Eastman Chemical Company (NYSE:EMN)

PE of 8.7, yield of 3.0%, alltime recore EPS #'s and revenues jumping by 18%

It has good valuation.

Should be a fun ride.

the company reported record earnings a few weeks ago, and was selling around 100 per share. the reason the price has dropped is because people have freaked out about the economy. They are also about to raise their dividend to 52 cents per share. They have also recently announced a 2:1 stock split, which means more people can afford to buy the stock which i beleive will ultimatly make the stock more valuable in the end. This is a very strong company, and if i had the money i would buy in. However, before anyone buys this stock off my word do your own research. I am 18, and have very little experience in the market

Buy CCGY too!

Covestor Model Manager Ronald Guerrini sold EMN in his Breakouts and Reversals Covestor Model ( http://covestor.com/Ronald-Guerrini )

This stock qualifies for my high stable dividends screen, which typically outperforms the S&P 500 by more than 10% per year. The idea of the screen is to look for stocks that meet the following criteria: (1) dividend yields above 2% (2) stock seems undervalued and (3) dividend appears to be sustainable or growing. I think that Mr. Market will reward this type of stock in the near future as investors flee bonds in search of higher yields. Stable stocks should look appealing given the uncertain economic future for developed economies. The current dividend yield of Eastman Chemical Company is about 2.4%. Current ROE is 27% and the stock is trading for just 11 times expected earnings. The current payout ratio is 0.3 and the five year average payout ratio is 0.4

Specialty chemical sector on fire.

Ford Equity Research (Strong Buy). Recent pull back to to support strong support levels.

Fundamentals are OK but revenue is declining and its a 52 week high.

#11 Worst Toxic Polluter (http://www.peri.umass.edu/toxic100_index/)

Their plan to make chemicals from coal gasification technology is not viable as long as natural gas prices are low. Cost of new technology exceeds current market value of company.

EMN is undervalued when compared to total market. It took a bigger hit than it should have in the market collapse.

zacks

Chemicals will be one of the fisrt to make a run when product production returns. This one slow and solid.

One of the leading players in gassification technology. Due to their knowledge of this technology, Eastman has the ability to significantly get around the chemical commodity dependence on oil, and obtain alternative feedstocks as necessary. I see this as being a huge competitive advantage in the coming future. Add to that their stock and debt buyback program, the company seems solid.

Overall, I think Eastman will provide a pretty good return on investment over the next decade.

Eastman Chemical is involved in the coal gasification process and is always recommended on "Fast Money" by Pete Najarian. They pay a dividend, but the real story is coal gasification. Ethanol has been a bust, and our country needs to keep the flow of dollars within the US by eliminating our dependence on foreign oil. Eastman is a buy for the long term.

EMN will most likely maintain an outperform trend for a few weeks. Due to pay a dividend within a few weeks and since it has pulled back some today, I think it has some room for an upswing over the next few weeks.

Z10