Eastman Chemical Company

DB:EAC Stock Report

Market Cap: €11.4b

Eastman Chemical Valuation

Is EAC undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of EAC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: EAC (€98.44) is trading below our estimate of fair value (€198.32)

Significantly Below Fair Value: EAC is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for EAC?

Key metric: As EAC is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for EAC. This is calculated by dividing EAC's market cap by their current earnings.
What is EAC's PE Ratio?
PE Ratio13.6x
EarningsUS$885.00m
Market CapUS$12.08b

Price to Earnings Ratio vs Peers

How does EAC's PE Ratio compare to its peers?

The above table shows the PE ratio for EAC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average28.1x
EVK Evonik Industries
35.2x33.1%€8.1b
SY1 Symrise
37.2x13.3%€14.6b
WCH Wacker Chemie
28.3x37.0%€3.5b
ACT AlzChem Group
11.6x12.6%€582.1m
EAC Eastman Chemical
13.6x10.1%€12.1b

Price-To-Earnings vs Peers: EAC is good value based on its Price-To-Earnings Ratio (13.6x) compared to the peer average (28.1x).

Price to Earnings Ratio vs Industry

How does EAC's PE Ratio compare vs other companies in the European Chemicals Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
EAC 13.6xIndustry Avg. 16.8xNo. of Companies12PE01224364860+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: EAC is good value based on its Price-To-Earnings Ratio (13.6x) compared to the European Chemicals industry average (17.3x).

Price to Earnings Ratio vs Fair Ratio

What is EAC's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

EAC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio13.6x
Fair PE Ratio16.1x

Price-To-Earnings vs Fair Ratio: EAC is good value based on its Price-To-Earnings Ratio (13.6x) compared to the estimated Fair Price-To-Earnings Ratio (16.1x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst EAC forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€98.44
€110.93
+12.7%
6.8%€123.86€100.04n/a19
Nov ’25€96.16
€107.38
+11.7%
6.3%€119.96€96.89n/a19
Oct ’25€99.92
€102.48
+2.6%
7.5%€116.81€89.85n/a19
Sep ’25€91.08
€104.27
+14.5%
7.1%€117.29€91.63n/a19
Aug ’25€95.18
€104.64
+9.9%
7.1%€118.26€92.39n/a19
Jul ’25€91.62
€103.37
+12.8%
8.6%€119.49€93.35n/a19
Jun ’25€92.66
€102.59
+10.7%
8.5%€118.52€92.59n/a20
May ’25€90.44
€100.35
+11.0%
9.6%€117.10€79.63n/a21
Apr ’25€91.68
€90.64
-1.1%
9.4%€115.41€78.48n/a21
Mar ’25€80.88
€89.95
+11.2%
9.8%€116.06€78.92n/a21
Feb ’25€77.04
€88.33
+14.7%
10.8%€114.99€73.59n/a20
Jan ’25€82.18
€85.56
+4.1%
12.0%€114.66€73.38n/a20
Dec ’24€76.54
€81.57
+6.6%
13.9%€113.79€68.27n/a20
Nov ’24€70.52
€85.05
+20.6%
13.8%€118.11€70.87€96.1620
Oct ’24€72.48
€91.00
+25.6%
11.7%€122.97€73.78€99.9220
Sep ’24€78.20
€88.27
+12.9%
11.1%€118.76€71.25€91.0821
Aug ’24€77.44
€88.23
+13.9%
10.6%€118.37€76.48€95.1821
Jul ’24€76.10
€88.13
+15.8%
11.6%€119.11€76.04€91.6222
Jun ’24€72.02
€91.75
+27.4%
11.8%€121.64€77.66€92.6621
May ’24€73.20
€89.70
+22.5%
11.9%€118.50€75.65€90.4420
Apr ’24€75.84
€90.71
+19.6%
12.1%€120.82€76.21€91.6820
Mar ’24€80.20
€90.91
+13.4%
12.1%€121.10€76.38€80.8820
Feb ’24€80.72
€89.32
+10.7%
12.4%€119.59€75.43€77.0420
Jan ’24€76.75
€89.25
+16.3%
13.4%€122.64€74.53€82.1820
Dec ’23€82.61
€92.62
+12.1%
14.8%€129.05€74.45€76.5420
Nov ’23€77.56
€94.61
+22.0%
14.6%€131.61€75.93€70.5220

Analyst Forecast: Target price is less than 20% higher than the current share price.

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