Eastman Chemical CoSTU:EAC -0.19%74 ROA % is 2.86% as of Mar. 2026, which is 48% below its 10-year median of 5.46. GuruFocus rates STU:EAC with a GF Score™ of 74/100 and a GF Value™ of €68.62 (Modestly Undervalued). The stock has 7 warning signs investors should review. Among 1,619 Chemicals companies, Eastman Chemical Co ranks worse than 52.44% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Eastman Chemical Co's annualizedNet Income for the quarter that ended in Mar. 2026 was €370 Mil.
Eastman Chemical Co's average Total Assets over the quarter that ended in Mar. 2026 was €12,928 Mil. Therefore, Eastman Chemical Co's annualized ROA % for the quarter that ended in Mar. 2026 was 2.86%.
The historical rank and industry rank for Eastman Chemical Co's ROA % or its related term are showing as below:
STU:EAC'
s ROA % Range Over the Past 10 Years
Min: 2.65 Med: 5.46 Max: 8.8
Current: 2.65
During the past 13 years, Eastman Chemical Co's highest ROA % was 8.80%. The lowest was 2.65%. And the median was 5.46%.
STU:EAC's ROA % is ranked worse than 52.44% of 1619
companies
in the Chemicals industry
Industry Median: 2.9
vs STU:EAC: 2.65
Eastman Chemical Co (STU:EAC) ROA % Explanation
ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A banks ROA % is typically well under 2%.
Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:
Note:
The Net Income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data.
* 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
Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.
E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.
Eastman Chemical Co ROA % Related Terms
Eastman Chemical Co ROA % Historical Data
* Premium members only.
The historical data trend for Eastman Chemical Co's ROA % 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.
For the Specialty Chemicals subindustry, Eastman Chemical Co's ROA %, along with its competitors' market caps and ROA % 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 ROA % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Eastman Chemical Co's ROA % distribution charts can be found below:
* The bar in red indicates where Eastman Chemical Co's ROA % 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.
In the calculation of annual ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is four times the quarterly (Mar. 2026) net income data.
ROA % is displayed in the 30-year financial page.
Eastman Chemical Co (STU:EAC) has a ROA % of 2.86% as of Mar. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Eastman Chemical Co and its competitors. This is 48% below median its historical median of 5.46. Over the past decade, Eastman Chemical Co's ROA % has ranged from 2.65 to 8.80. According to the industry distribution chart, Eastman Chemical Co ranks #849 out of 1619 companies in the Chemicals industry, placing it in the top 52.4%.
Is Eastman Chemical Co's ROA % too high?
Eastman Chemical Co's current ROA % of 2.86% is 48% below median its 10-year median of 5.46. Over the past 10 years, this metric has ranged from a low of 2.65 to a high of 8.80. The Chemicals industry median ROA % is 2.90. Eastman Chemical Co's value of 2.86% is 1.4% below this industry median. Based on the distribution chart, Eastman Chemical Co ranks #849 out of 1619 companies in the Chemicals industry, which is below the industry midpoint. Overall, Eastman Chemical Co has a GF Score™ of 74/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Eastman Chemical Co's ROA % compare to NEU and ESI?
According to the Chemicals industry distribution chart, Eastman Chemical Co ranks #849 out of 1619 companies for ROA %. This places Eastman Chemical Co in the lower half of its industry. The industry median ROA % is 2.90. Eastman Chemical Co's value of 2.86% is 1.4% below this benchmark. Historically, Eastman Chemical Co's own ROA % has ranged from 2.65 to 8.80 over the past decade. While the company's 10-year median is 5.46 vs. the industry median of 2.90, Eastman Chemical Co has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROA % for a Chemicals company?
The median ROA % among Chemicals companies is 2.90, based on 1,619 companies in the industry. Companies in the top quartile (top 25%) have a ROA % significantly above this median, while those in the bottom quartile fall well below. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Eastman Chemical Co's current ROA % of 2.86% is 1.4% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROA % mean?
A high ROA % can signal that a stock is expensive relative to its fundamentals. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Eastman Chemical Co and its competitors. For the Chemicals industry, the median ROA % is 2.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Eastman Chemical Co's current ROA % is 2.86%, which is 48% below median its own 10-year median of 5.46. 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 (STU:EAC) is currently considered Modestly Undervalued. The stock's GF Value™ is €68.62, compared to a current price of €61.74 — trading 10% below its estimated fair value. The current ROA % is 2.86%, which is 48% below median its 10-year median of 5.46 and 1.4% below the Chemicals industry median of 2.90. Eastman Chemical Co's overall GF Score™ is 74/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROA % calculated?
ROA % is calculated from a company's financial statements. For Eastman Chemical Co (STU:EAC), the current ROA % is 2.86% 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 (STU:EAC) Overvalued in 2026?
Based on GuruFocus' analysis, Eastman Chemical Co stock appears to be undervalued.
The current stock price of €61.74 is trading 10% below its estimated GF Value™ of €68.62.
GuruFocus considers Eastman Chemical Co to be Modestly Undervalued.
Key valuation signals for STU:EAC:
ROA %: 2.86% (48% below median its 10-year median of 5.46)
GF Value™: €68.62 vs. price of €61.74 (10% below fair value)
Industry Position: 1.4% below the Chemicals median (#849 of 1619)
No single metric tells the full story. See the STU: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.
74GF Score
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