Stock analysis · Bull Rankings model

EMN analysis

Eastman Chemical CompanySpecialty Chemicals. Scored on the same transparent model behind the daily rankings.

EMN
Eastman Chemical Company · Specialty Chemicals
FCF$539mC+
Rev-4.5%D+
D/E0.90C
P/E18.2xB
PEG0.57A-
55.2Score
$69.95$8.0B
1Y Target$81.13Analyst consensus · 15 analysts
5Y Target$102.43Compound horizon
10Y Target$131.36Long-dated conviction
FCF$539mTTM
C+
FCF $539m — respectable but not differentiating
Rev-4.5%TTM YoY
D+
Revenue -4.5% — shrinking; needs a catalyst to reverse
D/E0.90
C
D/E 0.90 — more levered than most Basic Materials peers (≈90th pctile)
P/E18.2x
B
P/E 18.2 — near the Basic Materials median (≈60th pctile)
PEG0.57
A-
PEG 0.57 — strong; Lynch's preferred zone

Forward price target — the 1-year figure is the analyst consensus where the stock is covered; the 5- and 10-year figures compound our earnings estimate from there. The DCF below is a separate cross-check on intrinsic value (what it's worth today), not another target.

Quality-growth score · 55.2
Quality0.64
Growth0.45
Value0.59
Entry · Margin of safety
52-week rangeMid-range
16% off the 12-month high
vs DCF fair value7% belowest. fair value ~$75
What the price assumes: free cash flow compounding at ~5% a year for the next decade — vs the ~9% a year our model projects from current growth and analyst estimates.
Quality signals · context only
Gross profitability11% · C+gross profit ÷ total assets (Novy-Marx)
ROIC10.7% · Breturn on invested capital — not score-weighted
Why now
Specialty Chemicals · market cap $8.0b. 16% off the 52-week high of $83.47. PEG 0.57 — paying under fair value for the growth rate. 15 sell-side analysts rate this a Buy with a mean 1-yr target of $81.13 (implying +16% upside).
Moat
FCF converts 122% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk
Dividend payout 87% of earnings on a 4.8% yield — distribution coverage is thin; one earnings stumble could force a dividend cut. Net margin 5.0% is thin — operating leverage cuts both ways; input-cost inflation or pricing pressure hits the bottom line first. ROE 7% is below the long-run sustainable threshold of ~10% — capital efficiency would need to improve for the equity base to compound at the market rate.
Horizon
1-3 yr $81.13 (15-analyst consensus) — multiple re-rating thesis requires a catalyst. 5 yr $102.43 at ~8% CAGR — dividend + buyback compounding. 10 yr $131.36 if the moat survives secular pressure.
Not investment advice. The Bull Rankings publishes a quantitative ranking model and accompanying analysis for general informational purposes only. Nothing on this page is a recommendation to buy, sell, or hold any security; nothing is personalized to your circumstances, risk tolerance, or tax situation. Investing carries the risk of loss — invest at your own risk and consider consulting a licensed financial professional before acting on anything you read here. See terms and methodology for full disclosures.

EMN vs the Top Picks average

PillarEMNBook avgDiff
Quality0.640.83-0.19
Growth0.450.91-0.46
Value0.590.75-0.15

Averaged across the 30 names in today's Top Picks (mean score 81.8). A name can beat these averages and still be absent from the book — it also applies concentration limits.

Trend
+15.6 over 32 daily scores
From 39.6 (Jun 22) → 55.2 (now)

One point per daily model run. The range autoscales, so a flat-looking line can still hide 1–2 point moves — read the From → To values for the actual range.

Shares to buy
28
Position size
$1,959
3.9% of portfolio
Stop price
$52.46
25% below $69.95
$ at risk if stopped
$489.65
budget $500.00 · 1% of portfolio

Math only — share count is floor(portfolio × risk% ÷ (price × stop%)). Doesn't account for commissions, slippage, gap risk, or position-correlation across your book. Inputs persist locally; never sent to the server. Not investment advice.

Eastman Chemical Company (EMN): score, valuation & FAQ

Eastman Chemical Company (EMN) is a Specialty Chemicals company that scores 55.2 out of 100 on the Bull Rankings quality-growth model — a middling reading. The score blends three pillars — quality (durable returns, healthy margins, low leverage), growth (revenue and earnings), and value (valuation versus sector peers) — into one number, refreshed daily; it is a screen, not a buy recommendation.

Its strongest graded signals are PEG (A-), while Rev (D+) rate weaker. On valuation, EMN sits about 7% below our discounted-cash-flow fair value (a margin of safety) — the current price implies roughly 5% annual free-cash-flow growth over the next decade.

Is EMN a good stock to buy?

Bull Rankings scores EMN 55.2 out of 100 on its quality-growth model, which is a middling reading. That is driven by PEG (A-). A score is a quantitative screen of Eastman Chemical Company's fundamentals, not personalised financial advice — weigh it against your own time horizon and risk tolerance, and read the risk factors below before acting.

Why does EMN score 55.2 on Bull Rankings?

The quality-growth score blends three pillars — quality (returns on capital, margins, leverage, earnings quality), growth (revenue and earnings expansion), and value (valuation versus sector peers). EMN earns its highest marks on PEG (A-), and is held back by Rev (D+). Each pillar is graded against sector-aware thresholds, then combined into the single 0–100 score.

Is EMN overvalued or undervalued?

Based on $69.95, EMN sits about 7% below our discounted-cash-flow fair value (a margin of safety) — the current price implies roughly 5% annual free-cash-flow growth over the next decade. It trades at a 18.2x× P/E (graded B). Discounted-cash-flow estimates are sensitive to growth and discount-rate assumptions, so treat this as a cross-check, not a price target.

What are the main risks of investing in EMN?

Dividend payout 87% of earnings on a 4.8% yield — distribution coverage is thin; one earnings stumble could force a dividend cut. Net margin 5.0% is thin — operating leverage cuts both ways; input-cost inflation or pricing pressure hits the bottom line first. ROE 7% is below the long-run sustainable threshold of ~10% — capital efficiency would need to improve for the equity base to compound at the market rate.

New to these metrics? The guides explain free cash flow, how the score works, and more in the learn hub — or run another name through the screener.

Bull Rankings is an automated fundamentals screen for research and education. It is not investment advice, and nothing here is a recommendation to buy or sell any security. Do your own research and consider consulting a licensed financial adviser.

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