funds [1] - Evercore ISI analyst Eric Boyes has reduced the price target for LyondellBasell from $65 to $57, maintaining an In Line rating, amid a mixed outlook for Q3 [2] - The CEO highlighted a cash conversion rate of 135% in Q3, with a goal of achieving $600 million in cash improvement by year-end and $1.1 billion by the end of 2026 [3] Financial Performance - The chemical sector experienced a shift, with about two-thirds of 20 companies reporting average gains of 6% post-earnings, despite half issuing below-expectation guidance for Q4 and negative revisions averaging 12% [2] - LyondellBasell's domestic polyethylene demand is projected to be the strongest since Q3 2022, with a 2.5% increase in North American demand compared to 2024 [3] Industry Trends - The company noted significant global ethylene capacity rationalization, with planned closures and idling from 2020 to 2028 expected to remove over 21 million tonnes of ethylene capacity, approximately 10% of global supply, particularly impacting Asia and Europe [4] - LyondellBasell is involved in producing and marketing polymers, chemicals, and refined products, while also focusing on advanced polymer and recycling technologies [5]

SouthernSun Asset Management, LLC, an investment management firm, released its “SouthernSun Small Cap Strategy” third-quarter 2025 investor letter. A copy of the letter can be downloaded here. In the third quarter, the strategy returned 11.73% on a gross basis (11.52% net) compared to a 12.39% return for the Russell 2000 Index and 12.60% for the Russell 2000 Value Index. The strategy returned -0.66% on a gross basis (-0.10% net) for the trailing twelve months compared to 10.76% and 7.88% respectively for th ...

Financial Data and Key Metrics Changes - Adjusted EBITDA for the first nine months of 2025 grew by 9%, reaching $165 million, despite challenges from rising oil chemical raw material prices and higher startup costs at the Pasadena facility [4][6] - Third quarter adjusted net income was $10.9 million, a 54% decrease from $23.7 million in the prior year, primarily due to a higher effective tax rate and increased depreciation [6][8] - Free cash flow was positive at $40 million for the quarter, driven by reduced working capital and disciplined capital spending [7][15] Business Line Data and Key Metrics Changes - Specialty Products adjusted EBITDA increased significantly by 113%, driven by favorable order timing in the pharmaceutical business [5][14] - Polymers net sales decreased by 4% to $143.9 million, with selling prices down 14% but volume increased by 8% [12][14] - Surfactants adjusted EBITDA decreased by 14% to $37.5 million, impacted by higher startup costs and raw material price inflation [11][12] Market Data and Key Metrics Changes - North America rigid polyol and commodity PA volumes grew by double digits, while European volumes were affected by macroeconomic uncertainties [6][12] - Surfactants experienced a 10% increase in net sales, but volume declined by 2% due to lower demand in global commodity consumer products [11][12] Company Strategy and Development Direction - The company remains focused on balancing volume and margins, with a commitment to not lose market share while managing costs [16][24] - The Pasadena facility is fully operational and expected to contribute fully by 2026, enhancing production capabilities [17][18] - The company is analyzing opportunities to optimize its global footprint and asset base, including the sale of its site in the Philippines [19][32] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about recovering margins in the surfactants business, with a target to achieve margin recovery by 2026 [23][26] - The company anticipates continued growth in key strategic end markets, particularly in crop productivity and oil field businesses [16][18] - Despite current market uncertainties, management remains optimistic about achieving full-year adjusted EBITDA growth and positive free cash flow in 2025 [19] Other Important Information - The company declared a quarterly cash dividend of $0.395 per share, marking a 2.6% increase, continuing a 58-year trend of increasing dividends [7] Q&A Session Summary Question: Recovery of oil chemicals cost in surfactants - Management noted that coconut oil prices have increased significantly but are now coming down, with a goal to recover margins by 2026 [23] Question: Pricing challenges with lower raw material costs - Management emphasized the importance of balancing volumes and margins, stating they will remain competitive in the market [24] Question: Long-term margin goals for surfactants - Management believes that double-digit EBITDA margins are achievable as they grow in functional markets [26] Question: Pent-up demand in commercial roofing and insulation - Management confirmed there is pent-up demand for renovation in the construction sector, which could improve with lower interest rates [28] Question: Margin recovery in polymers - Management indicated that while margins are currently under pressure, they expect improvements as demand recovers [30] Question: Optimization of global footprint - Management committed to a balanced approach between productivity, asset rationalization, and top-line growth, with future announcements expected [32]

Financial Data and Key Metrics Changes - Adjusted EBITDA for the first nine months of 2025 grew by 9%, reaching $165 million, despite challenges from rising oil chemical raw material prices and higher startup costs related to the new Pasadena facility [3][4] - Third quarter adjusted EBITDA was $56 million, a 6% increase year-on-year [4][8] - Adjusted net income for the third quarter was $10.9 million, down 54% from $23.7 million in the prior year, primarily due to a higher effective tax rate and increased depreciation [5][7] Business Line Data and Key Metrics Changes - Specialty Products adjusted EBITDA increased significantly, driven by favorable order timing within the pharmaceutical business, with net sales rising 68% year-on-year [4][12] - Polymers net sales decreased by 4% to $143.9 million, although sales volume increased by 8% [11][12] - Surfactants net sales were $422.4 million, a 10% increase, but adjusted EBITDA decreased by 14% due to higher startup costs and raw material price inflation [10][11] Market Data and Key Metrics Changes - North America rigid polyol and commodity PA volumes both grew by double digits, while European rigid polyol volumes were impacted by macroeconomic uncertainties [5][11] - The company experienced double-digit volume growth in the crop productivity business and mid-single-digit growth in the oil field end market, but faced lower demand in global commodity consumer products [4][5] Company Strategy and Development Direction - The company remains focused on gradually recovering margins while balancing volumes and margins [4][16] - The new Pasadena facility is fully operational and expected to contribute fully by 2026, enhancing production capabilities [15][16] - The company is analyzing opportunities to optimize its global footprint and asset base, including the planned sale of its site in the Philippines [16] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about delivering full-year adjusted EBITDA growth and positive free cash flow in 2025 despite ongoing market uncertainties [16] - The company aims to maintain a competitive balance between volumes and margins, particularly in the surfactants business [22][24] Other Important Information - Free cash flow was positive at $40 million during the quarter, driven by reduced working capital and disciplined capital spending [5][12] - The Board declared a quarterly cash dividend of $0.395 per share, marking a 2.6% increase [6] Q&A Session Summary Question: Recovery of oil chemicals cost in surfactants - Management noted that coconut oil prices have increased by 70% compared to 2024, but prices are now coming down, and they aim to recover margins by 2026 [21] Question: Pricing challenges with lower raw material costs - Management emphasized the importance of balancing volumes and margins and stated they will remain competitive in the market [22] Question: Long-term margin goals for surfactants - Management believes that surfactants can achieve healthy double-digit EBITDA margins as they grow in functional markets [24] Question: Pent-up demand in commercial roofing and insulation - Management acknowledged pent-up demand for renovations in the construction sector and noted that lower interest rates could stimulate activity [25][26] Question: Margin recovery expectations in polymers - Management indicated that while margins are currently down, they expect improvements as demand recovers [28] Question: Future asset optimization actions - Management committed to a balanced approach between top-line growth and asset rationalization, with potential future announcements regarding asset sales [30]

Core Viewpoint - Nordson Corporation (NDSN) is expected to report strong earnings growth, with analysts projecting a profit increase for fiscal Q4 2025 and beyond, despite recent stock performance lagging behind market indices [1][2][3]. Financial Performance - NDSN is valued at a market cap of $13.4 billion and is set to announce its fiscal Q4 earnings for 2025 soon [1]. - Analysts anticipate a profit of $2.93 per share for fiscal Q4 2025, representing a 5.4% increase from $2.78 per share in the same quarter last year [2]. - For fiscal 2025, the expected profit is $10.14 per share, up 4.2% from $9.73 per share in fiscal 2024, with further growth projected to $11.05 per share in fiscal 2026 [2]. Recent Stock Performance - Over the past 52 weeks, NDSN's stock has declined by 3.9%, underperforming the S&P 500 Index, which returned 18.4%, and the Industrial Select Sector SPDR Fund, which increased by 15% [3]. - Following the release of better-than-expected Q3 results, NDSN's shares surged by 3% in the subsequent trading session [4]. Q3 Results - In Q3, NDSN reported a revenue increase of 12.1% year-over-year to $741.5 million, exceeding consensus estimates by 2.8% [4]. - The adjusted EPS for Q3 was $2.73, reflecting a 13.3% increase from the previous year and surpassing analyst expectations by 3.8% [4]. Analyst Ratings - Wall Street analysts maintain a "Moderate Buy" rating for NDSN, with five out of eleven analysts recommending "Strong Buy" and six suggesting "Hold" [5]. - The mean price target for NDSN is $257.56, indicating an 8.1% potential upside from current levels [5].

Core Viewpoint - LyondellBasell is set to announce its third-quarter 2025 financial results on October 31, 2025, before the U.S. market opens, followed by a webcast and teleconference to discuss the results [1]. Group 1: Financial Results Announcement - The financial results will be announced before the U.S. market opens on October 31, 2025 [1]. - A webcast and teleconference will take place at 11 a.m. EDT on the same day [1][2]. Group 2: Teleconference Details - The teleconference will be hosted by David Kinney, head of investor relations [2]. - Participants can access the webcast 10 to 15 minutes prior to the start of the call at www.lyb.com/earnings [2]. Group 3: Replay Information - A replay of the call will be available from 1 p.m. EDT on October 31 until December 1, 2025 [4]. - Replay dial-in numbers include a toll-free option at 877-660-6853 and a toll number at 201-612-7415, with an Access ID of 13746207 [4]. Group 4: Company Overview - LyondellBasell is a leader in the global chemical industry, focusing on sustainable living solutions [4]. - The company aims to enable a circular and low carbon economy through advanced technology and focused investments [4]. - As one of the world's largest producers of polymers, LyondellBasell develops high-quality products for various applications, including sustainable transportation and healthcare [4].

Core Insights - Stepan Company (NYSE:SCL) is recognized as one of the Best Dividend Stocks and is included in the Dividend Champions List [1] - The company reported strong financial performance with double-digit adjusted EBITDA growth in the first half of 2025, despite challenges from higher oleochemical costs [2] Financial Performance - In Q2, Stepan Company reported adjusted EBITDA of $51.4 million, an 8% increase year-over-year, with overall volumes up 1% [3] - The Polymers segment saw a 7% increase, while the NCT product line experienced a significant 49% jump [3] - Adjusted net income was $12 million, reflecting a 27% increase compared to the previous year, aided by solid earnings in polymers and crop productivity, as well as a lower tax rate [3] Business Developments - The company added over 400 new customers during the quarter, with both crop productivity and oilfield businesses showing double-digit growth [4] - Stepan Company is on track to close the sale of its site in the Philippines later this year, while optimizing its global footprint [4] Dividend Information - Stepan Company has a strong dividend history, having increased its payout for 57 consecutive years [5] - The current quarterly dividend is $0.385 per share, resulting in a yield of approximately 3.16% as of October 2 [5]

Core Insights - The article discusses the best dividend stocks for a dividend champions list, focusing on companies that have consistently increased their dividends for 25 years or more [2][5]. Dividend Champions Overview - Dividend champions are distinguished from dividend aristocrats by not needing to be part of the S&P Index, but they share a commitment to increasing dividend payouts [2]. - The ability to grow dividends through challenging times, such as the pandemic, highlights the resilience of these companies [3]. Market Trends - There is a growing interest in dividend stocks among younger investors, particularly Gen Z, who are seeking financial independence and early retirement [4]. - Income-focused ETFs have gained significant traction, capturing about one in every six dollars flowing into equity ETFs, with the sector reaching approximately $750 billion by 2025 [5]. Methodology for Stock Selection - The selection process involved analyzing over 150 dividend champions and identifying those with the highest dividend yields as of October 2 [7]. Company Highlights - **The York Water Company (NASDAQ:YORW)**: - Offers a dividend yield of 2.91% and has paid dividends since 1816, increasing payouts for 28 consecutive years [9][12]. - Operates in a monopoly-like environment, providing stable cash flow due to the high costs of establishing utility services [11]. - **The Southern Company (NYSE:SO)**: - Provides a dividend yield of 3.15% and has a strong reputation in nuclear energy, overseeing eight reactors [13][15]. - Has a record of 24 years of consecutive dividend increases and has paid dividends without interruption for 78 years [15]. - **Stepan Company (NYSE:SCL)**: - Offers a dividend yield of 3.16% and has increased its dividend for 57 straight years [16][19]. - Reported an 8% increase in adjusted EBITDA to $51.4 million in the second quarter, with strong growth in its Polymers and NCT product lines [17][18].

Core Viewpoint - LyondellBasell Industries N.V. (NYSE:LYB) is facing a revised price target of $65 from Evercore ISI, down from $90, due to concerns over profit potential and industry conditions [1][2]. Company Summary - LyondellBasell Industries N.V. is a global leader in the production of chemicals, plastics, and polymers, serving various applications such as packaging, automotive components, and construction materials [2]. - The company is projected to have a "near/medium-term" mid-cycle EBITDA of $5.5 billion [1]. Industry Summary - The chemical industry is experiencing a phase where investors are likely to wait for clear signs of improving conditions before recognizing any recovery in profitability [2]. - Factors affecting LyondellBasell's performance include the right-sizing of European operations, reduced earnings from oxyfuels, and a predicted oversupply in the industry that may last into the latter part of the decade [1].