Eastman Chemical Company (EMN)

Eastman Chemical Co. experienced several stock events in the past six months. Q2 2025 earnings missed estimates, impacting the stock price negatively. Analyst ratings and price targets were adjusted by Mizuho, UBS Group, and Weiss Ratings. Eastman Chemical Co. was removed from the S&P 500 and added to the S&P SmallCap 600. Global trade dynamics and tariffs impacted Eastman's Q2 2025 performance, leading to increased uncertainty and cautious demand.

Eastman Chemical Company's products serve diverse industries, some of which exhibit seasonality. The chemical industry can experience weak demand in sectors like construction and automotive. Historically, there is a normal seasonality from Q3 to Q4, with Q3 typically being a strong quarter. Recent volatility in trade and declining demand have impacted this typical seasonality. The company actively manages its assets in Q3 to account for this, which can lead to a utilization tailwind in Q4.

Eastman Chemical Company is a global specialty materials company headquartered in Kingsport, Tennessee, founded in 1920 and became independent in 1994. The company operates in the manufacturing sector, producing advanced materials, chemicals, and fibers. Its operations are divided into four segments: Additives & Functional Products manufactures chemicals and adhesive resins for various industries. Advanced Materials focuses on high-performance materials. Chemical Intermediates produces diversified products from acetyl, olefins, and alkylamine streams. Fibers provides cellulose acetate tow and other products for filtration media and other applications.

Eastman Chemical Company has a significant global presence, serving customers in approximately 100 countries. The company operates 36 manufacturing sites worldwide, with its headquarters in Kingsport, Tennessee. The United States and Canada account for 42% of net sales, and the company has a strong presence in the Asian market.

Eastman Chemical Company maintains a strong commitment to sustainability and innovation, positively contributing to its brand reputation. The company has received awards such as the Wall Street Journal World's Most Sustainably Managed Companies, Ethisphere's World's Most Ethical Companies, and the Fast Company World-Changing Ideas Award. Eastman's focus on circular economy principles enhances its reputation. In 2024, Eastman invested $445 million in research and development and targeted $200 million in cost reductions.

Institutional investors and hedge funds own 83.65% of Eastman Chemical Co. stock. Major institutional owners include State Street Corp. (3.97%) and SEI Investments Co. (0.99%). Individual ownership accounts for 0.76%. Geographically, 75.1% of shareholders are from the United States, followed by 7.2% from the United Kingdom.