Cabot (NYSE:CBT) Announces Earnings Results, Beats Expectations By $0.10 EPS

Key Points

• Cabot reported a quarterly EPS of $1.90, exceeding analysts' expectations of $1.80 by $0.10, with a return on equity of 26.76%.
• The company also declared a quarterly dividend of $0.45, resulting in an annualized dividend of $1.80 and a yield of 2.4%.
• Institutional investors collectively own 93.18% of Cabot's stock, with notable increases in stakes from firms like Goldman Sachs and Empowered Funds.

Cabot (NYSE:CBT - Get Free Report) released its quarterly earnings data on Monday. The specialty chemicals company reported $1.90 EPS for the quarter, topping the consensus estimate of $1.80 by $0.10, Zacks reports. The company had revenue of $923.00 million for the quarter, compared to the consensus estimate of $957.29 million. Cabot had a return on equity of 25.68% and a net margin of 11.14%. Cabot updated its FY 2025 guidance to 7.150-7.500 EPS.

Cabot Stock Up 1.2%

Cabot stock traded up $0.95 during trading hours on Friday, reaching $78.69. The stock had a trading volume of 67,089 shares, compared to its average volume of 429,235. The company has a market cap of $4.23 billion, a price-to-earnings ratio of 10.28 and a beta of 0.87. The business's 50 day moving average price is $75.91 and its 200-day moving average price is $79.62. Cabot has a 52 week low of $70.40 and a 52 week high of $117.46. The company has a debt-to-equity ratio of 0.66, a current ratio of 2.13 and a quick ratio of 1.30.

Cabot Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, September 11th. Shareholders of record on Friday, August 29th will be paid a $0.45 dividend. This represents a $1.80 annualized dividend and a yield of 2.3%. Cabot's dividend payout ratio (DPR) is presently 23.53%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the company. Geneos Wealth Management Inc. boosted its stake in Cabot by 409.0% in the first quarter. Geneos Wealth Management Inc. now owns 453 shares of the specialty chemicals company's stock valued at $38,000 after acquiring an additional 364 shares in the last quarter. NewEdge Advisors LLC boosted its position in shares of Cabot by 2,559.5% in the 1st quarter. NewEdge Advisors LLC now owns 984 shares of the specialty chemicals company's stock worth $82,000 after purchasing an additional 947 shares in the last quarter. Acadian Asset Management LLC acquired a new stake in shares of Cabot in the 1st quarter worth $96,000. Empowered Funds LLC grew its stake in Cabot by 102.6% during the 1st quarter. Empowered Funds LLC now owns 28,162 shares of the specialty chemicals company's stock worth $2,341,000 after buying an additional 14,260 shares during the last quarter. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its position in Cabot by 3.4% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 122,022 shares of the specialty chemicals company's stock valued at $10,145,000 after buying an additional 4,048 shares in the last quarter. Hedge funds and other institutional investors own 93.18% of the company's stock.

Wall Street Analysts Forecast Growth

CBT has been the topic of several research reports. UBS Group set a $82.00 price target on Cabot and gave the company a "neutral" rating in a research note on Tuesday. Wall Street Zen downgraded shares of Cabot from a "buy" rating to a "hold" rating in a research report on Wednesday, May 7th.

About Cabot

Cabot Corporation operates as a specialty chemicals and performance materials company. The company operates through two segments, Reinforcement Materials and Performance Chemicals. It offers reinforcing carbons that are used in tires as a rubber reinforcing agent and performance additive, as well as in industrial products, such as hoses, belts, extruded profiles, and molded goods; and engineered elastomer composites solutions.