Ashland Inc. (NYSE:ASH) Given Consensus Recommendation of "Hold" by Brokerages

Key Points

• Consensus "Hold": Eleven brokerages cover Ashland with a consensus Hold rating (1 sell, 4 hold, 6 buy) and an average 12‑month price target of $62.78.
• Quarterly results: Ashland reported $0.91 EPS, missing the $0.97 estimate and posting a negative net margin of 39.03% despite $964M in revenue (up 0.6% YoY); analysts project $3.49 EPS for the current year.
• Dividend maintained: The company declared a $0.42 quarterly dividend (ex‑dividend June 1, payable June 15), implying a 3.2% yield even as the reported dividend payout ratio is negative (-10.77%).

Shares of Ashland Inc. (NYSE:ASH - Get Free Report) have received a consensus recommendation of "Hold" from the eleven brokerages that are currently covering the company, Marketbeat reports. One research analyst has rated the stock with a sell rating, four have issued a hold rating and six have issued a buy rating on the company. The average 12-month price target among brokers that have covered the stock in the last year is $62.7778.

ASH has been the subject of several research reports. Zacks Research raised Ashland from a "strong sell" rating to a "hold" rating in a research report on Thursday, February 5th. Argus dropped their price objective on shares of Ashland from $70.00 to $56.00 and set a "buy" rating for the company in a research note on Monday, March 23rd. UBS Group reaffirmed a "buy" rating and set a $73.00 price objective on shares of Ashland in a report on Wednesday, February 4th. Wells Fargo & Company decreased their target price on shares of Ashland from $60.00 to $50.00 and set an "equal weight" rating on the stock in a research report on Thursday, April 30th. Finally, Morgan Stanley set a $58.00 target price on shares of Ashland in a research note on Monday.

Ashland Stock Down 0.5%

ASH stock opened at $52.25 on Wednesday. Ashland has a twelve month low of $46.29 and a twelve month high of $65.64. The company has a market cap of $2.39 billion, a PE ratio of -3.39, a price-to-earnings-growth ratio of 0.97 and a beta of 0.40. The business's 50-day simple moving average is $55.45 and its 200 day simple moving average is $56.59. The company has a quick ratio of 1.78, a current ratio of 3.06 and a debt-to-equity ratio of 0.74.

Ashland (NYSE:ASH - Get Free Report) last posted its quarterly earnings results on Tuesday, April 28th. The basic materials company reported $0.91 EPS for the quarter, missing the consensus estimate of $0.97 by ($0.06). The firm had revenue of $964.00 million during the quarter, compared to analyst estimates of $485.61 million. Ashland had a negative net margin of 39.03% and a positive return on equity of 8.06%. The company's revenue was up .6% on a year-over-year basis. During the same period last year, the company earned $0.99 EPS. On average, research analysts anticipate that Ashland will post 3.49 earnings per share for the current year.

Ashland Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, June 15th. Shareholders of record on Monday, June 1st will be issued a dividend of $0.42 per share. The ex-dividend date of this dividend is Monday, June 1st. This is a positive change from Ashland's previous quarterly dividend of $0.42. This represents a $1.68 dividend on an annualized basis and a yield of 3.2%. Ashland's dividend payout ratio (DPR) is presently -10.77%.

Hedge Funds Weigh In On Ashland

A number of hedge funds have recently modified their holdings of the stock. Rothschild Investment LLC increased its position in shares of Ashland by 3,673.3% during the 3rd quarter. Rothschild Investment LLC now owns 566 shares of the basic materials company's stock worth $27,000 after purchasing an additional 551 shares in the last quarter. Geneos Wealth Management Inc. grew its stake in Ashland by 59.0% during the second quarter. Geneos Wealth Management Inc. now owns 671 shares of the basic materials company's stock worth $34,000 after buying an additional 249 shares during the last quarter. Danske Bank A S bought a new stake in Ashland during the third quarter worth about $38,000. Aster Capital Management DIFC Ltd acquired a new stake in shares of Ashland during the third quarter worth approximately $53,000. Finally, State of Wyoming bought a new position in shares of Ashland in the third quarter valued at approximately $57,000. 93.95% of the stock is owned by institutional investors and hedge funds.

Ashland Company Profile

Ashland Inc is a global specialty chemicals company that develops, manufactures and supplies a broad range of performance and process-critical additives, ingredients and technologies. Its portfolio spans performance additives for coatings, adhesives and sealants; specialty ingredients for personal care and pharmaceutical applications; and process aids used in water treatment and other industrial processes. Ashland aims to address customer challenges by delivering tailored solutions that improve product performance, processing efficiency and sustainability outcomes.

Founded in 1924 as the Ashland Oil & Refining Company, the firm gradually expanded into the specialty chemicals sector over the second half of the 20th century.

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