Expert Outlook: Eastman Chemical Through The Eyes Of 5 Analysts

Analysts' ratings for Eastman Chemical EMN over the last quarter vary from bullish to bearish, as provided by 5 analysts.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $93.2, a high estimate of $101.00, and a low estimate of $89.00. Witnessing a positive shift, the current average has risen by 6.39% from the previous average price target of $87.60.

Understanding Analyst Ratings: A Comprehensive Breakdown

A comprehensive examination of how financial experts perceive Eastman Chemical is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Eastman Chemical. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Eastman Chemical compared to the broader market.
• Price Targets: Analysts gauge the dynamics of price targets, providing estimates for the future value of Eastman Chemical's stock. This comparison reveals trends in analysts' expectations over time.

Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of Eastman Chemical's market position. Stay informed and make well-judged decisions with the assistance of our Ratings Table.

Stay up to date on Eastman Chemical analyst ratings.

Unveiling the Story Behind Eastman Chemical

Established in 1920 to produce chemicals for Eastman Kodak, Eastman Chemical has grown into a global specialty chemicals company with manufacturing sites around the world. The company generates the majority of its sales outside of the United States, with a strong presence in Asian markets. During the past several years, Eastman has sold noncore businesses, choosing to focus on higher-margin specialty product offerings.

Unraveling the Financial Story of Eastman Chemical

Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.

Decline in Revenue: Over the 3 months period, Eastman Chemical faced challenges, resulting in a decline of approximately -16.32% in revenue growth as of 30 September, 2023. This signifies a reduction in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Materials sector.

Net Margin: Eastman Chemical's net margin is impressive, surpassing industry averages. With a net margin of 7.85%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): Eastman Chemical's ROE stands out, surpassing industry averages. With an impressive ROE of 3.35%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): Eastman Chemical's ROA excels beyond industry benchmarks, reaching 1.21%. This signifies efficient management of assets and strong financial health.

Debt Management: Eastman Chemical's debt-to-equity ratio is notably higher than the industry average. With a ratio of 0.98, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.

The Significance of Analyst Ratings Explained

Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

This article was generated by Benzinga's automated content engine and reviewed by an editor.