The Dow Chemical Company (DOW)

Still has a low price-to-book despite huge hit to equity. Transforming into more growth oriented company after Rohm&Haas acquisition.

I was talking to my father, who recently retired from Dow, about some of the recent issues that were going on with Dow. Since he was with them for over 30 years, and was one of the highest ranking people at the plant that he worked at, I trust his judgement. He said that they will come out of this whole thing fine and continue to grow. They already seem to be doing that and doing it well.

The world will always need Dow Chemical products. It has been beaten up and is rising again. Wish I jumped on it at half this price.

DOW products are consumed by almost every part of the world businesses, their products are necessary components in almost every industry, as the world economy grows and developing countries emerge they will all need DOW items, there are many new items in the pipeline and many patents pending

Management is aggressively holding costs down to pay for the RoH deal and make up for the lack of the deal with Kuwait. The purchase of RoH added a large portfolio of specialty, patent protected, chemicals. Management is looking for a replacement partner for Kuwait and is likely to find one. Long term I have concerns - if new product lines such as Dow Solar Solutions develop then I'll have a more favorable long term view.

this company has very capable CEO so he runs company for the desirable direction.

I PERSONALLY THINK THAT THIS STOCK WOULD OUTPERFORM OTHERS BECAUSE ITS WELL ORGANIZED AND EASY TO USE.(ONLY IF YOU KNOW WHAT YOU DOING).

Dow has conservative management and was able to merge successfully and create additional "scale" opportunities the market did not even notice. These opportunities are being expressed by Dow right now.

Basic materials will be back in demand soon.

Once they sort out their merger mess, the rising tide will lift this ship higher than most.

Got slaughtered earlier this year, but has almost tripled from its low. This is one of the best companies in the world. Will benefit from recovery.

Dow is not dead, and it is not dying. In spite of the ill timed Rohm and Hass deal, they are still alive and kicking. They just completed a 2.75B note offering, which along with the sale of some assets, they expect to have the "bridge loan", used to acquire R&H, paid off by year end. They are making changes in their product mix, moving toward more high margin specialty chemicals. I bought when they looked like a "dying quail" and have about a 200% profit so far. Even at their current price the look to double again in the longer term when the economy recovers. Even though they are paying a lower dividend then historically, they are still paying one, and that will come back up with recovery. If you are patient, and find a doubling of your investment over the next 2-3 years an acceptable return, it is still a buy. They are currently falling a little, mostly from the non-recurring write downs and the note offerings, so there might be a "dip opportunity" to do even better. JMO and worth exactly what I am charging for it.

strong international position will be advantaged by weakening dollar. Divestiture of commodity products and acquisition of Rhom and Haas will smooth cyclicality problem of the past

Movements in the bio fuel sector will produce gains

paid out a dividend of $0.15

The Rohm and Haas purchase was a complete debacle. Andrew Liveris should have been fired over the mismanagement of that M&A decision. The dividend was reduced from ~$0.37 to $.05. The crisis in this company was at one point so strong, there was a small possibility that they may have been forced into bankruptcy (as evidenced by the $5+ stock price in March). But not anymore.

The Rohm and Haas purchase has been completed. Since the shotgun wedding of these two goliaths, DOW has had to take out a bridge loan of $9.2BB and issue additional stock in order to pay for the $15BB purchase price of ROH. DOW has correctly recognized they now have a large debt problem (duh!). DOW has begun breaking off non-core businesses, such as Morton and its interest in a refinery in the Netherlands, and putting them up for sale. DOW is using the money from these sales to pay down debt from the bridge loan. It will take some time, but DOW will successfully pay back the bridge loan and once again be prepared to grow its business.

The face of DOW’s commodity business is changing dramatically. The purchase of ROH will be the catalyst for DOW to shift its business model from a commoditized chemicals company, to a more specialized chemicals firm that will enable it to generate higher operating margins and more cash. It will also help the company to avoid the earnings troughs that come about every 5 years and drive its stock price into the tank. It will still be in the basic chemicals business, but those units will not dominate the largest portion of the overall company earnings. Its exposure to peaks and troughs will have been greatly mitigated.

The purchase of ROH has enabled the company to become a growth company once more. They can leverage their existing customer base and have an expanded product line / offering beyond the commoditized chemicals. The margins captured on the newer lines are going to generate much higher profits / cash with much less volatility. This may not play out for a few years, but I do believe this will be a multi-bagger over time. $15 a share is a steal considering future growth and cash generation.

Global need for materials Dow Chemical uses

This stock was chosen as part of a group of stocks based upon criteria which focused heavily on dividend yield, cash flow, and balance sheet information.

sky rockets in flight.......POW......afternoon delight

this company is a bargain, they will boost fast beg of next year. they have a lot going for them, even in the long run rohm and hass transaction will make them money.'

this is prob my fav stock of all time!