Luminus Trims Its Hefty Chemours Position

Luminus Management LLC reduced its stake in The Chemours Company (NYSE:CC) during Q3 2025, selling shares worth an estimated $4.30 million, based on the average quarterly price, according to an SEC filing dated October 3, 2025.

What happened

Luminus Management LLC disclosed in a Securities and Exchange Commission (SEC) filing dated October 3, 2025, that it sold 296,701 shares of The Chemours Company (NYSE:CC) during the quarter. The estimated value of the shares sold was approximately $4.30 million, based on the average unadjusted closing price for the quarter. Following the transaction, the fund held 1,765,089 shares valued at $27.96 million.

What else to know

This sale reduced Chemours to 25.1% of Luminus’ reportable 13F assets under management.

Top holdings after the filing:

• NYSE:CC: $27.96 million (25.1% of AUM)
• NYSE:OI: $26.53 million (23.8% of AUM)
• NYSE:SEE: $17.65 million (15.9% of AUM)
• NYSE:KEX: $9.76 million (8.8% of AUM)
• NYSE:KWR: $7.97 million (7.2% of AUM)

As of October 6, 2025, Chemours shares were priced at $15.80, down 6.5% year-to-date, lagging the S&P 500 by 21.0 percentage points.

Company Overview

Company Snapshot

Chemours offers performance chemicals including titanium dioxide pigments, refrigerants, advanced performance materials, and a range of chemical solutions for industrial and consumer applications.

It generates revenue primarily through the sale of specialty chemicals and materials to industrial customers across coatings, plastics, electronics, energy, and automotive sectors.

The company serves a global customer base spanning North America, Asia Pacific, Europe, the Middle East, Africa, and Latin America, with products distributed via direct sales, resellers, and distributors.

The Chemours Company leverages advanced technologies and established brands to address demanding applications in coatings, plastics, electronics, and energy. It operates globally in performance materials and chemical solutions.

Foolish take

Since Chemours is still Luminus Management's largest position at 25% of its portfolio, I wouldn't take this sale as an indictment on the stock.

If anything, Luminus may have just been capitalizing on the fact that its largest holding nearly doubled its share price between June and September this year on an array of good news items.

First, Chemours resolved all pending perfluoroalkyl and polyfluoroalkyl substances (PFAS) environmental claims with the state of New Jersey for $250 million. Thanks to its insurance proceeds and existing escrow funds, this settlement results in no out-of-pocket payments for the company.

Second, the company's second-quarter earnings looked excellent, particularly its Opteon refrigerants business line, which grew sales by 65%. These low global warming potential products work in vehicle air conditioning, refrigeration at supermarkets, and even immersion cooling at data centers.

This last one -- immersion cooling -- is what has the market intrigued right now.

Chemours recently announced that its Opteon two-phase immersion cooling fluid successfully qualified to be used by a leading manufacturer of solid-state drives (SSDs). This means Chemours is home to the first two-phase immersion cooling fluid that qualified for the SSD-manufacturing leader, which prompted the stock to rise by 20% in one day in August.

While this is a promising growth outlet for Chemours, the company still has a lot of work ahead of it, considering its $4 billion debt load compared to a market capitalization of only $2.4 billion, further regulatory overhang, and persistent cyclicality.

However, Chemours trades with a price-to-sales (P/S) ratio of just 0.4, so it could be an attractive value stock for investors who believe in the company's Opteon-powered growth prospects.

Glossary

13F assets under management (AUM): The value of securities a fund must report quarterly to the SEC on Form 13F.
Quarterly report: A financial statement covering a company's or fund's performance over a three-month period.
Dividend yield: Annual dividends paid by a company divided by its current share price, shown as a percentage.
Performance chemicals: Specialized chemicals designed for specific industrial or consumer applications, often with advanced properties.
Specialty chemicals: Chemicals produced for specific uses, offering unique functions or performance in industrial processes.
Portfolio holding: An individual investment, such as a stock or bond, owned within a fund or portfolio.
Reduction of reportable assets: Decrease in the value or number of securities a fund must disclose in regulatory filings.
Direct sales: Selling products directly to customers without intermediaries or distributors.
Distributors: Companies or individuals that buy products from manufacturers and sell them to retailers or end-users.
TTM: The 12-month period ending with the most recent quarterly report.

Josh Kohn-Lindquist has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.