Eastman Chemical Introduces Treva Engineering Bioplastics

Eastman Chemical Company (NYSE:EMN) unveiled Treva, a breakthrough in engineering bioplastics at the Chinaplas Plastics & Rubber Trade Fair held recently in Guangzhou, China. This will help global brands meet their sustainability and performance needs in today’s rapidly evolving marketplace.

Treva is a versatile cellulose-based thermoplastic with benefits like high-level performance, sustainability, design and brand flexibility. Treva – BPA-free and phthalate-free – has features like excellent flow rates, durability and dimensional stability that enable less material usage, thinner parts, and longer product life.

Additionally, Treva offers excellent chemical resistance against some of the harshest chemicals and also provides great color saturation, and superior secondary processing and decorating capability. This help in creating additional design and branding options.

Being an ideal material choice, Treva can be applied for eyeglass frames, wearable electronics, headphones, and many other personal devices that come in direct contact with the skin. Treva can also be used for electronic display applications, electronics, housings, intricate cosmetics cases, and other products with high design and complex specifications, automotive interior components which require chemical resistance and other demanding applications with high sustainability and safety requirements.

Eastman Chemical has outperformed the Zacks categorized Chemicals-Diversified industry over the past three months. The company’s shares have moved up around 4.2% over this period, compared with roughly 1.7% gain recorded by the industry.

The company remains focused on cost-cutting and productivity actions amid a challenging operating environment, which are expected to contribute around 50 cents to earnings per share in 2017. Further, the company expects adjusted earnings per share to grow 8–12% this year.

Eastman Chemical is also expected to gain from strategic acquisitions and capacity expansion actions. Moreover, the company remains committed to reduce debt and boost shareholders returns, leveraging healthy free cash flows. In 2017, it expects to generate solid free cash flow and return around $650 million to its shareholders.

Eastman Chemical Company Price and Consensus

Zacks Rank & Key Picks

Eastman Chemical currently carries a Zacks Rank #2 (Buy).

Some top-ranked companies in the chemical space include BASF SE (OTC:BASFY) , The Chemours Company (NYSE:CC) and Kronos Worldwide Inc (NYSE:KRO) . All the three stocks sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

BASF has expected long-term growth of 8.9%.

Chemours has expected long-term growth of 15.5%.

Kronos has expected long-term growth of 5%.

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