Commerce Bank Buys New Shares in Ecolab Inc. $ECL

Key Points

• Commerce Bank acquired 31,085 Ecolab shares during the second quarter, valued at approximately $8.7 million. Institutional investors collectively own 74.91% of Ecolab’s outstanding stock.
• Analyst sentiment remains broadly positive, with a consensus “Moderate Buy” rating and an average price target of $327.56, despite some target reductions and a recent “Strong Sell” downgrade from Zacks Research.
• Ecolab exceeded quarterly expectations with earnings of $2.09 per share and revenue of $4.42 billion, up 9.7% year over year. The company also declared a quarterly dividend of $0.73 per share, representing a 1.0% annualized yield.

Commerce Bank bought a new position in Ecolab Inc. (NYSE:ECL - Free Report) during the second quarter, according to the company in its most recent filing with the SEC. The firm bought 31,085 shares of the basic materials company's stock, valued at approximately $8,661,000.

Other institutional investors have also added to or reduced their stakes in the company. QRG Capital Management Inc. grew its holdings in Ecolab by 38.7% in the 4th quarter. QRG Capital Management Inc. now owns 22,362 shares of the basic materials company's stock worth $5,870,000 after acquiring an additional 6,238 shares during the last quarter. Erste Asset Management GmbH increased its position in shares of Ecolab by 2.2% in the fourth quarter. Erste Asset Management GmbH now owns 163,731 shares of the basic materials company's stock valued at $43,464,000 after acquiring an additional 3,500 shares during the period. Findlay Park Partners LLP bought a new position in shares of Ecolab during the second quarter valued at about $115,674,000. Cornerstone Advisors LLC bought a new position in shares of Ecolab during the second quarter valued at about $16,698,000. Finally, Farmers & Merchants Investments Inc. boosted its holdings in shares of Ecolab by 29.4% during the fourth quarter. Farmers & Merchants Investments Inc. now owns 21,488 shares of the basic materials company's stock worth $5,641,000 after purchasing an additional 4,886 shares during the period. 74.91% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Ratings Changes

A number of research analysts recently issued reports on the company. Jefferies Financial Group reduced their price target on Ecolab from $352.00 to $345.00 and set a "buy" rating on the stock in a report on Wednesday, May 20th. Robert W. Baird set a $305.00 price objective on Ecolab in a report on Wednesday, July 29th. JPMorgan Chase & Co. lifted their price objective on Ecolab from $295.00 to $305.00 and gave the stock an "overweight" rating in a research report on Wednesday, July 29th. Zacks Research cut Ecolab from a "hold" rating to a "strong sell" rating in a research note on Monday, July 20th. Finally, Wells Fargo & Company upped their target price on Ecolab from $275.00 to $295.00 and gave the company an "equal weight" rating in a report on Thursday, July 30th. One investment analyst has rated the stock with a Strong Buy rating, seventeen have issued a Buy rating, three have given a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $327.56.

Ecolab Price Performance

ECL stock opened at $281.91 on Monday. Ecolab Inc. has a 1 year low of $243.15 and a 1 year high of $309.27. The company has a market cap of $79.03 billion, a P/E ratio of 37.84, a PEG ratio of 2.43 and a beta of 0.88. The firm has a 50-day moving average of $276.56 and a 200 day moving average of $273.66. The company has a debt-to-equity ratio of 1.18, a current ratio of 1.84 and a quick ratio of 1.57.

Ecolab (NYSE:ECL - Get Free Report) last posted its quarterly earnings data on Tuesday, July 28th. The basic materials company reported $2.09 earnings per share for the quarter, beating the consensus estimate of $2.08 by $0.01. Ecolab had a return on equity of 22.72% and a net margin of 12.57%.The business had revenue of $4.42 billion for the quarter, compared to analysts' expectations of $4.38 billion. During the same period in the previous year, the firm posted $1.89 EPS. The business's revenue was up 9.7% on a year-over-year basis. Ecolab has set its Q3 2026 guidance at 2.130-2.230 EPS. On average, sell-side analysts forecast that Ecolab Inc. will post 8.17 EPS for the current year.

Ecolab Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, October 15th. Investors of record on Tuesday, September 15th will be given a dividend of $0.73 per share. The ex-dividend date is Tuesday, September 15th. This represents a $2.92 annualized dividend and a dividend yield of 1.0%. Ecolab's payout ratio is currently 39.19%.

Insider Buying and Selling

In other news, Director Michel D. Doukeris acquired 7,750 shares of the firm's stock in a transaction on Wednesday, June 10th. The stock was acquired at an average price of $258.00 per share, for a total transaction of $1,999,500.00. Following the completion of the acquisition, the director owned 8,326 shares in the company, valued at $2,148,108. This trade represents a 1,345.49% increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Suzanne M. Vautrinot sold 1,004 shares of the firm's stock in a transaction on Wednesday, May 27th. The shares were sold at an average price of $264.98, for a total value of $266,039.92. Following the transaction, the director directly owned 11,651 shares of the company's stock, valued at $3,087,281.98. This represents a 7.93% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 28,866 shares of company stock valued at $7,878,801 over the last 90 days. 0.50% of the stock is currently owned by company insiders.

About Ecolab

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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