Eastman Chemical’s 4.56% dividend yield is supported by 16 consecutive annual increases and a 61% adjusted earnings payout ratio, keeping the income stream well covered. The Kingsport methanolysis facility added $60 million in incremental earnings in 2025, with $30 million more targeted for 2026, making recycling the key secular growth driver. Net debt stands at $4.59 billion, or 3.4 times EBITDA, which is elevated for a cyclical company, but $665 million in cash and falling capital expenditures provide meaningful insulation. Free cash flow payout was elevated at about 90% in 2025, though 2026 capex guidance of roughly $400 million is expected to restore breathing room. Management returned approximately $500 million to shareholders in 2025 through dividends and share repurchases.
Eastman Chemical Company16 consecutive dividend raises, strong payout coverage, and $500M returned to shareholders signal financial health and shareholder value.
NVIDIA Corporation