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Top Analysts Weigh In On Three High-Dividend Materials Stocks

MarketDash Editorial Team
4 days ago
When markets get choppy, dividend stocks become the comfort food of investing. Here's what Wall Street's most accurate analysts are saying about three materials companies offering yields between 5% and 17%, complete with recent price target cuts and earnings misses.

When the market gets a bit wobbly, investors often gravitate toward dividend-paying stocks. The logic is simple: companies with strong free cash flow that consistently reward shareholders feel like a safer bet than chasing growth in turbulent times. But here's the catch—not all high-yield dividends are created equal, especially when the companies behind them are struggling.

Let's look at what Wall Street's most accurate analysts are saying about three materials sector stocks that are currently offering some seriously high dividend yields. Spoiler alert: the yields look attractive, but the analyst commentary suggests investors should proceed with caution.

FMC Corp (FMC): The Eye-Popping 17% Yield

Dividend Yield: 17.06%

Yes, you read that correctly—FMC is yielding over 17%. When you see a dividend yield that high, it's usually a red flag that the market doesn't think it's sustainable. Recent analyst moves support that concern.

Jeffrey Zekauskas from JP Morgan maintained a Neutral rating but slashed his price target from $43 all the way down to $14 on November 17, 2025. Zekauskas has a 64% accuracy rate, so his view carries some weight. Not to be outdone, Vincent Andrews at Morgan Stanley kept his Equal-Weight rating but cut his target from $38 to $17 on November 3, 2025. Andrews boasts a 76% accuracy rate, making him one of the more reliable voices covering the stock.

What's driving the pessimism? On October 29, FMC lowered its full-year 2025 earnings and sales guidance, which never inspires confidence. When a company offering a massive dividend yield is also cutting its financial outlook, that's the kind of situation that makes analysts nervous.

Eastman Chemical Co (EMN): A More Modest But Still Generous Yield

Dividend Yield: 5.39%

Compared to FMC's almost absurd yield, Eastman Chemical's 5.39% looks downright reasonable. But analysts here aren't exactly enthusiastic either.

Stephen Richardson from Evercore ISI Group kept his In-Line rating (analyst-speak for "meh") and dropped his price target from $75 to $70 on November 11, 2025. Richardson has a 61% accuracy rate. Meanwhile, John Roberts at Mizuho maintained an Outperform rating—one of the few bullish stances in this group—but still trimmed his target from $80 to $75 on October 3, 2025. Roberts has a 70% accuracy rate.

The context? On November 3, Eastman Chemical posted quarterly results that missed analyst expectations. Even with a decent dividend yield, weaker-than-expected earnings tend to make investors think twice about whether that payout is truly safe.

Tronox Holdings PLC (TROX): Another Five-Percenter With Challenges

Dividend Yield: 5.08%

Tronox rounds out our trio with just over 5% in dividend yield, but the analyst commentary here is particularly bearish.

John Roberts from Mizuho (the same analyst covering Eastman Chemical) maintained an Underperform rating and cut his price target from $3.50 to $3 on November 6, 2025. That's already a pretty low price target, and he's trimming it further. Jeffrey Zekauskas from JP Morgan (who also covers FMC) actually downgraded Tronox from Overweight to Neutral on October 3, 2025.

What went wrong? On November 5, Tronox Holdings reported third-quarter financial results that came in worse than expected. When you're dealing with a stock trading in the low single digits and analysts are downgrading or maintaining underperform ratings, that generous dividend starts to look less like free money and more like a potential trap.

The Bottom Line

High dividend yields can be tempting, especially when market conditions make you want to play it safe. But these three materials stocks illustrate an important lesson: a fat dividend yield doesn't mean much if the underlying business is struggling. Between guidance cuts, earnings misses, and analyst downgrades, these companies are showing signs of stress.

Wall Street's most accurate analysts—the ones with track records between 61% and 76% accuracy—are either neutral or bearish on all three names, despite those attractive yields. That should tell you something. Sometimes a high yield is the market's way of saying "we don't think this dividend is going to last."

If you're hunting for dividend income, it pays to look beyond the yield percentage and dig into whether the company can actually sustain those payments. Because a 17% yield doesn't help much if it gets cut in half next quarter.

Back to News

Top Analysts Weigh In On Three High-Dividend Materials Stocks

MarketDash Editorial Team
4 days ago
When markets get choppy, dividend stocks become the comfort food of investing. Here's what Wall Street's most accurate analysts are saying about three materials companies offering yields between 5% and 17%, complete with recent price target cuts and earnings misses.

When the market gets a bit wobbly, investors often gravitate toward dividend-paying stocks. The logic is simple: companies with strong free cash flow that consistently reward shareholders feel like a safer bet than chasing growth in turbulent times. But here's the catch—not all high-yield dividends are created equal, especially when the companies behind them are struggling.

Let's look at what Wall Street's most accurate analysts are saying about three materials sector stocks that are currently offering some seriously high dividend yields. Spoiler alert: the yields look attractive, but the analyst commentary suggests investors should proceed with caution.

FMC Corp (FMC): The Eye-Popping 17% Yield

Dividend Yield: 17.06%

Yes, you read that correctly—FMC is yielding over 17%. When you see a dividend yield that high, it's usually a red flag that the market doesn't think it's sustainable. Recent analyst moves support that concern.

Jeffrey Zekauskas from JP Morgan maintained a Neutral rating but slashed his price target from $43 all the way down to $14 on November 17, 2025. Zekauskas has a 64% accuracy rate, so his view carries some weight. Not to be outdone, Vincent Andrews at Morgan Stanley kept his Equal-Weight rating but cut his target from $38 to $17 on November 3, 2025. Andrews boasts a 76% accuracy rate, making him one of the more reliable voices covering the stock.

What's driving the pessimism? On October 29, FMC lowered its full-year 2025 earnings and sales guidance, which never inspires confidence. When a company offering a massive dividend yield is also cutting its financial outlook, that's the kind of situation that makes analysts nervous.

Eastman Chemical Co (EMN): A More Modest But Still Generous Yield

Dividend Yield: 5.39%

Compared to FMC's almost absurd yield, Eastman Chemical's 5.39% looks downright reasonable. But analysts here aren't exactly enthusiastic either.

Stephen Richardson from Evercore ISI Group kept his In-Line rating (analyst-speak for "meh") and dropped his price target from $75 to $70 on November 11, 2025. Richardson has a 61% accuracy rate. Meanwhile, John Roberts at Mizuho maintained an Outperform rating—one of the few bullish stances in this group—but still trimmed his target from $80 to $75 on October 3, 2025. Roberts has a 70% accuracy rate.

The context? On November 3, Eastman Chemical posted quarterly results that missed analyst expectations. Even with a decent dividend yield, weaker-than-expected earnings tend to make investors think twice about whether that payout is truly safe.

Tronox Holdings PLC (TROX): Another Five-Percenter With Challenges

Dividend Yield: 5.08%

Tronox rounds out our trio with just over 5% in dividend yield, but the analyst commentary here is particularly bearish.

John Roberts from Mizuho (the same analyst covering Eastman Chemical) maintained an Underperform rating and cut his price target from $3.50 to $3 on November 6, 2025. That's already a pretty low price target, and he's trimming it further. Jeffrey Zekauskas from JP Morgan (who also covers FMC) actually downgraded Tronox from Overweight to Neutral on October 3, 2025.

What went wrong? On November 5, Tronox Holdings reported third-quarter financial results that came in worse than expected. When you're dealing with a stock trading in the low single digits and analysts are downgrading or maintaining underperform ratings, that generous dividend starts to look less like free money and more like a potential trap.

The Bottom Line

High dividend yields can be tempting, especially when market conditions make you want to play it safe. But these three materials stocks illustrate an important lesson: a fat dividend yield doesn't mean much if the underlying business is struggling. Between guidance cuts, earnings misses, and analyst downgrades, these companies are showing signs of stress.

Wall Street's most accurate analysts—the ones with track records between 61% and 76% accuracy—are either neutral or bearish on all three names, despite those attractive yields. That should tell you something. Sometimes a high yield is the market's way of saying "we don't think this dividend is going to last."

If you're hunting for dividend income, it pays to look beyond the yield percentage and dig into whether the company can actually sustain those payments. Because a 17% yield doesn't help much if it gets cut in half next quarter.