Cabot (NYSE:CBT) Issues Quarterly Earnings Results, Beats Estimates 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) issued its earnings results on Monday. The specialty chemicals company reported $1.90 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.80 by $0.10, Zacks reports. The firm had revenue of $923.00 million for the quarter, compared to analysts' expectations of $957.29 million. Cabot had a net margin of 11.14% and a return on equity of 26.17%. Cabot updated its FY 2025 guidance to 7.150-7.500 EPS.

Cabot Trading Down 2.2%

CBT stock traded down $1.74 during mid-day trading on Wednesday, reaching $78.36. 251,500 shares of the stock traded hands, compared to its average volume of 429,072. The company has a debt-to-equity ratio of 0.69, a quick ratio of 1.30 and a current ratio of 1.96. The business has a 50-day moving average price of $75.80 and a two-hundred day moving average price of $79.73. Cabot has a one year low of $70.40 and a one year high of $117.46. The stock has a market capitalization of $4.21 billion, a PE ratio of 10.24 and a beta of 0.87.

Cabot Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 11th. Shareholders of record on Friday, August 29th will be paid a dividend of $0.45 per share. This represents a $1.80 annualized dividend and a yield of 2.3%. Cabot's payout ratio is 23.29%.

Hedge Funds Weigh In On Cabot

Several hedge funds have recently bought and sold shares of the business. NewEdge Advisors LLC increased its stake in 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 buying an additional 947 shares during the period. Goldman Sachs Group Inc. grew its position in shares of Cabot by 32.5% during the 1st quarter. Goldman Sachs Group Inc. now owns 442,646 shares of the specialty chemicals company's stock worth $36,802,000 after buying an additional 108,645 shares in the last quarter. Empowered Funds LLC raised its holdings in shares of Cabot by 102.6% in the first quarter. Empowered Funds LLC now owns 28,162 shares of the specialty chemicals company's stock valued at $2,341,000 after acquiring an additional 14,260 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its stake in Cabot by 3.4% in the first 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 worth $10,145,000 after acquiring an additional 4,048 shares during the period. Finally, Geneos Wealth Management Inc. grew its holdings in Cabot by 409.0% during the 1st quarter. Geneos Wealth Management Inc. now owns 453 shares of the specialty chemicals company's stock worth $38,000 after acquiring an additional 364 shares in the last quarter. Institutional investors own 93.18% of the company's stock.

Analysts Set New Price Targets

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

Cabot Company Profile

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.