Phosphorus Chemical Sector Strengthens Again Amid Escalating Middle East Tensions and Tighter Domestic Policies

Avient declared a quarterly dividend of $0.2825 per share, a 2.7% increase from its prior payout of $0.2750. The new dividend carries a forward yield of 2.72%. It is payable January 7 to shareholders of record as of December 11, which is also the ex-dividend date. The increase follows four consecutive quarters in which the company paid $0.2750 per share.

Albemarle Corporation paid down $1.3 billion of outstanding debt in March 2026, reducing annual interest expense by roughly $60 million, following divestments of its controlling stake in Ketjen and its 50% interest in the Eurecat joint venture that together generated $670 million in pre-tax proceeds. The company's total long-term debt stood at roughly $1.88 billion at the end of the second quarter, down from $3.19 billion at the end of 2025, with a net debt-to-EBITDA leverage ratio of 0.5x versus 1x in the sequentially prior quarter and no major maturities due until late 2028. Albemarle ended the quarter with liquidity of around $3.2 billion, including cash and cash equivalents of around $1.6 billion, and expects interest and financing expense of $120-$140 million for 2026. Among peers, Sociedad Quimica y Minera de Chile exited the second quarter with long-term debt of around $4.79 billion and cash and cash equivalents of around $3.4 billion, while ICL Group ended the quarter with net debt of roughly $2.64 billion, up $375 million from the end of 2025, and cash resources of $2.2 billion. Albemarle stock carries a Zacks Rank #4 (Sell), and the Zacks Consensus Estimate for its 2026 earnings implies a year-over-year rise of 1,541.8%, though EPS estimates for 2026 have trended lower over the past 60 days.

Kasikorn Securities, citing Reuters, reported that on October 5, AkzoNobel announced an agreement to sell its architectural coatings business in Southeast Asia to Nippon Paint for 1.35 billion dollars, or about 45.48 billion baht. The sale covers decorative paint operations in Indonesia, Malaysia, Thailand, Singapore, Papua New Guinea, and Australia. The Indonesia portion of the deal is expected to close in late 2026, while the remaining countries are expected to complete in mid-2027. The brokerage views this news as slightly negative for TOA, as it causes the company to miss an opportunity to invest in expanding its market share both domestically and abroad, even though the company currently has a strong cash position of approximately 10 billion baht and almost no debt. Looking ahead, competition in the industry is not expected to intensify. In Thailand, TOA holds more than half of the market, while in overseas markets the reduction in the number of players should keep competitive conditions unchanged or even ease. Kasikorn Securities therefore continues to select TOA as one of its Top Picks, citing its attractive valuation, its position as market leader in paints, and earnings trends that are stronger than other construction materials stocks. It recommends buying with a target price of 19.0 baht, versus the current share price of 14.80 baht, implying a 2026/27 PER of only 10 times and 9.4 times, below the industry average of about 14 times. The brokerage believes the share price decline already reflects concerns over still-high energy costs, while the company has the ability to pass on higher costs and its earnings estimates already factor in these pressures. First-half 2026 profit accounted for 59% of the full-year profit forecast.