Eastman Chemical Company (EMN - Free Report) announced that it will showcase its latest innovations at Luxe Pack New York at the Javits Center, scheduled on May 15-16.
The company is expected to discuss two breakthrough innovations, which will address the global plastic waste problem. It will also feature two new products, Cristal EV600 copolyester and Treva engineering bioplastic.
Notably, Treva is a cellulose-based plastic for color-tinted and opaque packaging. It offers better performance and has less impact on the environment. The product has the capability to serve as a direct replacement for ABS. Biocontent of more than 40% enables the brands to proceed toward sustainability commitments.
Earlier this year, Eastman Chemical announced two recycling innovations — carbon renewal technology and advanced circular recycling. These innovative technologies facilitate the recycling of mixed plastic waste and mixed polyester.
Advanced circular recycling uses methanolysis, which breaks polyester-based products into polymer building blocks. Carbon renewal technology converts mixed plastic waste back to its molecular components, which includes cosmetics packaging that are difficult. Treva will be one of the first products to benefit from carbon renewal technology. The company intends to commercially make this product available by the end of this year.
Eastman Chemical’s shares have lost 33.4% in the past year compared with the 32.3% decline of the industry.
The company delivered adjusted earnings per share (EPS) of $1.77 in the first quarter, down from $2.23 in the year ago-quarter. The figure also trailed the Zacks Consensus Estimate of $1.91.
The company expects strong earnings growth in the second quarter on a sequential comparison basis. However, the company expects the difficult global business environment to continue through first-half 2019.
It is undertaking additional cost reduction actions in the wake of the challenging business environment. The company expects global economy to strengthen in the second half of 2019. The company continues to expect adjusted EPS growth of 6-10% in 2019.
Zacks Rank & Key Picks
Eastman Chemical currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the basic materials space are Materion Corporation (MTRN - Free Report) , Fortescue Metals Group Ltd. (FSUGY - Free Report) and AngloGold Ashanti Limited (AU - Free Report) , all currently sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Materion has an expected earnings growth rate of 16.4% for 2019. The company’s shares have gained 17.6% in the past year.
Fortescue Metals has an expected earnings growth rate of 101.5% for the current year. The company’s shares have surged 53.7% in a year’s time.
AngloGold has an expected earnings growth rate of 86.8% for 2019. Its shares have rallied 37% in a year’s time.
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