Eastman Chemical's (EMN) Board Announces 11% Hike in Dividend
Eastman Chemical Company’s EMN
board hiked its quarterly cash dividends by 11% to 62 cents per
share from 56 cents. The revised dividend is payable on Jan 4,
2019, to shareholders on record as of Dec 17, 2018.
Eastman Chemical raised the dividend for the ninth straight year in
sync with its commitment towards balanced and disciplined capital
allocation and shareholders returns.
The company generated cash from operating activities of $395
million during the third quarter and returned $125 million to
shareholders through stock repurchases during the quarter. Eastman
Chemical returned roughly $615 million to shareholders during the
first nine months of 2018 leveraging healthy free cash flows.
In a year’s time, shares of Eastman Chemical have outperformed the
industry it belongs to. The stock has lost around 21.1% compared
with the industry’s fall of 24.3%.
During the third-quarter earnings call, Eastman Chemical noted that
strong volume gains in the specialty businesses, disciplined cost
management and a lower effective tax rate have helped it achieve
year-over-year adjusted earnings per share growth of 13% during the
first nine months of 2018. The company continues to expect
year-over-year adjusted earnings per share growth of 10-14% for
2018. The company also expects to generate roughly $1.1 billion of
free cash flow in 2018.
Eastman Chemical Company Price and Consensus
Eastman Chemical Company Price and Consensus | Eastman Chemical Company Quote
Zacks Rank & Stocks to
Consider
Eastman Chemical currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the basic materials space are The
Mosaic Company MOS, Gerdau S.A. GGB and Ingevity Corporation
NGVT.
Mosaic has an expected long-term earnings growth
rate of 7% and a Zacks Rank #1 (Strong Buy). The company’s shares
have rallied 40.6% in the past year. You can see the
complete list of today’s Zacks #1 Rank stocks here.
Gerdau has an expected long-term earnings growth rate of 24.3% and
a Zacks Rank #2 (Buy). The company’s shares have climbed 14% in the
past year.
Ingevity has an expected long-term earnings growth rate of 12% and
a Zacks Rank #2. The company’s shares have gained 15.2% over the
past year.
Looking for Stocks with Skyrocketing Upside?
Zacks has just released a Special Report on the booming investment
opportunities of legal marijuana.
Ignited by new referendums and legislation, this industry is
expected to blast from an already robust $6.7 billion to $20.2
billion in 2021. Early investors stand to make a killing, but you
have to be ready to act and know just where to look.
See the pot trades we're targeting>>
Want the latest recommendations from Zacks Investment Research?
Today, you can download 7 Best Stocks for the Next 30 Days.
Click to get this free
report
Eastman Chemical Company
(EMN) : Free Stock Analysis Report
Ingevity Corporation (NGVT)
: Free Stock Analysis Report
The Mosaic Company (MOS) :
Free Stock Analysis Report
Gerdau S.A. (GGB) : Free
Stock Analysis Report
To read this article on
Zacks.com click here.