At a glance
Eastman Chemical Company is worth $7.63B, about 16 times its fiscal 2025 earnings. Revenue fell 6.7% to $8.75B in fiscal 2025, with 5.4% kept as profit; over 5 years it has grown 0.7% a year. It pays a 5.04% dividend yield, raised every year for at least 9 years, and returned $2.79B to shareholders in dividends and buybacks over FY2021–FY2025. The stock returned +10.5% over the past year with dividends reinvested and −6.0% a year over five years, against +11.5% and +11.7% for the S&P 500. At its worst it fell 47.5% in the 2020 crash (S&P 500: 33.7%) and 43.2% in the 2022 bear market (S&P 500: 24.5%).
The business in plain English
Eastman Chemical is a specialty materials company that makes plastics, additives, chemicals and fibers. Other companies build these into everyday products such as laminated car glass, food packaging, coatings, cosmetics and clothing. It began in 1920 supplying chemicals to Eastman Kodak's photography business and became a separate public company in 1993. Its headquarters and largest plant are in Kingsport, Tennessee. It runs 36 manufacturing sites and has stakes in four joint ventures, across 12 countries.
Fiscal 2025 revenue of $8.8 billion came from four segments. Advanced Materials, which includes Tritan copolyester plastics, Saflex interlayers for laminated glass, and window and paint protection films, brought in $2.9 billion, or 33%. Additives & Functional Products, home of the Solus paper-coating additive, matched it at about 33%. Chemical Intermediates contributed 22% and Fibers 12%.
Since 2004, Eastman has moved from commodity toward specialty products. It exited polyethylene and PET plastics and acquired Solutia in 2012 and Taminco in 2014. Molecular recycling, which breaks plastic waste into building blocks for products under the Renew brand, is an investment focus. Eastman earns the gap between what customers pay and its raw material, energy and production costs. In 2025 that gross margin was about 21% of revenue. About 55% of 2025 revenue came from outside the US and Canada. The US was 42% and China 11%.
Price history
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EMN +10.5% over the year to Oct 28, 2026, total return with dividends reinvested.
How it makes money
By business segment
| Advanced Materials | $2.88B | 32.9% |
| Additives And Functional Products | $2.88B | 32.9% |
| Chemical Intermediates | $1.93B | 22% |
| Fibers | $1.05B | 12% |
| Other Segments | $17.0M | 0.2% |
By geography
| All Foreign Countries | $4.14B | 47.3% |
| UNITED STATES | $3.66B | 41.8% |
| CHINA | $950.0M | 10.9% |
Latest results
- In Q3 FY2026 (ended Sep 30, 2026), revenue was $2.38B, up 8.3% from a year earlier, and net income was $252.0M (+265.2%).
- For fiscal 2025, revenue was $8.75B (-6.7% year over year; +0.7% a year from FY2020 to FY2025) with a 5.4% net margin.
Financial health check
| Revenue growth a year (FY2020–FY2025) | +0.7% watch |
|---|---|
| Free cash flow margin | 4.8% watch |
| Return on equity (FY2025) | 8% watch |
| Return on assets (FY2025) | 3.2% watch |
| Net cash (cash minus debt) | $-4.45B weak |
| Fiscal year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2020 | $8.47B | $478.0M | $1.07B |
| FY2021 | $10.48B | $857.0M | $1.06B |
| FY2022 | $10.58B | $793.0M | $364.0M |
| FY2023 | $9.21B | $894.0M | $546.0M |
| FY2024 | $9.38B | $905.0M | $688.0M |
| FY2025 | $8.75B | $474.0M | $424.0M |
Valuation snapshot
| Market value | $7.63B |
|---|---|
| P/E ratio | 16.3 |
| Dividend yield | 5.04% |
Rank among 1514 US companies
Market value at each year end
Eastman Chemical’s market value went from $11.04B at the end of 2016 to $7.63B on Oct 28, 2026, down 31%; since the end of 2025 it is up 5%.
Show as a table
| Year end | Market value | Change |
|---|---|---|
| Oct 28, 2026 | $7.63B | +4.7% |
| 2025 | $7.28B | -30.8% |
| 2024 | $10.52B | -1.2% |
| 2023 | $10.65B | +9.0% |
| 2022 | $9.77B | -37.3% |
| 2021 | $15.59B | +14.5% |
| 2020 | $13.62B | +26.4% |
| 2019 | $10.78B | +5.5% |
| 2018 | $10.22B | -23.3% |
| 2017 | $13.32B | +20.6% |
| 2016 | $11.04B |
Price behavior
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | |
|---|---|---|---|---|---|
| EMN price data to Oct 28, 2026 | +8.3% | +10.5% | +1.3% | -6.0% | +2.6% |
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | +8.3% |
| 2025 | -26.8% |
| 2024 | +5.1% |
| 2023 | +14.6% |
| 2022 | -30.4% |
| 2021 | +23.6% |
| 2020 | +31.5% |
| 2019 | +12.0% |
| 2018 | -19.1% |
| 2017 | +26.3% |
| 2016 | +14.4% |
| 2015 | -8.9% |
| 2014 | -4.3% |
| 2013 | +20.6% |
| 2012 | +77.7% |
| 2011 | -4.8% |
| 2010 | +43.4% |
| 2009 | +98.8% |
| 2008 | -46.2% |
| 2007 | +5.9% |
| 2006 | +17.3% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Lost 71.4% over that stretch · deepest drop along the way 76.1%, back to its old high 18.5 months after the low |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 46.8% over that stretch · deepest drop along the way 47.5%, back to its old high 2.4 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 38.7% over that stretch · deepest drop along the way 43.2%, not recovered by the end of the data |
Insider activity
Form 4 filings from 2025-10-31 to 2026-10-31 (25 read): 0 open-market purchases and 2 sales ($366K).
| Date | Insider | Type | Value |
|---|---|---|---|
| Aug 4, 2026 | Adrian James Holt SVP, Chf HR Ofcr | sell | $234K |
| May 5, 2026 | Adrian James Holt SVP, Chf HR Ofcr | sell | $132K |
Who owns it
Large shareholders (13G filings)
| BlackRock, Inc. | 13.8% | Mar 31, 2026 |
| Vanguard Portfolio Management | 6.7% | Mar 31, 2026 |
| Vanguard Capital Management | 5.22% | Mar 31, 2026 |
| Franklin Resources, Inc. | 3.9% | Jun 30, 2025 |
| Capital Research Global Investors | 3.7% | Jun 30, 2025 |
ETFs with the most weight in EMN
| FXZ First Trust Materials AlphaDEX Fund | 4.71% |
| RSPM Invesco S&P 500 Equal Weight Materials ETF | 3.51% |
| PYZ Invesco Dorsey Wright Basic Materials Momentum ETF | 3.17% |
| TMFM Motley Fool Mid-Cap Growth ETF | 2.29% |
| FTIF First Trust Bloomberg Inflation Sensitive Equity ETF | 1.97% |
| IYM iShares U.S. Basic Materials ETF | 1.75% |
| XLB Materials Select Sector SPDR Fund | 1.3% |
| PVAL Putnam Focused Large Cap Value ETF | 1.24% |
What could go wrong
- Raw material and energy price swings. Eastman relies on key raw materials and energy. Inflation has raised its operating costs. Price increases to customers do not remove all exposure to cost swings or to supply and shipping disruptions.
- Trouble at its chemical plants. Chemical manufacturing carries operating hazards that can halt production or damage infrastructure. Eastman's headquarters and largest plant are both in Kingsport, Tennessee, so a major outage there could hit results hard.
- Growth projects may not pay off. Eastman is investing in molecular recycling and newer products such as Naia fiber and Aventa packaging material. These projects may cost more than budgeted and may miss their business or financial goals.
- Heavy exposure to markets outside the US. More than half of 2025 sales went to customers outside North America, with China at about 11%. Much of its manufacturing is abroad. Currency swings and foreign rules or politics could hurt results.
- Stricter environmental, safety and climate rules. As a chemical maker, Eastman faces health, safety and environmental rules that could tighten and raise compliance and legal costs. Climate change adds physical risks to plants and the cost of cutting emissions.
- A weak global economy cuts demand. Inflation, higher interest rates and economic uncertainty have hurt demand for some Eastman products before and could again. Revenue fell 6.7% and net income fell 48% in fiscal 2025.
Recent events
- Quarterly results released
- Bylaws or fiscal year changed; Other company announcement
- Quarterly results released
- Shareholder vote results
- Quarterly results released
- Major agreement signed; Other company announcement
- Quarterly results released
- Quarterly results released
For income and retirement investors
Eastman has raised its dividend per share at least nine years in a row through fiscal 2025, and the streak may be longer. Dividends per share grew from $2.67 in 2020 to $3.33 in 2025, about 4.5% a year. In 2025 net income fell 48%, and dividends took about 80% of earnings and 90% of free cash flow (the cash left after capital spending). That left little cushion. The yield was 5.04% as of October 28, 2026. Share repurchases totaled $900 million from 2021 to 2025, and the share count fell about 15% between September 2021 and June 2026.
In the 2008 financial crisis the stock dropped 76% and did not regain its peak until September 2010. It lost 48% in the 2020 COVID crash but recovered by June 2020. After a 43% fall in the 2022 bear market, it had not regained its early-2022 high as of October 28, 2026. Single stocks carry more risk than diversified funds.
Questions investors ask
How does Eastman Chemical make money?
Eastman makes money by supplying specialty plastics, additives, chemicals and fibers to companies that build them into everyday products. Fiscal 2025 revenue was $8.8 billion. Advanced Materials (Tritan copolyester and Saflex interlayers for laminated glass) supplied about 33%, and so did Additives & Functional Products. Chemical Intermediates added 22% and Fibers 12%. About 55% of revenue came from outside the US and Canada. Net income was $474 million, about 5.4% of revenue.
Does Eastman Chemical raise its dividend every year?
Yes, through fiscal 2025. Its SEC filings show at least nine straight annual increases in dividends per share, and the streak may be longer. Dividends per share rose from $2.67 in 2020 to $3.33 in 2025, about 4.5% a year. The dividend yield was 5.04% as of October 28, 2026. Past increases do not guarantee future ones. In 2025 the dividend used about 80% of earnings and 90% of free cash flow.
Can Eastman Chemical afford its dividend?
It covered the dividend in fiscal 2025, but with little room to spare. Eastman paid $381 million in dividends, against free cash flow of $424 million and net income of $474 million. In 2020, free cash flow was $1.07 billion and dividends were $358 million. The company also carries debt: as of June 30, 2026, it had $5.2 billion of debt and $691 million of cash. Second-quarter 2026 net income rose 31% from a year earlier, to $183 million.
How has Eastman Chemical stock performed?
Weakly over five years, better over one. Based on share price as of October 28, 2026, the stock was up 10.5% over one year but down 27% over five years. Over 10 years it gained 30% in total, about 2.6% a year. It fell 26.8% in calendar 2025 and was up 8.3% year to date in 2026. During the three years to October 28, 2026, it fell as much as 48% from a peak.
Which ETFs hold Eastman Chemical stock?
Eastman is held by 173 ETFs. The largest weights include the First Trust Materials AlphaDEX Fund (FXZ) at 4.71%, the Invesco S&P 500 Equal Weight Materials ETF (RSPM) at 3.51% and the Invesco Dorsey Wright Basic Materials Momentum ETF (PYZ) at 3.17%. Mainstream materials sector funds give it smaller weights, such as the iShares U.S. Basic Materials ETF (IYM) at 1.75% and the Materials Select Sector SPDR Fund (XLB) at 1.3%. Weights shift as prices change.