Ecolab (NYSE:ECL) Reaches New 52-Week Low - Should You Sell?

Key Points

• Ecolab hit a new 52-week low during Tuesday trading, falling to as low as $248.75 before recovering slightly. The stock was down from its prior close of $251.10.
• Despite the weak share price, analysts remain mostly bullish, with a consensus rating of “Moderate Buy” and an average price target of $322.53. Several firms recently raised targets, including BMO Capital Markets and Bank of America.
• Recent fundamentals were solid: Ecolab matched quarterly EPS estimates, beat revenue expectations, and reported 10% year-over-year revenue growth. The company also announced a quarterly dividend of $0.73 per share, implying a 1.2% annual yield.

Ecolab Inc. (NYSE:ECL - Get Free Report) reached a new 52-week low during mid-day trading on Tuesday . The stock traded as low as $248.75 and last traded at $250.1030, with a volume of 158045 shares trading hands. The stock had previously closed at $251.10.

Analysts Set New Price Targets

A number of research firms have recently commented on ECL. BMO Capital Markets raised their price target on Ecolab from $323.00 to $345.00 and gave the stock an "outperform" rating in a report on Friday, February 13th. Weiss Ratings raised Ecolab from a "buy (b-)" rating to a "buy (b)" rating in a report on Wednesday, May 6th. Bank of America lifted their target price on Ecolab from $337.00 to $345.00 and gave the company a "buy" rating in a report on Tuesday, April 21st. Erste Group Bank downgraded shares of Ecolab from a "buy" rating to a "hold" rating in a report on Friday, January 23rd. Finally, Stifel Nicolaus raised their price objective on shares of Ecolab from $300.00 to $337.00 and gave the company a "buy" rating in a research report on Wednesday, February 11th. One research analyst has rated the stock with a Strong Buy rating, sixteen have given a Buy rating and four have issued a Hold rating to the stock. Based on data from MarketBeat.com, Ecolab has an average rating of "Moderate Buy" and a consensus target price of $322.53.

Ecolab Trading Up 0.2%

The company has a market capitalization of $70.78 billion, a PE ratio of 34.01, a PEG ratio of 2.10 and a beta of 0.92. The stock has a fifty day moving average of $270.81 and a two-hundred day moving average of $272.60. The company has a current ratio of 0.99, a quick ratio of 0.73 and a debt-to-equity ratio of 0.69.

Ecolab (NYSE:ECL - Get Free Report) last posted its quarterly earnings results on Tuesday, April 28th. The basic materials company reported $1.70 EPS for the quarter, hitting the consensus estimate of $1.70. Ecolab had a net margin of 12.80% and a return on equity of 22.64%. The firm had revenue of $4.07 billion for the quarter, compared to the consensus estimate of $4.03 billion. During the same period last year, the firm posted $1.50 earnings per share. The business's revenue was up 10.0% compared to the same quarter last year. Ecolab has set its FY 2026 guidance at 8.430-8.630 EPS and its Q2 2026 guidance at 2.020-2.120 EPS. As a group, sell-side analysts anticipate that Ecolab Inc. will post 8.5 earnings per share for the current fiscal year.

Ecolab Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 15th. Stockholders of record on Tuesday, June 16th will be issued a $0.73 dividend. The ex-dividend date is Tuesday, June 16th. This represents a $2.92 annualized dividend and a dividend yield of 1.2%. Ecolab's payout ratio is currently 39.51%.

Insider Activity

In other news, Director Tracy B. Mckibben sold 1,265 shares of the stock in a transaction that occurred on Wednesday, February 25th. The stock was sold at an average price of $308.66, for a total transaction of $390,454.90. Following the completion of the sale, the director owned 11,358 shares of the company's stock, valued at approximately $3,505,760.28. This represents a 10.02% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director David Maclennan bought 800 shares of the business's stock in a transaction dated Monday, May 4th. The stock was purchased at an average price of $256.91 per share, for a total transaction of $205,528.00. Following the acquisition, the director directly owned 24,230 shares of the company's stock, valued at approximately $6,224,929.30. The trade was a 3.41% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. 0.50% of the stock is currently owned by corporate insiders.

Institutional Trading of Ecolab

A number of institutional investors have recently modified their holdings of ECL. Turtle Creek Wealth Advisors LLC lifted its holdings in Ecolab by 3.6% in the 4th quarter. Turtle Creek Wealth Advisors LLC now owns 1,028 shares of the basic materials company's stock worth $270,000 after buying an additional 36 shares during the period. HBK Sorce Advisory LLC increased its stake in shares of Ecolab by 2.7% during the fourth quarter. HBK Sorce Advisory LLC now owns 1,362 shares of the basic materials company's stock valued at $395,000 after buying an additional 36 shares during the period. Steigerwald Gordon & Koch Inc. raised its holdings in shares of Ecolab by 22.0% during the fourth quarter. Steigerwald Gordon & Koch Inc. now owns 211 shares of the basic materials company's stock valued at $55,000 after acquiring an additional 38 shares in the last quarter. Addison Advisors LLC lifted its stake in Ecolab by 5.2% in the fourth quarter. Addison Advisors LLC now owns 764 shares of the basic materials company's stock worth $201,000 after acquiring an additional 38 shares during the period. Finally, CYBER HORNET ETFs LLC lifted its stake in Ecolab by 5.5% in the fourth quarter. CYBER HORNET ETFs LLC now owns 730 shares of the basic materials company's stock worth $192,000 after acquiring an additional 38 shares during the period. 74.91% of the stock is currently owned by hedge funds and other institutional investors.

Ecolab Company Profile

Ecolab, Inc is a global provider of water, hygiene and infection prevention solutions and services. The company develops and supplies cleaning and sanitizing chemicals, dispensing equipment, water-treatment systems, pest elimination services and related technologies designed to help businesses maintain clean, safe and efficient operations. Its offerings span both products and onsite services, often paired with technical support and training.

Ecolab serves a broad range of end markets including hospitality and foodservice, food and beverage processing, healthcare, manufacturing and industrial operations, and energy and utilities.

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