Eastman Chemical
EMN on NYSE. Eastman sells chemicals and materials to manufacturers and other businesses worldwide. Market value $7.4bn.
Price checks use the past 12 months to June 2026. Quality checks use five annual reports, the latest for the year to December 2025.
The company doesn't report operating profit, so we work it out from pre-tax profit and interest.
Should I look at this?
Worth a closer look
Why it could be worth it
What to watch out for
Nothing big in our quick check. See what could go wrong below.
This is not advice. Check the numbers below.
For every $100 of what the whole company costs, it produced $7.26 of spare cash in the past 12 months. A savings account pays about $4.
You pay 15.9 years of operating profit for the business. The average large US company costs around 18.
Each dollar kept in the business earns 10 cents a year. Above 10 is good.
Quality score: 71 of 100. Price score: 92 of 100. Our list needs 70 on quality and 60 on price.
$64.94 a share, 16% above its 1-year low
Over the past year the price has ranged from $56.11 to $83.47.
Dividend: 5.1% a year
Paid every year for at least 5 years
Prices from Monday’s close (5 October).
Five years of cash, in billions
| Revenue | |||||
| Revenue | $10.5bn | $10.6bn | $9.2bn | $9.4bn | $8.8bn |
| Operating margin | |||||
| Operating margin | 12.2% | 11.0% | 14.1% | 13.6% | 8.9% |
| Debt to equity | |||||
| Debt to equity | 0.90 | 1.00 | 0.89 | 0.87 | 0.80 |
| Shares outstanding | |||||
| Shares outstanding | 0.12bn | 0.12bn | 0.12bn | 0.11bn | 0.11bn |
Health checks
- Free cash flow positive5 of 5 years
- Accounting looks honest (Beneish)Nothing unusual
- Financial strength (Piotroski)6 of 9
- Profit backed by cash (accruals)Yes
- Debt0.80× equity
- Revenue growth, five yearsSlow, 0.7% a year
- Buying back its own sharesYes, 5% fewer since 2021
The quarter to June 2026
How the business did, compared with the same quarter a year earlier.
- Sales: $2.5 billion last quarter, up 10% on a year ago.
- Profit: $183 million, up 31% on a year ago.
- Spare cash over the past 12 months: $539 million, up from $406 million.
- 1% fewer shares than a year ago. Each share owns a bit more of the company.
- Debt is $4.5 billion more than cash, down from $4.7 billion a year ago.
- Sales grew on a year ago in 1 of the last 4 quarters.
| Quarter to | Amount |
|---|---|
| September 2024 | $2.5bn |
| December 2024 | $2.2bn |
| March 2025 | $2.3bn |
| June 2025 | $2.3bn |
| September 2025 | $2.2bn |
| December 2025 | $2.0bn |
| March 2026 | $2.2bn |
| June 2026 | $2.5bn |
| Quarter to | Amount |
|---|---|
| September 2024 | $180m |
| December 2024 | $330m |
| March 2025 | $182m |
| June 2025 | $140m |
| September 2025 | $47m |
| December 2025 | $105m |
| March 2026 | $107m |
| June 2026 | $183m |
From the company's quarterly reports to the SEC.
Dates
- Next results (estimated)
- n/a
- Last annual report (10-K)
- 13 February 2026
- Next quarterly (estimated, 10-Q)
- 30 October 2026
Who owns it
8 long-term investors we follow own it, unchanged from 8 last quarter. 642 funds in all.
- Letko BrosseauLetko Brosseau team
- Value
- $80m
- Share of fund
- 1.2%
- Markel GroupTom Gayner
- Value
- $5m
- Share of fund
- <0.1%
- GAMCO InvestorsMario Gabelli
- Value
- $299,401
- Share of fund
- <0.1%
| Fund | Value | Share of that fund | Change |
|---|---|---|---|
| Boston PartnersBoston Partners team | $100m | <0.1% | Added |
| LSV Asset ManagementJosef Lakonishok | $82m | 0.1% | Added |
| Letko BrosseauLetko Brosseau team | $80m | 1.2% | |
| Gotham Asset ManagementJoel Greenblatt | $27m | <0.1% | Added |
| Polaris Capital ManagementBernard Horn | $23m | 2.1% | Cut |
| Markel GroupTom Gayner | $5m | <0.1% | |
| GMOJeremy Grantham | $1m | <0.1% | Added |
| GAMCO InvestorsMario Gabelli | $299,401 | <0.1% |
Largest holders overall
- BlackRock$1.1bnAdded
- Vanguard Portfolio Management$506m
- Dimensional Fund Advisors LP$346mAdded
- Vanguard Capital Management$346m
- State Street$283m
- Morgan Stanley$223mAdded
- Franklin Resources$192mCut
- Massachusetts Financial Services$178m
- Bank of America$165mAdded
- Earnest Partners$161m
From 13F filings for the quarter ended 30 June 2026.
Big holders and activists
3 investors own more than 5%.
- BlackRock, Inc.Passive investor13.8%+1.9 ptsSince 31 March 2026
- Vanguard Portfolio ManagementPassive investor6.7%Since 31 March 2026
- Vanguard Capital ManagementPassive investor5.2%Since 31 March 2026
- Franklin Resources, Inc.Passive investorSold down below 5%Since 30 June 2025
- Capital Research Global InvestorsPassive investorSold down below 5%Since 30 June 2025
- The Vanguard GroupPassive investorSold down below 5%Since 13 March 2026
| Holder | Stake | Since | |
|---|---|---|---|
BlackRock, Inc. Passive investor | 13.8%+1.9 pts | 31 March 2026 | |
Vanguard Portfolio Management Passive investor | 6.7% | 31 March 2026 | |
Vanguard Capital Management Passive investor | 5.2% | 31 March 2026 | |
Franklin Resources, Inc. Passive investor | Sold down below 5% | 30 June 2025 | |
Capital Research Global Investors Passive investor | Sold down below 5% | 30 June 2025 | |
The Vanguard Group Passive investor | Sold down below 5% | 13 March 2026 |
From Schedule 13D and 13G filings: anyone owning more than 5% must file one.
What insiders did
No insider bought shares on the open market in the last 12 months. 1 sold $365,789.
- Holt Adrian JamesSVP, Chf HR OfcrSold
- Date
- 4 August 2026
- Shares
- 3,283
- Price
- $71.31
- Value
- $234,111
- Holt Adrian JamesSVP, Chf HR OfcrSold
- Date
- 5 May 2026
- Shares
- 1,709
- Price
- $77.05
- Value
- $131,678
| Date | Who | Did | Shares | Price | Value |
|---|---|---|---|---|---|
| 4 August 2026 | Holt Adrian James SVP, Chf HR Ofcr | Sold | 3,283 | $71.31 | $234,111 |
| 5 May 2026 | Holt Adrian James SVP, Chf HR Ofcr | Sold | 1,709 | $77.05 | $131,678 |
From Form 4 filings: insiders must report trades in their own company's shares within two days.
Warning signs in its filings
Problems the company itself reported to the SEC, in its own words.
None of the warning signs we check for were found.
We look for five warning signs: doubt it can keep going, weak checks on its own accounts, a notice that its past accounts can't be relied on, a change of auditor, and one customer bringing in a big share of sales. We don't check lawsuits, investigations or debt yet.
We checked the auditor's report, internal controls, restatement notices, auditor changes and big customers in the 10-K filed 13 Feb 2026, plus the 10-Q filed 31 Jul 2026 and 4 later 8-Ks.
A 10-K is the yearly report every US company files with the SEC. An 8-K is a short notice of a big event.
What could go wrong
- Sales have barely grown: 0.7% a year.
Whether the price already reflects the risks is what the deep dive is for.
What changed in the risks this year
Companies must list what could hurt them each year. These are the parts that changed since last year’s report.
The Company is subject to risks associated with the potential use of artificial intelligence in the Company’s own operations and by third-party partners that the Company may engage with.
Could happenliability. Analyses, results, or business processes relying on AI may also be deficient, inaccurate, or biased, and the Company may fail to identify in a timely fashion, or at all, if or to the extent that is the case.
The Company is subject to risks associated with the potential use of artificial intelligence in the Company’s own operations and by third-party partners that the Company may engage with.
Could happenEastman has been increasingly using AI tools and more traditional data science practices in its operations, research and development, and other areas to improve efficiency and effectiveness. The Company may be exposed to risks in cases where it utilizes AI in connection with certain business activities now or in the future. In addition, the use of AI by Eastman, its employees, or any of its third-party partners may result in unauthorized disclosure of data, which can result in, among other things, reputational harm, loss of confidence by the Company’s customers or employees, penalties, litigation costs, or legal
Read more
The deep dive
Everything above is arithmetic on public filings. The deep dive reads the last ten years of annual reports, the proxy statements, and the earnings calls, then argues the case the way Buffett, Klarman, and Hohn would, and checks every claim against the source.
- What the business is worth, as a range, and the margin of safety at today’s price
- Prices to start buying, buy, and buy hard
- The three things that would make this a mistake
- Every number footnoted to the filing it came from
Your first deep dive is free.
Not advice. Numbers on this page come from SEC filings and are updated each night; prices are updated again after the US market closes. The five-year figures are rounded.