EMN | Long Setup | Weak Fundamentals | (May 2025)EMN | Long Setup | Technical Breakout Watch Despite Weak Fundamentals | (May 2025)
1️⃣ Short Insight Summary:
Eastman Chemical (EMN) has been in a downtrend for a while, and while the fundamentals look weak, the chart is showing a potential breakout setup. This idea is more technical than fundamental, and caution is advised.
2️⃣ Trade Parameters:
Bias: Long (only on breakout)
Entry: Watching for confirmation above current resistance
Stop Loss: Tight stop, near entry depending on breakout level
TP1: $87
TP2: $98
TP3: $101
TP4: $111
3️⃣ Key Notes:
Eastman's revenue is $9.4B, with net income at $900M and EPS around $7.90. The dividend yield is high at 4%, which signals that the company is trying to attract investors with yield rather than growth. However, this comes with red flags: high debt of $5.5B, negative cash flow, and weak fundamental momentum. This raises concerns of long-term sustainability. On a fair value basis (tangible assets), the stock could be worth closer to $10.47 — quite a gap from its current price.
Despite this, technicals show that if the price breaks the current resistance level, a short-term bounce could follow. This would be a small, speculative trade with quick exits at each take-profit level. Earnings are expected to show mild growth annually, but quarter-to-quarter it's still uncertain.
4️⃣ Optional Follow-up Note:
This is a low-conviction idea and not one I'd prioritize. I’m considering a small position if the breakout happens, but many other stronger setups are on my watchlist.
Please LIKE 👍, FOLLOW ✅, SHARE 🙌 and COMMENT ✍ if you enjoy this idea! Also share your ideas and charts in the comments section below! This is best way to keep it relevant, support us, keep the content here free and allow the idea to reach as many people as possible.
Disclaimer: This is not a financial advise. Always conduct your own research. This content may include enhancements made using AI.
1EMN trade ideas
📈BULLISH EMNHey guys,
As we can clearly see there is many reasons why there is a high probability of NYSE:EMN continuing the bullish move to the up side. We have the following indicators:
1. Nice clear larger degree impulse
2. Deep corrective ABC to 61.8% retracement
3. Lower degree impulse breaking out of larger degree trend line
4. Flag formation and broke out to up side
EASTMAN CHEMICAL CO StrategyHey my friends, EASTMAN CHEMICAL CO is in a bullish continuity with a large volume of purchase. On MULTI TIMEFRAME we also notice a desperate attempt by sellers on their shadows. big possibility of breaking out the consolidation zone and can be filled in the bullish gap. If the sellers let rise artificially the title.
Please LIKE & FOLLOW, thank you!
Cup and HandleConsidered a value stock. Prior yearly high is 83.09 with a 20 year high of 112.45
No rising wedges noted. NV is high. Large Effective volume with a pocket pivot on Friday
I see closest S at 76.5ish
No rising wedges noted
Not a recommendation
Eastman Chemical Company operates as an advanced materials and specialty additives company worldwide. The company's Additives & Functional Products segment offers specialty coalescent, specialty and commodity solvents, paint additives, and specialty polymers; hydrocarbon and rosin resins; insoluble sulfur and anti-degradant rubber additives; performance resins; amine derivative-based building blocks; heat transfer and aviation fluids; organic acid-based solutions; and metam-based soil fumigants, thiram and ziram based fungicides, and plant growth regulators. It serves the transportation, consumables, building and construction, animal nutrition, crop protection, energy, personal and home care, and other markets. Its Advanced Materials segment provides copolyesters, cellulose esters, polyvinyl butyral (PVB) sheets, and window and protective films, and aftermarket applied film products for value-added end uses in the transportation, consumables, building and construction, durable goods, and health and wellness markets. The company's Chemical Intermediates segment offers Olefin and acetyl derivatives, ethylene, and commodity solvents; primary non-phthalate and phthalate plasticizers, and niche non- phthalate plasticizers; and methylamines and salts higher amines and solvents to the industrial chemicals and processing, building and construction, health and wellness, and agrochemicals. Its Fibers segment provides cellulose acetate tow, triacetin, cellulose acetate flake, and acetic anhydride for use in filtration media primarily cigarette filters; natural and solution dyed acetate yarns for use in consumables, and health and wellness markets; and wet-laid nonwoven media, specialty and engineered papers, and cellulose acetate fibers for transportation, industrial, agriculture and mining, aerospace, personal hygiene, and consumables markets. Eastman Chemical Company was founded in 1920 and is headquartered in Kingsport, Tennessee