Olin (OLN) AI Stock Analysis

• Market Cap: $2.18B
• Dividend Yield: 4.12%
• Average Volume (3M): 2.68M
• Price to Earnings (P/E): 41.2
• Beta (1Y): 1.55
• Revenue Growth: 4.68%
• EPS Growth: -62.80%
• Country: US
• Employees: 7,676
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 0.40
• Shares Outstanding: 114,121,530
• 10 Day Avg. Volume: 3,495,680
• 30 Day Avg. Volume: 2,681,796
• PEG Ratio: -0.49
• Price to Book (P/B): 1.97
• Price to Sales (P/S): 0.61
• P/FCF Ratio: 12.92
• Enterprise Value/Market Cap: 2.78
• Enterprise Value/Revenue: 0.89
• Enterprise Value/Gross Profit: 9.67
• Enterprise Value/Ebitda: 7.80
• 1Y Price Target: $24.42
• Price Target Upside: 25.88% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 12
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 48 Neutral
• Price Target: $19.00 ▼(-2.06% Downside)

Olin's overall stock score reflects significant financial and technical challenges. The most impactful factors are the company's low profitability and liquidity issues, compounded by bearish technical indicators. While there are some positive aspects from the earnings call, such as strategic initiatives and tax credits, these are overshadowed by ongoing operational difficulties and high valuation concerns.

Positive Factors

Strategic Initiatives

The Beyond250 initiative aims to deliver a $70 million to $90 million benefit, indicating a focus on long-term cost efficiency and profitability improvements.

Chlor Alkali and Vinyls Performance

Robust performance in these segments suggests a solid market position and potential for sustained revenue growth in core chemical products.

Hydrogen Tax Credits

The tax credits provide an annual adjusted EBITDA benefit of $15 million to $20 million from 2026 to 2028, enhancing long-term financial performance.

Negative Factors

High Leverage

High leverage raises concerns about financial stability and limits flexibility, potentially impacting long-term growth and investment capacity.

Weak Cash Flow

Weak cash generation relative to net income indicates challenges in converting profits into cash, affecting liquidity and investment potential.

Epoxy Segment Challenges

Ongoing issues in the Epoxy segment could hinder revenue growth and margin sustainability, affecting overall business performance.

Olin Business Overview & Revenue Model

Company Description

Olin Corporation (OLN) is a diversified global manufacturer and distributor of chemical products and ammunition. The company operates through two primary segments: the Chemical segment and the Ammunition segment. The Chemical segment includes products such as chlorine, caustic soda, and epoxy resins, which are used in various industrial applications, including water treatment, pharmaceuticals, and consumer goods. The Ammunition segment produces small caliber ammunition for the military, law enforcement, and commercial markets, catering to both domestic and international customers.

How the Company Makes Money

Olin generates revenue primarily through the sale of its chemical and ammunition products. The Chemical segment earns money by supplying high-demand chemicals to various industries, capitalizing on the needs for water treatment, industrial manufacturing, and consumer products. Revenue is driven by sales volume and pricing dynamics in the global chemical markets. The Ammunition segment makes money through contracts with government entities, military agencies, and commercial sales to consumers and law enforcement. Key partnerships with government and military contracts significantly contribute to stable revenue streams. Additionally, Olin benefits from economies of scale in production, which helps to optimize costs and enhance profitability.

Olin Financial Statement Overview

Summary

Olin's financial performance is challenged by low profitability and cash flow issues. The income statement shows declining margins and volatile revenue growth. The balance sheet is burdened by high leverage, and cash flow analysis reveals significant liquidity concerns.

Income Statement

Olin's income statement shows a mixed performance. The TTM gross profit margin is relatively low at 9.25%, indicating pressure on profitability. The net profit margin has decreased to 0.79% from 1.66% in the previous year, reflecting challenges in maintaining net income levels. Revenue growth is positive at 1.86% TTM, but this follows a decline in the previous year, suggesting volatility. EBIT and EBITDA margins have also decreased significantly, indicating reduced operational efficiency.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 1.63 TTM, which is a concern for financial stability. Return on equity has decreased to 2.67% TTM, showing reduced profitability for shareholders. The equity ratio is not explicitly provided, but the high leverage suggests a lower proportion of equity financing. Overall, the balance sheet indicates a need for improved capital structure management.

Cash Flow

Cash flow analysis shows significant challenges, with a negative free cash flow growth rate of -126.84% TTM, indicating cash flow issues. The operating cash flow to net income ratio is low at 0.10, suggesting weak cash generation relative to net income. The free cash flow to net income ratio is negative, highlighting difficulties in converting profits into free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.79B	6.54B	6.83B	9.38B	8.91B	5.76B
Gross Profit	628.10M	737.50M	1.16B	2.18B	2.29B	383.40M
EBITDA	778.60M	873.90M	1.31B	2.43B	2.49B	549.40M
Net Income	53.80M	108.60M	460.20M	1.33B	1.30B	-969.90M
Balance Sheet
Total Assets	7.60B	7.58B	7.71B	8.04B	8.52B	8.27B
Cash, Cash Equivalents and Short-Term Investments	140.30M	175.60M	170.30M	194.00M	180.50M	189.70M
Total Debt	3.24B	3.15B	3.02B	2.94B	3.16B	4.23B
Total Liabilities	5.61B	5.52B	5.44B	5.50B	5.87B	6.82B
Stockholders Equity	1.99B	2.02B	2.23B	2.54B	2.65B	1.45B
Cash Flow
Free Cash Flow	-72.80M	308.10M	738.30M	1.69B	1.54B	119.50M
Operating Cash Flow	141.70M	503.20M	974.30M	1.92B	1.74B	418.40M
Investing Cash Flow	-302.30M	-283.70M	-340.80M	-259.70M	-197.40M	-835.70M
Financing Cash Flow	-77.00M	-212.60M	-656.90M	-1.65B	-1.55B	371.00M

Olin Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 19.40
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For OLN, the sentiment is Negative. The current price of 19.4 is below the 20-day moving average (MA) of 22.15, below the 50-day MA of 23.65, and below the 200-day MA of 22.64, indicating a bearish trend. The MACD of -1.24 indicates Positive momentum. The RSI at 32.79 is Neutral, neither overbought nor oversold. The STOCH value of 7.48 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for OLN.

Olin Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PRM	67 Neutral	$3.57B	57.32	7.39%	―	19.12%	―
AVNT	63 Neutral	$2.72B	24.09	4.79%	3.64%	1.03%	-24.57%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
KWR	58 Neutral	$2.29B	―	-0.64%	1.42%	0.08%	-107.33%
OLN	48 Neutral	$2.18B	41.22	2.67%	4.12%	4.68%	-62.80%
WLK	47 Neutral	$8.27B	―	-9.48%	3.24%	-5.32%	-1108.29%
CC	46 Neutral	$1.76B	―	-87.50%	4.91%	2.12%	-579.74%

Olin Corporate Events

Olin Corporation Reports Q3 2025 Earnings Turnaround

Olin Corporation is a vertically integrated global manufacturer and distributor of chemical products, including chlorine and caustic soda, and a leading U.S. manufacturer of ammunition under the Winchester brand. The company operates primarily in the chemical manufacturing and ammunition sectors, with a focus on chlor alkali products and vinyls, epoxies, and ammunition production.

Olin Corporation’s Earnings Call: Mixed Results and Strategic Initiatives

The recent earnings call from Olin Corporation painted a mixed picture for investors. While the company reported strong performances in its Chlor Alkali and Vinyls segments and benefited from clean hydrogen tax credits, it also faced ongoing challenges in its Epoxy and Winchester commercial ammunition segments. Additionally, there was an increase in net debt due to working capital issues, which added a layer of complexity to the financial outlook.

Olin Corporation Updates Bylaws with New Amendments

On August 13, 2025, Olin Corporation’s Board of Directors approved amendments to the company’s Bylaws, which include revised procedural and disclosure requirements for shareholder nominations and business proposals, and mandate that director candidates be available for Board interviews. Additionally, on August 12, 2025, the Board declared a quarterly dividend of $0.20 per share, payable on September 12, 2025, marking the company’s 395th consecutive quarterly dividend.

The most recent analyst rating on (OLN) stock is a Hold with a $28.00 price target. To see the full list of analyst forecasts on Olin stock, see the OLN Stock Forecast page.