Eastman Chemical Co. Stock
Price
Target price
€65.46
€65.46
-0.780%
-0.52
-0.780%
€100.14
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Eastman Chemical Co. Stock
The price for the Eastman Chemical Co. stock decreased slightly today. Compared to yesterday there is a change of -€0.520 (-0.780%).
With 15 Buy predictions and not the single Sell prediction the community is currently very high on Eastman Chemical Co..
As a result the target price of 100 € shows a very positive potential of 52.77% compared to the current price of 65.46 € for Eastman Chemical Co..
For the coming years our community has positive and negative things to say abot the Eastman Chemical Co. stock. Criterium "Expected dividend yield" gathered the most positive votes but regarding "EBIT growth" there were negative voices in the community.
Pros and Cons of Eastman Chemical Co. in the next few years
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Performance of Eastman Chemical Co. vs. its peers
| Security | Change(%) | 1w | 1m | 1y | YTD | 3y | 5y |
|---|---|---|---|---|---|---|---|
| Eastman Chemical Co. | -0.780% | -8.010% | -9.959% | -29.232% | -24.845% | -21.633% | 4.352% |
| Air Products + Chemicals | -0.660% | -2.229% | -3.557% | -5.187% | -13.513% | 7.316% | 13.821% |
| Celanese Corp. A | -1.210% | -8.696% | -1.166% | -63.450% | -27.342% | -59.346% | -40.302% |
| Sherwin-Williams Co. | -0.890% | -8.740% | -11.582% | 2.126% | -11.568% | 35.847% | 67.040% |
sharewise BeanCounterBot
The analysis provided is generated by an artificial intelligence system and is provided for informational purposes only. We do not guarantee the accuracy, completeness, or usefulness of the analysis, and we are not responsible for any errors or omissions. Use of the analysis is at your own risk.
Last updated at 2025-04-26
1. Executive Summary
- Current financial position: Eastman Chemical Co. (EMN) reported revenue of $2.29 billion and net income of $182 million for Q2 2025.
- Key findings:
- Revenue decreased slightly from $2.31 billion in Q2 2024.
- Net income increased by 10.3% from $165 million in Q2 2024.
- Cash and cash equivalents decreased to $418 million from $837 million at the end of 2024.
- Overall financial trend: Mixed, with improving profitability but declining cash reserves and slight revenue decrease.
2. Profitability Analysis
- Revenue trend: Slightly decreased from $2.31 billion in Q2 2024 to $2.29 billion in Q2 2025.
- Profit trend: Net income increased from $165 million in Q2 2024 to $182 million in Q2 2025 (10.3% growth).
- Profit margins:
- Gross profit margin improved from 23.03% in Q2 2024 to 24.76% in Q2 2025.
- Net profit margin increased from 7.14% in Q2 2024 to 7.95% in Q2 2025.
- Operating efficiency: Operating expenses (SG&A, R&D, etc.) remained relatively stable as a percentage of revenue.
- Cost structure: Cost of goods sold decreased from 76.97% of revenue in Q2 2024 to 75.24% in Q2 2025, contributing to improved margins.
3. Balance Sheet Strength
- Assets: Total assets decreased to $14.971 billion from $15.213 billion at the end of 2024.
- Liabilities: Total liabilities decreased to $9.027 billion from $9.361 billion at the end of 2024.
- Equity: Stockholders' equity increased slightly to $5.871 billion from $5.779 billion at the end of 2024.
- Liquidity: Cash and cash equivalents decreased significantly to $418 million from $837 million at the end of 2024.
- Solvency: Long-term debt remained relatively stable at $4.736 billion, while short-term borrowings decreased to $285 million from $450 million.
4. Cash Flow Assessment
- Operating cash flow: Turned negative to -$167 million in Q2 2025 from positive $16 million in Q2 2024, primarily due to working capital changes.
- Investing cash flow: Remained negative at -$131 million, slightly improved from -$179 million in Q2 2024.
- Financing cash flow: Switched from positive $148 million in Q2 2024 to negative $124 million in Q2 2025, mainly due to net debt repayments.
- Cash generation: The company generated less cash overall, with a net decrease in cash of $419 million in Q2 2025.
5. Growth and Investment
- Capital expenditures: Remained high at $147 million in Q2 2025, slightly lower than $185 million in Q2 2024.
- R&D investments: R&D expenses were $67 million in Q2 2025, up from $59 million in Q2 2024.
- Growth trajectory: The company is investing in capital expenditures and R&D, indicating a focus on future growth.
- Potential growth catalysts: Continued investment in property, plant, and equipment, and increased R&D spending.
6. Risk Factors
- Key financial risks:
- Decreasing cash reserves despite positive net income.
- Negative operating cash flow in Q2 2025.
- High capital expenditures.
- Concerning trends: Significant decrease in cash and cash equivalents, negative operating cash flow.
- Financial resilience: The company has a significant amount of long-term debt and a relatively stable equity position.
7. Valuation Context
- Current stock price: $66.76 as of April 25, 2025.
- P/E ratio: Based on Q2 2025 earnings, the annualized P/E would be approximately 10.6 ($1.57 EPS diluted * 4 = $6.28 annualized EPS; $66.76 / $6.28 = 10.63).
- Historical context: Without historical P/E data, it's challenging to assess if the current valuation is high or low relative to the past.
- Valuation insight: The company's current valuation appears reasonable given its earnings and growth prospects.
8. Key Considerations
- Key factors for investors to consider:
- The company's ability to manage working capital and improve operating cash flow.
- The impact of continued high capital expenditures on future profitability and cash flow.
- The balance between debt repayment and investment in growth initiatives.
- Potential strengths: Improving profitability, continued investment in R&D and capital expenditures.
- Potential challenges: Managing cash flow, maintaining profitability amidst potential market fluctuations.
Comments
Eastman Chemical (NYSE: EMN) had its price target lowered by analysts at UBS Group AG from $111.00 to $107.00. They now have a "buy" rating on the stock.
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Ratings data for EMN provided by MarketBeat
Eastman Chemical (NYSE: EMN) had its price target lowered by analysts at KeyCorp from $120.00 to $106.00. They now have an "overweight" rating on the stock.
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Ratings data for EMN provided by MarketBeat
Eastman Chemical (NYSE: EMN) had its price target lowered by analysts at Morgan Stanley from $125.00 to $115.00. They now have an "overweight" rating on the stock.
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Ratings data for EMN provided by MarketBeat
News
Eastman CFO Willie McLain to address Deutsche Bank 16th Annual Global Industrials, Materials & Building Products Conference
Eastman Chemical Company (NYSE:EMN):
Industrials Conference
Willie McLain, Executive Vice President and Chief Financial Officer, Eastman Chemical Company (NYSE:EMN), will address the
Eastman Board Declares Dividend
The Board of Directors of Eastman Chemical Company (NYSE:EMN) has declared a quarterly cash dividend of $0.83 per share on the company's common stock.
The dividend is payable July 8, 2025, to
Eastman Announces 2025 Annual Meeting Stockholder Vote Results
At the Eastman Chemical Company (NYSE:EMN) annual meeting, stockholders:
-
reelected directors Humberto P. Alfonso, Brett D. Begemann, Eric L. Butler, Mark J. Costa, Linnie M. Haynesworth, Julie