Author repurchased Dow Inc. citing 2026 revenue growth, depressed valuation on EV/Total Capital, contained feedstock costs, and a 6% dividend while waiting.
DOW — LONG The author bought back Dow Inc. because 2026 should be the first year of positive revenue growth in three years and the industrial chemicals business has substantial operating leverage. He sees EV/Total Capital below 1 as excessive pessimism, with a $33B EV against $38B total capital, and argues it should trade at a 50% premium, worth over $35 per share. Flat-to-down fossil fuel prices should keep feedstock costs contained while the stock pays a 6% dividend.
2026 will be the first year of positive revenue growth in 3 years.