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Eastman Chemical CoFRA:EAC -0.34%76 Graham Number is €30.66 as of Mar. 2026, which is 100% below its 10-year median of 3.08. GuruFocus rates FRA:EAC with a GF Score™ of 76/100 and a GF Value™ of €69.71 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 1,156 Chemicals companies, Eastman Chemical Co ranks worse than 63.41% on this metric.
Graham Number is a figure that measures a stock's fundamental value by taking into account the company's earnings per share and book value per share. The Graham number is the upper bound of the price range that a defensive investor should pay for the stock. According to the theory, any stock price below the Graham number is considered undervalued, and thus worth investing in.
As of today (2026-07-30), the stock price of Eastman Chemical Co is €59.12. Eastman Chemical Co's graham number for the quarter that ended in Mar. 2026 was €30.66. Therefore, Eastman Chemical Co's Price to Graham Number ratio for today is 1.93.
The historical rank and industry rank for Eastman Chemical Co's Graham Number or its related term are showing as below:
FRA:EAC'
s Price-to-Graham-Number Range Over the Past 10 Years
Min: 1.68 Med: 3.08 Max: 16.01
Current: 1.89
During the past 13 years, the highest Price to Graham Number ratio of Eastman Chemical Co was 16.01. The lowest was 1.68. And the median was 3.08.
FRA:EAC's Price-to-Graham-Number is ranked worse than 63.41% of 1156
companies
in the Chemicals industry
Industry Median: 1.45
vs FRA:EAC: 1.89
Graham Number is a combination of asset valuation and earnings power valuation. It is a very conservative way of valuing a stock.
Eastman Chemical Co (FRA:EAC) Graham Number Explanation
Ben Graham actually did not publish a formula like this. But he wrote in The Intelligent Investor (1948 version) regarding to the criteria for purchases:
Current price should not be more than 15 times average earnings of the past three years.
Current price should not be more than 1.5 times the book value last reported. However, a multiplier of earnings below 15 could justify a correspondingly higher multiplier of assets. As a rule of thumb we suggest that the product of the multiplier times the ratio of price to book value should not exceed 22.5. (This figure corresponds to 15 times earnings and 1.5 times book value. It would admit an issue selling at only 9 times earnings and 2.5 times asset value, etc.)
Unlike valuation methods such as DCF or Discounted Earnings, the Graham number does not take growth into the valuation. Unlike the valuation methods based on book value alone, it takes into account the earnings power. Therefore, the Graham Number is a combination of asset valuation and earnings power valuation.
In general, the Graham number is a very conservative way of valuing a stock. It cannot be applied to companies with negative book values.
Eastman Chemical Co's Price to Graham number Ratio for today is calculated as
Price to Graham number
=
Share Price (Today)
/
Graham number (Q: Mar. 2026 )
=
59.12
/
30.66
=
1.93
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Be Aware
Please keep these in mind:
1. Graham Number does not take growth into account. Therefore it underestimates the values of the companies that have good earnings growth. We feel that if the earnings per share grows more than 10% a year, Graham Number underestimates the value.
2. Graham Number punishes the companies that have temporarily low earnings. Therefore, an average of earnings makes more sense in the calculation of Graham Number.
3. Graham Numbers underestimates companies that are light with book.
Eastman Chemical Co Graham Number Related Terms
Eastman Chemical Co Graham Number Historical Data
* Premium members only.
The historical data trend for Eastman Chemical Co's Graham Number can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
FRA:EAC vs NEU, AXTA, ESI: Graham Number Comparison
For the Specialty Chemicals subindustry, Eastman Chemical Co's Price-to-Graham-Number, along with its competitors' market caps and Price-to-Graham-Number data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Eastman Chemical Co Price-to-Graham-Number vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Eastman Chemical Co's Price-to-Graham-Number distribution charts can be found below:
* The bar in red indicates where Eastman Chemical Co's Price-to-Graham-Number falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Eastman Chemical Co (FRA:EAC) has a Graham Number of €30.66 as of Mar. 2026. The Graham Number values a company based on its per-share earnings and book value. View historical data on Eastman Chemical Co and its competitors. This is 895% above median its historical median of 3.08. Over the past decade, Eastman Chemical Co's Graham Number has ranged from 1.68 to 16.01. According to the industry distribution chart, Eastman Chemical Co ranks #733 out of 1156 companies in the Chemicals industry, placing it in the top 63.4%.
Is Eastman Chemical Co's Graham Number too high?
Eastman Chemical Co's current Graham Number of €30.66 is 895% above median its 10-year median of 3.08. Over the past 10 years, this metric has ranged from a low of 1.68 to a high of 16.01. Based on the distribution chart, Eastman Chemical Co ranks #733 out of 1156 companies in the Chemicals industry, which is below the industry midpoint. Overall, Eastman Chemical Co has a GF Score™ of 76/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Eastman Chemical Co's Graham Number compare to NEU and AXTA?
According to the Chemicals industry distribution chart, Eastman Chemical Co ranks #733 out of 1156 companies for Graham Number. This places Eastman Chemical Co in the lower half of its industry. The industry median Graham Number is 1.45. Historically, Eastman Chemical Co's own Graham Number has ranged from 1.68 to 16.01 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Graham Number for a Chemicals company?
The median Graham Number among Chemicals companies is 1.45, based on 1,156 companies in the industry. Companies in the top quartile (top 25%) have a Graham Number significantly above this median, while those in the bottom quartile fall well below. However, Graham Number should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Graham Number mean?
A high Graham Number can signal that a stock is expensive relative to its fundamentals. The Graham Number values a company based on its per-share earnings and book value. View historical data on Eastman Chemical Co and its competitors. For the Chemicals industry, the median Graham Number is 1.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Eastman Chemical Co's current Graham Number is €30.66, which is 895% above median its own 10-year median of 3.08. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Eastman Chemical Co stock overvalued right now?
Based on GuruFocus' analysis, Eastman Chemical Co (FRA:EAC) is currently considered Modestly Undervalued. The stock's GF Value™ is €69.71, compared to a current price of €59.12 — trading 15.2% below its estimated fair value. The current Graham Number is €30.66, which is 895% above median its 10-year median of 3.08. Eastman Chemical Co's overall GF Score™ is 76/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Graham Number calculated?
Graham Number is calculated from a company's financial statements. For Eastman Chemical Co (FRA:EAC), the current Graham Number is €30.66 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Eastman Chemical Co (FRA:EAC) Overvalued in 2026?
Based on GuruFocus' analysis, Eastman Chemical Co stock appears to be undervalued.
The current stock price of €59.12 is trading 15.2% below its estimated GF Value™ of €69.71.
GuruFocus considers Eastman Chemical Co to be Modestly Undervalued.
Key valuation signals for FRA:EAC:
Graham Number: €30.66 (895% above median its 10-year median of 3.08)
GF Value™: €69.71 vs. price of €59.12 (15.2% below fair value)
No single metric tells the full story. See the FRA:EAC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Established in 1920 to produce chemicals for Eastman Kodak, Eastman Chemical has grown into a global specialty chemical company with manufacturing sites around the world. The company generates the majority of its sales outside of the United States, with a strong presence in Asian markets. During the past several years, Eastman has sold noncore businesses, choosing to focus on higher-margin specialty product offerings.
76GF Score
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