EASTMAN CHEMICAL CO (EMN) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:EMN • US2774321002
75.9 USD
+4.42 (+6.18%)
At close: Feb 3, 2026
75.65 USD
-0.25 (-0.33%)
After Hours: 2/3/2026, 8:12:44 PM
Overall EMN gets a fundamental rating of 4 out of 10. We evaluated EMN against 83 industry peers in the Chemicals industry. While EMN is still in line with the averages on profitability rating, there are concerns on its financial health. EMN has a decent growth rate and is not valued too expensively. EMN also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- EMN had positive earnings in the past year.
- EMN had a positive operating cash flow in the past year.
- Each year in the past 5 years EMN has been profitable.
- In the past 5 years EMN always reported a positive cash flow from operatings.
1.2 Ratios
- EMN's Return On Assets of 4.67% is fine compared to the rest of the industry. EMN outperforms 78.31% of its industry peers.
- The Return On Equity of EMN (12.11%) is better than 83.13% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 7.46%, EMN is in the better half of the industry, outperforming 73.49% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.67% | ||
| ROE | 12.11% | ||
| ROIC | 7.46% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- Looking at the Profit Margin, with a value of 7.75%, EMN is in the better half of the industry, outperforming 75.90% of the companies in the same industry.
- EMN's Profit Margin has been stable in the last couple of years.
- With a decent Operating Margin value of 12.92%, EMN is doing good in the industry, outperforming 68.67% of the companies in the same industry.
- EMN's Operating Margin has declined in the last couple of years.
- EMN has a Gross Margin of 22.85%. This is in the lower half of the industry: EMN underperforms 60.24% of its industry peers.
- EMN's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.92% | ||
| PM (TTM) | 7.75% | ||
| GM | 22.85% |
OM growth 3Y-5.48%
OM growth 5Y-2.51%
PM growth 3Y-10.27%
PM growth 5Y-0.81%
GM growth 3Y1.45%
GM growth 5Y-1.98%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), EMN is destroying value.
- There is no outstanding debt for EMN. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
- An Altman-Z score of 2.50 indicates that EMN is not a great score, but indicates only limited risk for bankruptcy at the moment.
- EMN's Altman-Z score of 2.50 is fine compared to the rest of the industry. EMN outperforms 67.47% of its industry peers.
- The Debt to FCF ratio of EMN is 12.85, which is on the high side as it means it would take EMN, 12.85 years of fcf income to pay off all of its debts.
- With a Debt to FCF ratio value of 12.85, EMN perfoms like the industry average, outperforming 55.42% of the companies in the same industry.
- EMN has a Debt/Equity ratio of 0.88. This is a neutral value indicating EMN is somewhat dependend on debt financing.
- EMN has a worse Debt to Equity ratio (0.88) than 61.45% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.88 | ||
| Debt/FCF | 12.85 | ||
| Altman-Z | 2.5 |
ROIC/WACC0.56
WACC13.26%
2.3 Liquidity
- A Current Ratio of 1.76 indicates that EMN should not have too much problems paying its short term obligations.
- Looking at the Current ratio, with a value of 1.76, EMN is in line with its industry, outperforming 42.17% of the companies in the same industry.
- EMN has a Quick Ratio of 1.76. This is a bad value and indicates that EMN is not financially healthy enough and could expect problems in meeting its short term obligations.
- The Quick ratio of EMN (0.86) is worse than 74.70% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.76 | ||
| Quick Ratio | 0.86 |
3. Growth
3.1 Past
- EMN shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -31.56%.
- The Earnings Per Share has been decreasing by -2.54% on average over the past years.
- EMN shows a decrease in Revenue. In the last year, the revenue decreased by -6.71%.
- EMN shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.65% yearly.
EPS 1Y (TTM)-31.56%
EPS 3Y-11.65%
EPS 5Y-2.54%
EPS Q2Q%-59.89%
Revenue 1Y (TTM)-6.71%
Revenue growth 3Y-6.13%
Revenue growth 5Y0.65%
Sales Q2Q%-12.12%
3.2 Future
- The Earnings Per Share is expected to grow by 13.78% on average over the next years. This is quite good.
- Based on estimates for the next years, EMN will show a small growth in Revenue. The Revenue will grow by 1.00% on average per year.
EPS Next Y9.58%
EPS Next 2Y12.26%
EPS Next 3Y12.72%
EPS Next 5Y13.78%
Revenue Next Year0.32%
Revenue Next 2Y1.82%
Revenue Next 3Y2.27%
Revenue Next 5Y1%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 14.06 indicates a correct valuation of EMN.
- Based on the Price/Earnings ratio, EMN is valued a bit cheaper than 78.31% of the companies in the same industry.
- EMN is valuated cheaply when we compare the Price/Earnings ratio to 28.18, which is the current average of the S&P500 Index.
- The Price/Forward Earnings ratio is 12.83, which indicates a correct valuation of EMN.
- 75.90% of the companies in the same industry are more expensive than EMN, based on the Price/Forward Earnings ratio.
- EMN's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.51.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.06 | ||
| Fwd PE | 12.83 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, EMN is valued a bit cheaper than 79.52% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, EMN is valued a bit cheaper than 69.88% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.92 | ||
| EV/EBITDA | 7.72 |
4.3 Compensation for Growth
- EMN's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- A more expensive valuation may be justified as EMN's earnings are expected to grow with 12.72% in the coming years.
PEG (NY)1.47
PEG (5Y)N/A
EPS Next 2Y12.26%
EPS Next 3Y12.72%
5. Dividend
5.1 Amount
- EMN has a Yearly Dividend Yield of 4.70%, which is a nice return.
- EMN's Dividend Yield is rather good when compared to the industry average which is at 2.27. EMN pays more dividend than 90.36% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.83, EMN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.7% |
5.2 History
- The dividend of EMN has a limited annual growth rate of 5.58%.
- EMN has paid a dividend for at least 10 years, which is a reliable track record.
- EMN has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)5.58%
Div Incr Years15
Div Non Decr Years30
5.3 Sustainability
- EMN pays out 54.51% of its income as dividend. This is a bit on the high side, but may be sustainable.
- The dividend of EMN is growing, but earnings are growing more, so the dividend growth is sustainable.
DP54.51%
EPS Next 2Y12.26%
EPS Next 3Y12.72%
75.9
+4.42 (+6.18%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)01-29 2026-01-29/amc
Earnings (Next)04-22 2026-04-22/amc
Inst Owners90.86%
Inst Owner Change-1.12%
Ins Owners0.7%
Ins Owner Change1.92%
Market Cap8.66B
Revenue(TTM)8.75B
Net Income(TTM)699.00M
Analysts75.65
Price Target76.91 (1.33%)
Short Float %3.69%
Short Ratio2.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.7% |
Yearly Dividend3.26
Dividend Growth(5Y)5.58%
DP54.51%
Div Incr Years15
Div Non Decr Years30
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-5.68%
Min EPS beat(2)-8.32%
Max EPS beat(2)-3.04%
EPS beat(4)1
Avg EPS beat(4)1.72%
Min EPS beat(4)-8.32%
Max EPS beat(4)18.25%
EPS beat(8)5
Avg EPS beat(8)3.53%
EPS beat(12)8
Avg EPS beat(12)2.53%
EPS beat(16)10
Avg EPS beat(16)1.76%
Revenue beat(2)0
Avg Revenue beat(2)-2.57%
Min Revenue beat(2)-3.51%
Max Revenue beat(2)-1.63%
Revenue beat(4)0
Avg Revenue beat(4)-2.48%
Min Revenue beat(4)-3.51%
Max Revenue beat(4)-1.63%
Revenue beat(8)1
Avg Revenue beat(8)-1.17%
Revenue beat(12)1
Avg Revenue beat(12)-2.5%
Revenue beat(16)4
Avg Revenue beat(16)-0.44%
PT rev (1m)-0.48%
PT rev (3m)-2.13%
EPS NQ rev (1m)-6.03%
EPS NQ rev (3m)-33.06%
EPS NY rev (1m)-0.9%
EPS NY rev (3m)-6.73%
Revenue NQ rev (1m)-0.88%
Revenue NQ rev (3m)-6.04%
Revenue NY rev (1m)-0.24%
Revenue NY rev (3m)-2.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.06 | ||
| Fwd PE | 12.83 | ||
| P/S | 0.96 | ||
| P/FCF | 21.92 | ||
| P/OCF | 8.59 | ||
| P/B | 1.5 | ||
| P/tB | 7.89 | ||
| EV/EBITDA | 7.72 |
EPS(TTM)5.4
EY7.11%
EPS(NY)5.92
Fwd EY7.8%
FCF(TTM)3.46
FCFY4.56%
OCF(TTM)8.84
OCFY11.64%
SpS79.11
BVpS50.59
TBVpS9.63
PEG (NY)1.47
PEG (5Y)N/A
Graham Number78.4
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.67% | ||
| ROE | 12.11% | ||
| ROCE | 9.09% | ||
| ROIC | 7.46% | ||
| ROICexc | 7.75% | ||
| ROICexgc | 12.31% | ||
| OM | 12.92% | ||
| PM (TTM) | 7.75% | ||
| GM | 22.85% | ||
| FCFM | 4.38% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-5.48%
OM growth 5Y-2.51%
PM growth 3Y-10.27%
PM growth 5Y-0.81%
GM growth 3Y1.45%
GM growth 5Y-1.98%
F-Score5
Asset Turnover0.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.88 | ||
| Debt/FCF | 12.85 | ||
| Debt/EBITDA | 3.03 | ||
| Cap/Depr | 119.96% | ||
| Cap/Sales | 6.79% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 60.11% | ||
| Profit Quality | 56.51% | ||
| Current Ratio | 1.76 | ||
| Quick Ratio | 0.86 | ||
| Altman-Z | 2.5 |
F-Score5
WACC13.26%
ROIC/WACC0.56
Cap/Depr(3y)130.13%
Cap/Depr(5y)124.87%
Cap/Sales(3y)7.2%
Cap/Sales(5y)6.56%
Profit Quality(3y)75.52%
Profit Quality(5y)78.99%
High Growth Momentum
Growth
EPS 1Y (TTM)-31.56%
EPS 3Y-11.65%
EPS 5Y-2.54%
EPS Q2Q%-59.89%
EPS Next Y9.58%
EPS Next 2Y12.26%
EPS Next 3Y12.72%
EPS Next 5Y13.78%
Revenue 1Y (TTM)-6.71%
Revenue growth 3Y-6.13%
Revenue growth 5Y0.65%
Sales Q2Q%-12.12%
Revenue Next Year0.32%
Revenue Next 2Y1.82%
Revenue Next 3Y2.27%
Revenue Next 5Y1%
EBIT growth 1Y2.73%
EBIT growth 3Y-11.27%
EBIT growth 5Y-1.88%
EBIT Next Year63.36%
EBIT Next 3Y25.77%
EBIT Next 5Y22.27%
FCF growth 1Y-34.6%
FCF growth 3Y6.5%
FCF growth 5Y-16.93%
OCF growth 1Y-15.93%
OCF growth 3Y-0.17%
OCF growth 5Y-7.79%
EASTMAN CHEMICAL CO / EMN FAQ
Can you provide the ChartMill fundamental rating for EASTMAN CHEMICAL CO?
ChartMill assigns a fundamental rating of 5 / 10 to EMN.
Can you provide the valuation status for EASTMAN CHEMICAL CO?
ChartMill assigns a valuation rating of 7 / 10 to EASTMAN CHEMICAL CO (EMN). This can be considered as Undervalued.
Can you provide the profitability details for EASTMAN CHEMICAL CO?
EASTMAN CHEMICAL CO (EMN) has a profitability rating of 5 / 10.
What is the expected EPS growth for EASTMAN CHEMICAL CO (EMN) stock?
The Earnings per Share (EPS) of EASTMAN CHEMICAL CO (EMN) is expected to grow by 9.58% in the next year.
How sustainable is the dividend of EASTMAN CHEMICAL CO (EMN) stock?
The dividend rating of EASTMAN CHEMICAL CO (EMN) is 8 / 10 and the dividend payout ratio is 54.51%.