Discounted Cash Flow
Eastman Chemical Co.
—
Sales growth has weakened: 1.0% (2022) → -12.9% (2023) → 1.9% (2024) → -6.7% (2025). Revenue growth has been decelerating or declining in recent years and is now -6.7% — a slowing company may not sustain the growth the DCF projects, so the valuation could be overstated.
Average annual growth rates
| Metric | 10-Year | 5-Year | 3-Year |
|---|---|---|---|
| Sales | — | — | — |
| Free Cash Flow | — | — | — |
| Average (FCF & NI) | — | — | — |
| Net Income | — | — | — |
| Dividends | — | — | — |
Endpoint CAGR (better for long term trend)
| Metric | 10-Year | 5-Year | 3-Year |
|---|---|---|---|
| Sales | — | — | — |
| Free Cash Flow | — | — | — |
| Average (FCF & NI) | — | — | — |
| Net Income | — | — | — |
Projected growth rate
—
Historical inputs (10 fiscal years)
| YEAR | Sales | Net Income | Free Cash Flow | Net Margin | EPS (diluted) |
|---|---|---|---|---|---|
| 2016 | $10.5b | $992.0m | $881.7m | 9.5% | $5.80 |
| 2017 | $11.1b (6.0%) | $1.6b (62.1%) | $1.2b (32.8%) | 14.5% (52.9%) | $9.56 (64.8%) |
| 2018 | $11.8b (6.3%) | $1.3b (-22.0%) | $1.2b (0.7%) | 10.6% (-26.6%) | $7.65 (-20.0%) |
| 2019 | $10.8b (-8.6%) | $881.7m (-29.7%) | $1.3b (6.3%) | 8.2% (-23.1%) | $5.52 (-27.8%) |
| 2020 | $9.8b (-8.6%) | $555.2m (-37.0%) | $1.2b (-0.6%) | 5.6% (-31.1%) | $3.53 (-36.1%) |
| 2021 | $12.2b (23.6%) | $995.5m (79.3%) | $1.2b (-0.7%) | 8.2% (45.0%) | $6.35 (79.9%) |
| 2022 | $12.3b (1.0%) | $921.1m (-7.5%) | $422.8m (-65.8%) | 7.5% (-8.4%) | $6.42 (1.1%) |
| 2023 | $10.7b (-12.9%) | $1.0b (12.7%) | $634.2m (50.0%) | 9.7% (29.5%) | $7.54 (17.4%) |
| 2024 | $10.9b (1.9%) | $1.1b (1.2%) | $799.2m (26.0%) | 9.6% (-0.6%) | $7.75 (2.8%) |
| 2025 | $10.2b (-6.7%) | $550.6m (-47.6%) | $492.5m (-38.4%) | 5.4% (-43.9%) | $4.14 (-46.6%) |
Base FCF: — (latest fiscal year)
Discount rate: % —
Terminal growth: —
Projection period: — years
Alt A decline yrs:
Alt B total yrs:
SEC filings report in EUR. Values above are converted to USD for comparison with the US-listed share price.
Values abbreviated: b = billions, m = millions, k = thousands.
Projected cash flows
| Year | Projected cash flow | Discount Factor | Present Value |
|---|
PV of projected FCF: —
Terminal FCF: —
Terminal value: —
PV of terminal value: —
Enterprise value (DCF): —
Net debt deduction: —
Current price: —
—Alternative DCF Models
| Model | Fair Value | Upside | PV(FCFs) | PV(Terminal) | Total Years |
|---|---|---|---|---|---|
| Standard (10yr→TV) | — | — | — | — | 10 + TV |
| Alt A (Gradual Decline) | — | — | — | — | — |
| Alt B (30yr Hard Stop) | — | — | — | N/A | — |
This is a simplified DCF model for illustration. It uses reported free cash flow, a single growth assumption, fixed WACC, and a Gordon Growth terminal value. It is not investment advice.