Wall Street Zen Upgrades Cabot (NYSE:CBT) to "Buy"

Key Points

• Wall Street Zen upgraded Cabot to “Buy” from “Hold,” though the broader analyst consensus remains “Hold,” with two Buy, four Hold, and one Sell ratings and an average price target of $87.80.
• Cabot shares opened at $75.05, down 0.7%, and remain below their 50-day and 200-day moving averages. The stock has traded between $58.33 and $94.53 over the past year.
• Cabot slightly beat quarterly expectations with $1.67 EPS versus $1.66 expected and revenue of $982 million, up 6.4% year over year; however, company insiders sold 229,597 shares worth about $19.6 million during the last quarter.

Cabot (NYSE:CBT - Get Free Report) was upgraded by stock analysts at Wall Street Zen from a "hold" rating to a "buy" rating in a research note issued to investors on Sunday, Wall Street Zen reports.

Other research analysts also recently issued reports about the company. Weiss Ratings restated a "hold (c)" rating on shares of Cabot in a research report on Friday, August 21st. JPMorgan Chase & Co. raised their price target on Cabot from $70.00 to $78.00 and gave the stock an "underweight" rating in a research report on Friday, August 7th. UBS Group cut their price target on Cabot from $92.00 to $86.00 and set a "neutral" rating for the company in a report on Monday, October 5th. Mizuho increased their price objective on Cabot from $80.00 to $90.00 and gave the company a "neutral" rating in a research note on Thursday, June 25th. Finally, Truist Financial set a $100.00 price objective on Cabot in a research report on Wednesday, August 5th. Two analysts have rated the stock with a Buy rating, four have given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the company presently has an average rating of "Hold" and an average target price of $87.80.

Cabot Trading Down 0.7%

NYSE:CBT opened at $75.05 on Friday. Cabot has a 12-month low of $58.33 and a 12-month high of $94.53. The company has a current ratio of 1.47, a quick ratio of 0.97 and a debt-to-equity ratio of 0.48. The stock's 50 day simple moving average is $81.48 and its 200-day simple moving average is $82.39. The firm has a market cap of $3.87 billion, a P/E ratio of 21.14, a PEG ratio of 8.82 and a beta of 0.83.

Cabot (NYSE:CBT - Get Free Report) last posted its quarterly earnings data on Monday, August 3rd. The specialty chemicals company reported $1.67 earnings per share for the quarter, beating analysts' consensus estimates of $1.66 by $0.01. The firm had revenue of $982.00 million for the quarter, compared to analyst estimates of $943.16 million. Cabot had a net margin of 5.23% and a return on equity of 20.29%. Cabot's quarterly revenue was up 6.4% on a year-over-year basis. During the same period last year, the firm posted $1.90 EPS. Cabot has set its FY 2026 guidance at 6.150-6.450 EPS. Equities analysts anticipate that Cabot will post 6.35 EPS for the current year.

Insider Buying and Selling

In other Cabot news, CEO Sean Keohane sold 134,895 shares of the stock in a transaction on Friday, August 28th. The stock was sold at an average price of $85.00, for a total value of $11,466,075.00. Following the transaction, the chief executive officer directly owned 404,134 shares in the company, valued at approximately $34,351,390. This trade represents a 25.03% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders have sold 229,597 shares of company stock valued at $19,646,746 in the last quarter. 3.08% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Cabot

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. BlackRock Inc. purchased a new position in Cabot in the 2nd quarter valued at approximately $633,302,000. State Street Corp boosted its holdings in Cabot by 6.8% in the 2nd quarter. State Street Corp now owns 2,165,434 shares of the specialty chemicals company's stock worth $196,665,000 after acquiring an additional 138,098 shares during the period. Dimensional Fund Advisors LP grew its holdings in Cabot by 4.8% during the 1st quarter. Dimensional Fund Advisors LP now owns 1,742,782 shares of the specialty chemicals company's stock valued at $131,253,000 after purchasing an additional 79,499 shares in the last quarter. Bank of America Corp DE purchased a new stake in shares of Cabot during the second quarter worth about $150,772,000. Finally, Sei Investments Co. raised its position in shares of Cabot by 6.5% in the 1st quarter. Sei Investments Co. now owns 1,051,578 shares of the specialty chemicals company's stock valued at $79,194,000 after purchasing an additional 64,122 shares in the last quarter. Institutional investors own 93.18% of the company's stock.

About Cabot

Cabot Corporation NYSE: CBT is a global specialty chemicals and performance materials company headquartered in Boston, Massachusetts. Founded in 1882 by Godfrey Lowell Cabot, the company develops and manufactures materials used by industrial and consumer-product manufacturers worldwide.

Cabot's products include reinforcing carbon blacks used in tires, automotive components, and other rubber products; specialty carbon blacks used in coatings, plastics, inks, and batteries; and fumed silica used in adhesives, sealants, coatings, and personal-care applications.

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