Vincent Andrews, an analyst from Morgan Stanley, maintained the Buy rating on Eastman Chemical (EMN – Research Report). The associated price target was lowered to $115.00.
Vincent Andrews has given his Buy rating due to a combination of factors influencing Eastman Chemical’s performance. Despite reducing the price target from $125 to $115, Andrews remains optimistic about the company’s ability to withstand macroeconomic and tariff challenges better than its peers. The company’s solid balance sheet and robust cash flow, projected at $1.2 billion for 2025, provide a strong foundation for covering dividends, buybacks, and growth investments.
Furthermore, Andrews sees an attractive risk/reward profile at current share price levels, suggesting that the market may be overly pessimistic about Eastman’s future earnings potential. While there are concerns about earnings retrenchment to post-COVID levels, the company’s order book commentary for the second quarter indicates a more favorable trajectory. Overall, Andrews believes that Eastman’s strategic positioning and financial resilience justify a Buy rating, anticipating that the company’s recycled products will gain traction as economic and trade conditions improve.
In another report released today, Bank of America Securities also maintained a Buy rating on the stock with a $93.00 price target.