Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Eastman Chemical Co has the Financial Strength Rank of 5.
GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and is based on these factors:
1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.
4. Other debt related ratios.
A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.
Eastman Chemical Co's Interest Coverage for the quarter that ended in Jun. 2026 was 5.52.
Eastman Chemical Co's debt to revenue ratio for the quarter that ended in Jun. 2026 was 0.53.
As of today, Eastman Chemical Co's Altman Z-Score is 2.28.
Eastman Chemical Co (FRA:EAC) Financial Strength Explanation
The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.
Eastman Chemical Co has the Financial Strength Rank of 5.
Eastman Chemical Co Financial Strength Related Terms
FRA:EAC vs NEU, ESI, AXTA: Financial Strength Comparison
For the Specialty Chemicals subindustry, Eastman Chemical Co's Financial Strength, along with its competitors' market caps and Financial Strength 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 Financial Strength vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Eastman Chemical Co's Financial Strength distribution charts can be found below:
* The bar in red indicates where Eastman Chemical Co's Financial Strength falls into.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:
Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.
The zones of discrimination were as such:
When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.
Eastman Chemical Co has a Z-score of 2.28, indicating it is in Grey Zones. This implies that Eastman Chemical Co is in some kind of financial stress. If it is below 1.81, the company may faces bankrupcy risk.
Warning Sign:
Altman Z-score of 2.28 is in the grey area. This implies that the company is under some kind of financial stress. If it is below 1.8, the company may face bankruptcy risk.
* 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 Financial Strength of 5 as of Jun. 2026. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Eastman Chemical Co and its competitors. This is near median its historical median of 5.00. Over the past decade, Eastman Chemical Co's Financial Strength has ranged from 3.00 to 6.00.
Is Eastman Chemical Co's Financial Strength too high?
Eastman Chemical Co's current Financial Strength of 5 is near median its 10-year median of 5.00. Over the past 10 years, this metric has ranged from a low of 3.00 to a high of 6.00. Overall, Eastman Chemical Co has a GF Score™ of 77/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Eastman Chemical Co's Financial Strength compare to NEU and ESI?
Eastman Chemical Co's Financial Strength of 5 can be compared against companies in the Chemicals industry. Historically, Eastman Chemical Co's own Financial Strength has ranged from 3.00 to 6.00 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 Financial Strength for a Chemicals company?
A good Financial Strength depends on the Chemicals industry context. However, Financial Strength 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 Financial Strength mean?
A high Financial Strength can signal that a stock is expensive relative to its fundamentals. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Eastman Chemical Co and its competitors. Eastman Chemical Co's current Financial Strength is 5, which is near median its own 10-year median of 5.00. 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 €69.79, compared to a current price of €57.46 — trading 17.7% below its estimated fair value. The current Financial Strength is 5, which is near median its 10-year median of 5.00. Eastman Chemical Co's overall GF Score™ is 77/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Financial Strength calculated?
Financial Strength is calculated from a company's financial statements. For Eastman Chemical Co (FRA:EAC), the current Financial Strength is 5 as of Jun. 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 €57.46 is trading 17.7% below its estimated GF Value™ of €69.79.
GuruFocus considers Eastman Chemical Co to be Modestly Undervalued.
Key valuation signals for FRA:EAC:
Financial Strength: 5 (near median its 10-year median of 5.00)
GF Value™: €69.79 vs. price of €57.46 (17.7% 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.
77GF Score
Get the complete analysis for FRA:EAC
Financial Strength is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
FRA:EAC has been successfully added to your 
