Eastman Chemical Stock Return On Equity
| EMN Stock | USD 103.60 2.23 2.20% |
Eastman Chemical fundamentals help investors to digest information that contributes to Eastman Chemical's financial success or failures. It also enables traders to predict the movement of Eastman Stock. The fundamental analysis module provides a way to measure Eastman Chemical's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Eastman Chemical stock.
| Last Reported | Projected for Next Year | ||
| Return On Equity | 0.16 | 0.12 |
Eastman | Return On Equity |
Eastman Chemical Company Return On Equity Analysis
Eastman Chemical's Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.
Current Eastman Chemical Return On Equity | 0.16 |
Most of Eastman Chemical's fundamental indicators, such as Return On Equity, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Eastman Chemical is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Eastman Return On Equity Driver Correlations
Understanding the fundamental principles of building solid financial models for Eastman Chemical is extremely important. It helps to project a fair market value of Eastman Stock properly, considering its historical fundamentals such as Return On Equity. Since Eastman Chemical's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Eastman Chemical's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Eastman Chemical's interrelated accounts and indicators.
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For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.
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Eastman Total Stockholder Equity
Total Stockholder Equity |
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Based on the latest financial disclosure, Eastman Chemical has a Return On Equity of 0.1593. This is 82.49% lower than that of the Chemicals sector and 97.3% lower than that of the Materials industry. The return on equity for all United States stocks is 151.39% lower than that of the firm.
Eastman Return On Equity Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Eastman Chemical's direct or indirect competition against its Return On Equity to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Eastman Chemical could also be used in its relative valuation, which is a method of valuing Eastman Chemical by comparing valuation metrics of similar companies.Eastman Chemical is currently under evaluation in return on equity category among its peers.
Eastman Chemical ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Eastman Chemical's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Eastman Chemical's managers, analysts, and investors.Environmental | Governance | Social |
Eastman Fundamentals
| Return On Equity | 0.16 | |||
| Return On Asset | 0.05 | |||
| Profit Margin | 0.09 % | |||
| Operating Margin | 0.15 % | |||
| Current Valuation | 16.18 B | |||
| Shares Outstanding | 115.91 M | |||
| Shares Owned By Insiders | 0.67 % | |||
| Shares Owned By Institutions | 90.90 % | |||
| Number Of Shares Shorted | 1.32 M | |||
| Price To Earning | 9.60 X | |||
| Price To Book | 2.08 X | |||
| Price To Sales | 1.26 X | |||
| Revenue | 9.21 B | |||
| Gross Profit | 2.18 B | |||
| EBITDA | 1.59 B | |||
| Net Income | 894 M | |||
| Cash And Equivalents | 493 M | |||
| Cash Per Share | 3.84 X | |||
| Total Debt | 4.97 B | |||
| Debt To Equity | 0.96 % | |||
| Current Ratio | 1.28 X | |||
| Book Value Per Share | 48.80 X | |||
| Cash Flow From Operations | 1.37 B | |||
| Short Ratio | 1.73 X | |||
| Earnings Per Share | 7.46 X | |||
| Price To Earnings To Growth | 1.44 X | |||
| Target Price | 116.0 | |||
| Number Of Employees | 14 K | |||
| Beta | 1.46 | |||
| Market Capitalization | 11.75 B | |||
| Total Asset | 14.63 B | |||
| Retained Earnings | 9.49 B | |||
| Working Capital | 905 M | |||
| Current Asset | 2.88 B | |||
| Current Liabilities | 2.06 B | |||
| Annual Yield | 0.03 % | |||
| Five Year Return | 2.92 % | |||
| Net Asset | 14.63 B | |||
| Last Dividend Paid | 3.24 |
About Eastman Chemical Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Eastman Chemical's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Eastman Chemical using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Eastman Chemical based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Pair Trading with Eastman Chemical
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Eastman Chemical position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Eastman Chemical will appreciate offsetting losses from the drop in the long position's value.Moving together with Eastman Stock
| 0.87 | DD | Dupont De Nemours Fiscal Year End 4th of February 2025 | PairCorr |
Moving against Eastman Stock
The ability to find closely correlated positions to Eastman Chemical could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Eastman Chemical when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Eastman Chemical - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Eastman Chemical to buy it.
The correlation of Eastman Chemical is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Eastman Chemical moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Eastman Chemical moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Eastman Chemical can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Eastman Chemical Piotroski F Score and Eastman Chemical Altman Z Score analysis. To learn how to invest in Eastman Stock, please use our How to Invest in Eastman Chemical guide.You can also try the Global Markets Map module to get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes.
Is Diversified Chemicals space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Eastman Chemical. If investors know Eastman will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Eastman Chemical listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.027 | Dividend Share 3.24 | Earnings Share 7.46 | Revenue Per Share 79.642 | Quarterly Revenue Growth 0.087 |
The market value of Eastman Chemical is measured differently than its book value, which is the value of Eastman that is recorded on the company's balance sheet. Investors also form their own opinion of Eastman Chemical's value that differs from its market value or its book value, called intrinsic value, which is Eastman Chemical's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Eastman Chemical's market value can be influenced by many factors that don't directly affect Eastman Chemical's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Eastman Chemical's value and its price as these two are different measures arrived at by different means. Investors typically determine if Eastman Chemical is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Eastman Chemical's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.