EASTMAN CHEMICAL CO
$65.03
−0.58 (−0.88%) · delayed · Nov 13, 2026
Five-year price
52w $56.11 to $83.47
- Market cap
- $7.4B
- Enterprise value
- $11.7B
- P/E
- 15.9×
- 10.1× on 3y avg EPS
- EV / EBIT
- —
- FCF yield
- 5.7%
- ROIC
- —
- Debt / equity
- 0.80
- Piotroski F
- 5/9
Value scorecard · FY2025
Does it pass the value tests?
Quality
25
- –ROIC > 12% (5y avg)5y avg ROIC n/a
- ○ROE > 15% (5y avg)5y avg ROE 14.1%
- –Stable operating marginsMargin volatility n/a (σ, 5y)
- ○Earnings convert to cashFCF / net income 79% (5y avg)
- ○Growing revenueRevenue CAGR 5y 0.7%
- ●Shrinking share countDiluted shares -15.3% over 5y
Value
50
- ○P/E below 15P/E 15.9
- –EV/EBIT below 12EV/EBIT n/a
- ○FCF yield above 6%FCF yield 5.7%
- ●Price below Graham NumberGraham Number $69.34
- ●P/B below 3P/B 1.2
Safety
0
- ○Debt / equity below 0.5D/E 0.80
- ○Debt payable in < 4 yrs of earningsNet debt $4.2B
- –Interest coverage > 8xCoverage n/ax
- ○Current ratio > 1.5Current ratio 1.37
- ○Piotroski F-score ≥ 6F-score 5/9
Graham Defensive
71
- ●Adequate size (revenue > $2B)Revenue $8.8B
- ○Strong condition (current ratio ≥ 2)Current ratio 1.37
- ●Earnings stability (no loss, 10y)10 years of data
- ●Uninterrupted dividendsDividends paid every year on record
- ○Earnings growth ≥ 33% (10y, 3y avgs)EPS growth -15%
- ●Moderate P/E (≤ 15 on 3y avg EPS)P/E (3y avg) 10.1
- ●P/E × P/B ≤ 22.5Product 12.6
Valuation lab
What do you have to believe?
At $65.03, the market is pricing in about 9.9% annual free-cash-flow growth for the next decade (9% discount rate, 2.5% terminal growth).
Starting cash flow
Net debt $4.2B · 114M shares · 5y revenue CAGR 0.7%
Intrinsic value
$15.34
Price
$65.03
Premium paid
324%
What the price implies
The market is paying for 9.9% annual cash-flow growth for 10 years at a 9.0% discount rate.
Terminal value share
52% of the value sits beyond year 10.
Financial statements
A decade of the record.
USD millions · fiscal years · source: SEC 10-K XBRL
| Line item | FY16 | FY17 | FY18 | FY19 | FY20 | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | 9,008 | 9,549 | 10,151 | 9,273 | 8,473 | 10,476 | 10,580 | 9,210 | 9,382 | 8,752 |
| Gross profit | 2,357 | 2,363 | 2,479 | 2,234 | 1,975 | 2,500 | 2,137 | 2,061 | 2,290 | 1,844 |
| Operating income | 1,383 | 1,532 | — | — | — | — | — | — | — | — |
| Operating margin | 15.4% | 16.0% | — | — | — | — | — | — | — | — |
| Pre-tax income | 1,049 | 1,289 | 1,310 | 902 | 530 | 1,082 | 977 | 1,087 | 1,078 | 568 |
| Income tax | 190 | (99) | 226 | 140 | 41 | 215 | 181 | 191 | 170 | 93 |
| Net income | 854 | 1,384 | 1,080 | 759 | 478 | 857 | 793 | 894 | 905 | 474 |
| EPS (diluted) | 5.75 | 9.47 | 7.56 | 5.48 | 3.50 | 6.25 | 6.35 | 7.49 | 7.67 | 4.10 |
| Diluted shares | 148 | 146 | 143 | 139 | 137 | 137 | 125 | 119 | 118 | 116 |
Who owns it