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Eastern (EML) reported a net profit margin of 4.1%, down from 5.2% YoY, with earnings declining at an average annual rate of 2.6% over the last five years. Despite this, the stock trades at a P/E ratio of 11.5x, well below its peer average, and is above its estimated fair value at $20.68 per share. Investors are presented with an attractive dividend and relative value, but ongoing profit declines and margin pressure could dampen sentiment.

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