Eastman Chemical (EMN)
NYSE:EMN
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Eastman Chemical
(NYSE:EMN)
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Rating:69Neutral
Price Target:
$85.00
▲(15.21% Upside)
Action:ReiteratedDate:05/02/26
The score is driven by solid technical strength and a supportive earnings outlook (pricing actions and expected sequential improvement), balanced against softened recent financial performance (margin/return compression and uneven demand) and limited valuation clarity due to the unusable P/E figure; the dividend yield provides additional support.
Positive Factors
Diversified specialty portfolio across higher-value end markets
Eastman’s multi-segment specialty portfolio (additives, advanced materials, CI, fibers) provides exposure to diversified end markets (auto, construction, consumer, industrial). This reduces commodity cyclicality, supports premium pricing in qualified products, and allows portfolio shifts into higher-margin specialties over time.
Negative Factors
Revenue and margin compression versus prior years
Material margin and ROE deterioration reflect mix shifts, cost pressure, and softer demand. If margins remain below historical levels, reinvestment capacity and returns to shareholders could be constrained. Sustained compression would slow deleveraging and limit ability to fund strategic growth without relying on external financing.
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Positive Factors
Negative Factors
Diversified specialty portfolio across higher-value end markets
Eastman’s multi-segment specialty portfolio (additives, advanced materials, CI, fibers) provides exposure to diversified end markets (auto, construction, consumer, industrial). This reduces commodity cyclicality, supports premium pricing in qualified products, and allows portfolio shifts into higher-margin specialties over time.
Read all positive factors
Eastman Chemical (EMN) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$8.77B
Dividend Yield5.33%
Average Volume (3M)1.66M
Price to Earnings (P/E)20.3
Beta (1Y)1.04
Revenue Growth-7.41%
EPS Growth-56.10%
CountryUS
Employees14,000
SectorBasic Materials
Sector Strength58
IndustryChemicals - Specialty
Share Statistics
EPS (TTM)3.49
Shares Outstanding114,349,960
10 Day Avg. Volume1,385,683
30 Day Avg. Volume1,658,332
Financial Highlights & Ratios
PEG Ratio-0.33
Price to Book (P/B)1.23
Price to Sales (P/S)0.84
P/FCF Ratio17.27
Enterprise Value/Market Cap1.54
Enterprise Value/Revenue1.56
Enterprise Value/Gross Profit7.90
Enterprise Value/Ebitda11.34
Forecast
1Y Price Target
$83.00Price Target Upside12.50% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering12
EPS Forecast (FY)6.2
Revenue Forecast (FY)$9.13B
Eastman Chemical Business Overview & Revenue Model
Company Description
Eastman Chemical Company operates as a specialty materials company in the United States and internationally. The company's Additives & Functional Products segment offers hydrocarbon and rosin resins; organic acid-based solutions; amine derivative-...
How the Company Makes Money
Eastman makes money primarily by manufacturing and selling chemicals and specialty materials to business customers under a portfolio organized by operating segment. (1) Additives & Functional Products: Generates revenue from specialty additives an...
Eastman Chemical Key Performance Indicators (KPIs)
Any
Revenue by Segment
Breaks down revenue across different business units, highlighting which segments are driving growth and which may need strategic adjustments.
Breaks down revenue across different business units, highlighting which segments are driving growth and which may need strategic adjustments.
Data provided by:
The Fly
The FlyEastman Chemical Earnings Call Summary
Earnings Call Date:May 01, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Jul 23, 2026
Earnings Call Sentiment Positive
The call conveyed cautious optimism: multiple strong positives (methanolysis momentum, CI spread-driven earnings uplift, substantial pricing actions, tariff refund neutrality, and a path to >$6 EPS) outweigh notable risks (fibers weakness, end-market softness, geopolitical uncertainty, working capital headwinds, and input-price volatility). Management emphasized pricing power, North American supply advantage, and commercial wins that should drive sequential and back-half improvement, while acknowledging near-term visibility and segment-specific challenges.Positive Updates
Methanolysis / Circular Platform Momentum
Renewed methanolysis platform driving revenue growth in specialty plastics and rPET with new wins in Tritan and cosmetic packaging; company reiterates prior guidance of ~4%–5% revenue growth and notes potential upside as rPET demand strengthens versus rising virgin PET prices.
Negative Updates
Fibers Segment Weakness and Lowered Near-Term Expectations
Fibers experienced reduced customer shipments and forward-looking volume risk from Middle East customers; management cut segment expectations (noted a ~$20 million reduction versus prior guide) and set a fibers earnings range near $210 million–$240 million driven by slower yarn growth and lower asset utilization.
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Q1-2026 Updates
Positive
Negative
Methanolysis / Circular Platform Momentum
Renewed methanolysis platform driving revenue growth in specialty plastics and rPET with new wins in Tritan and cosmetic packaging; company reiterates prior guidance of ~4%–5% revenue growth and notes potential upside as rPET demand strengthens versus rising virgin PET prices.
Read all positive updates
Company Guidance
Management reiterated a 2026 revenue outlook of roughly 4–5% growth and said adjusted EPS should be above $6 per share, noting they have implemented about $500 million of price increases (Chemical Intermediates pricing sequentially approaching ~20% while specialties see mid‑single‑digit Q1→Q2 increases); Chemical Intermediates is expected to deliver roughly $50 million of EBIT in Q2 with an estimated ~$50 million maintenance/shutdown tailwind in Q3, fibers segment guidance was trimmed to about $210–$240 million of EBIT for the year, and the company recognized ≈$20 million of IEEPA tariff refunds in Q1 (cash expected in H2); management also flagged a potential working‑capital headwind of roughly $150–$200 million (as a proxy of 1/3 of a $500 million revenue uplift), noted a ~$100 million incremental cost base tied to the methanolysis plant while highlighting rPET/methanolysis growth opportunities, and said CI can sell essentially all volumes it can produce.Eastman Chemical Financial Statement Overview
Summary
Income Statement
58
Neutral
Balance Sheet
62
Positive
Cash Flow
68
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 8.64B | 8.75B | 9.38B | 9.20B | 10.54B | 10.48B |
| Gross Profit | 1.71B | 1.84B | 2.29B | 2.06B | 2.06B | 2.52B |
| EBITDA | 1.19B | 1.29B | 1.80B | 1.81B | 1.64B | 1.81B |
| Net Income | 399.00M | 474.00M | 905.00M | 894.00M | 793.00M | 857.00M |
Balance Sheet | ||||||
| Total Assets | 15.22B | 14.86B | 15.21B | 14.63B | 14.67B | 15.52B |
| Cash, Cash Equivalents and Short-Term Investments | 665.00M | 566.00M | 837.00M | 548.00M | 493.00M | 459.00M |
| Total Debt | 5.33B | 5.08B | 5.26B | 5.14B | 5.15B | 5.52B |
| Total Liabilities | 9.14B | 8.82B | 9.36B | 9.10B | 9.43B | 9.73B |
| Stockholders Equity | 6.01B | 5.96B | 5.78B | 5.46B | 5.15B | 5.70B |
Cash Flow | ||||||
| Free Cash Flow | 498.00M | 424.00M | 688.00M | 546.00M | 364.00M | 1.04B |
| Operating Cash Flow | 1.00B | 970.00M | 1.29B | 1.37B | 975.00M | 1.62B |
| Investing Cash Flow | -435.00M | -462.00M | -534.00M | -432.00M | 392.00M | -29.00M |
| Financing Cash Flow | -332.00M | -797.00M | -454.00M | -888.00M | -1.32B | -1.69B |
Eastman Chemical Technical Analysis
Positive
73.78
Price Trends
73.46
Positive
69.01
Positive
66.68
Positive
Market Momentum
0.56
Negative
53.25
Neutral
44.59
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EMN, the sentiment is Positive. The current price of 73.78 is above the 20-day moving average (MA) of 72.74, above the 50-day MA of 73.46, and above the 200-day MA of 66.68, indicating a bullish trend. The MACD of 0.56 indicates Negative momentum. The RSI at 53.25 is Neutral, neither overbought nor oversold. The STOCH value of 44.59 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for EMN.
Eastman Chemical Risk Analysis
Eastman Chemical disclosed 16 risk factors in its most recent earnings report. Eastman Chemical reported the most risks in the "Legal & Regulatory" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 1 New Risks
1.
The Company is subject to risks associated with the potential use of artificial intelligence in the Company's own operations and by third-party partners that the Company may engage with. Q4, 2025
Eastman Chemical Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
69 Neutral | $8.77B | 20.33 | 8.09% | 5.33% | -7.41% | -56.10% | |
66 Neutral | $10.43B | 37.13 | 7.29% | 1.25% | 13.00% | -48.06% | |
65 Neutral | $6.26B | 12.75 | 24.12% | 1.59% | -3.47% | -12.95% | |
61 Neutral | $10.43B | 7.12 | -0.05% | 2.87% | 2.86% | -36.73% | |
57 Neutral | $22.47B | -10.05 | -5.13% | 1.10% | -4.37% | 48.60% | |
56 Neutral | $14.71B | -4.38 | -15.50% | 2.88% | -8.01% | -351.54% | |
49 Neutral | $5.46B | 30.69 | -9.59% | ― | -1.99% | -176.82% |
* Basic Materials Sector Average
EMN
Eastman Chemical
76.72
4.19
5.78%
ALB
Albemarle
190.69
134.19
237.52%
NEU
Newmarket
680.04
61.34
9.92%
WLK
Westlake Corporation
114.87
38.12
49.67%
ESI
Element Solutions
42.80
22.33
109.12%
AVTR
Avantor
7.99
-3.99
-33.31%
Eastman Chemical Corporate Events
Business Operations and StrategyPrivate Placements and Financing
Eastman Chemical Issues $600 Million Senior Notes Offering
Positive
Feb 20, 2026
On February 20, 2026, Eastman Chemical Company issued $600 million of 4.500% unsecured notes due 2031 in a public offering, with interest payable semi-annually and optional redemption features that allow early repayment under specified make-whole ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.