The Vanguard Group, Inc. recently announced the acquisition of new stake in Eastman Chemical Company (NYSE:EMN). The institutional investor has increased its shareholding in the Basic Materials company by 3.78% to 14.87 million shares with purchase of 0.54 million shares. This fresh investment now brings its stake to 10.94% valued currently at $1.11 billion. In addition, JPMorgan Investment Management, I.. raised its holdings by 0.47 million to 7.66 million shares. And SSgA Funds Management, Inc. has lifted its position by 3.43% or 0.2 million shares – to 6.17 million shares.
With over 1.23 million Eastman Chemical Company (EMN) shares trading Tuesday and a closing price of $76.61 on the day, the dollar volume was approximately $94.02 million. The shares have shown a positive weekly performance of 4.29% and its price on 09/01/20 gained nearly 4.79%. Currently, there are 135.30M common shares owned by the public and among those 134.55M shares have been available to trade.
An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 20 analysts who have offered their price forecasts for EMN have a consensus price objective of $81.42. The analysts have set the share’s price value over the next 12 months at a high of $92.00 and a low of $72.00 should the stock experience a downside. Incidentally, analysts’ outlook for the Eastman Chemical Company stock is 2.20 for the next 12 months. The average price target is 5.91% above its last price level and an upside to the estimated low will see the stock lose -6.4% over that period. But an upside of 16.73% will see the stock hit the forecast high price target while mean target price for the stock is $80.00.
Insiders at the company have transacted a total of 37 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 20 of these insider trades were purchases, accounting for 294,567 shares. Insider sales of the common stock occurred on 17 occasions, with total insider shares sold totaling 137,770 shares.
The top 3 mutual fund holders in Eastman Chemical Company are Vanguard Total Stock Market Index, Vanguard Mid Cap Index Fund, and Vanguard 500 Index Fund. Vanguard Total Stock Market Index owns 3.87 million shares of the company’s stock, all valued at over $288.93 million. The company sold 2026.0 shares recently to bring their total holdings to about 2.85% of the shares outstanding. Vanguard Mid Cap Index Fund sold 24629.0 shares to see its total holdings shrink to 3.33 million shares valued at over $248.81 million and representing 2.45% of the shares outstanding. Vanguard 500 Index Fund sold 15071.0 shares to bring its total holdings to over 2.8 million shares at a value of $209.04 million. Vanguard 500 Index Fund now owns shares totaling to 2.06% of the shares outstanding.
Shares of Eastman Chemical Company (NYSE: EMN) opened at $72.69, down -$0.42 from a prior closing price of $73.11. However, the script later closed the day at $76.61, up 4.79%. The company’s stock has a 5-day price change of 4.29% and 6.62% over the past three months. EMN shares are trading -3.34% year to date (YTD), with the 12-month market performance up to 19.13% higher. It has a 12-month low price of $34.44 and touched a high of $83.99 over the same period. Currently, 1.23 million shares have been traded, compared to an average intraday trading volume of 1.03 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by 5.07%, 5.32%, and 12.55% respectively.
Institutional ownership of Eastman Chemical Company (NYSE: EMN) shares accounts for 86.10% of the company’s 135.30M shares outstanding. Mutual fund holders own 34.47%, while other institutional holders and individual stakeholders account for 50.76% and 1.67% respectively.
It has a market capitalization of $10.29B and a beta (3y monthly) value of 1.65. The stock’s trailing 12-month PE ratio is 18.20, while the earnings-per-share (ttm) stands at $4.21. The company has a PEG of 6.55 and a Quick Ratio of 1.10 with the debt-to-equity ratio at 1.02. Price movements for the stock have been influenced by the stock’s volatility, which stands at 2.99% over the week and 2.48% over the month.
Analysts forecast that Eastman Chemical Company (EMN) will achieve an EPS of $1.28 for the current quarter, $1.37 for the next quarter and $6.91 for 2021. The lowest estimate earnings-per-share for the quarter is $1.18 while analysts give the company a high EPS estimate of $1.38. Comparatively, EPS for the current quarter was $1.94 a year ago. Earnings per share for the fiscal year are expected to decrease by -26.10%, and 24.40% over the next financial year. EPS should grow at an annualized rate of 2.78% over the next five years, compared to 2.00% over the past 5-year period.
If you are looking to buy this stock, then you may note that the average analyst recommendation by 20 brokerage firm advisors rate Eastman Chemical Company (EMN) as a “Moderate Buy” at a consensus score of 2.20. Specifically, 12 Wall Street analysts polled rate the stock as a buy, while 8 of the 20 advise that investors “hold,” and 0 rated it as a “Sell.”
Looking at the support for the EMN, a number of firms have released research notes about the stock. BofA Securities stated their Neutral rating for the stock in a research note on August 05, 2020, with the firm’s price target at $75. Scotiabank coverage for the Eastman Chemical Company (EMN) stock in a research note released on August 04, 2020 offered a Sector Perform rating with a price target of $73. Standpoint Research was of a view on June 09, 2020 that the stock is Hold, while JP Morgan gave the stock Overweight rating on April 09, 2020, issuing a price target of $68- $75. Goldman on their part issued Neutral rating on March 30, 2020.