Eastman Chemical Company (NYSE:EMN) lowered its Q3 guidance, expecting EPS to be roughly $2.00, compared to Q3/21 adjusted EPS of $2.46.
The company noted three factors impacting Q3 volumes and product mix. First, demand has slowed more than expected in August and September, particularly in consumer durables and building and construction end markets and the European and Asian regions. According to the company, demand in certain end markets (agriculture and personal care) is showing some resilience.
Analysts at RBC Capital lowered their estimates based on the company’s Q3 update. Q3 EPS/EBITDA was reduced to $2.00 from $2.57, 2022 EPS reduced to $8.89 from $9.70, and 2023 EPS to $8.66 from $10.00. The analysts lowered their price target to $82 from $97, while reiterating their sector perform rating.