Vanguard Group Inc. Reduces Stock Position in Ashland Inc. $ASH

Key Points

• Vanguard Group trimmed its Ashland stake by 1.5% in the fourth quarter, but it still held 4.54 million shares worth about $266.4 million and represented roughly 9.9% of the company.
• Ashland reported Q4 EPS of $0.91, missing analyst expectations, though revenue came in at $964 million and slightly increased year over year. The stock was trading near $55, with a market cap of about $2.52 billion.
• The company raised its quarterly dividend to $0.42 per share, while sentiment remained mixed as one law firm opened an investigation and Zacks downgraded the stock to “strong sell.”

Vanguard Group Inc. cut its stake in Ashland Inc. (NYSE:ASH - Free Report) by 1.5% in the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 4,540,507 shares of the basic materials company's stock after selling 70,994 shares during the period. Vanguard Group Inc. owned approximately 9.92% of Ashland worth $266,392,000 at the end of the most recent reporting period.

Other large investors have also modified their holdings of the company. Royal Bank of Canada lifted its holdings in Ashland by 18.7% in the 1st quarter. Royal Bank of Canada now owns 46,306 shares of the basic materials company's stock valued at $2,747,000 after purchasing an additional 7,309 shares in the last quarter. Integrated Wealth Concepts LLC boosted its position in Ashland by 6.3% during the first quarter. Integrated Wealth Concepts LLC now owns 3,815 shares of the basic materials company's stock worth $226,000 after acquiring an additional 225 shares during the last quarter. Millennium Management LLC boosted its position in Ashland by 49.4% during the first quarter. Millennium Management LLC now owns 284,454 shares of the basic materials company's stock worth $16,865,000 after acquiring an additional 94,067 shares during the last quarter. Goldman Sachs Group Inc. boosted its position in Ashland by 1.6% during the first quarter. Goldman Sachs Group Inc. now owns 387,132 shares of the basic materials company's stock worth $22,953,000 after acquiring an additional 6,245 shares during the last quarter. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its holdings in shares of Ashland by 10.1% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 152,830 shares of the basic materials company's stock valued at $9,061,000 after purchasing an additional 13,989 shares during the last quarter. 93.95% of the stock is currently owned by institutional investors and hedge funds.

Ashland Stock Performance

Shares of ASH stock opened at $55.01 on Friday. The company's fifty day simple moving average is $55.09 and its 200-day simple moving average is $56.67. Ashland Inc. has a 52 week low of $46.29 and a 52 week high of $65.64. The company has a current ratio of 3.06, a quick ratio of 1.78 and a debt-to-equity ratio of 0.74. The company has a market cap of $2.52 billion, a PE ratio of -3.57, a P/E/G ratio of 1.75 and a beta of 0.40.

Ashland (NYSE:ASH - Get Free Report) last issued its earnings results on Tuesday, April 28th. The basic materials company reported $0.91 EPS for the quarter, missing analysts' consensus estimates of $0.97 by ($0.06). Ashland had a negative net margin of 39.03% and a positive return on equity of 8.06%. The business had revenue of $964.00 million during the quarter, compared to analysts' expectations of $485.61 million. During the same period in the prior year, the business posted $0.99 EPS. The business's revenue was up .6% on a year-over-year basis. As a group, equities research analysts anticipate that Ashland Inc. will post 3.51 EPS for the current year.

Ashland Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Monday, June 15th. Shareholders of record on Monday, June 1st will be paid a dividend of $0.42 per share. This represents a $1.68 dividend on an annualized basis and a yield of 3.1%. 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. Ashland's dividend payout ratio (DPR) is presently -10.77%.

Ashland News Roundup

Here are the key news stories impacting Ashland this week:

• Negative Sentiment: Pomerantz LLP said it is investigating claims on behalf of investors in Ashland Inc. (ASH), which can add uncertainty and weigh on the shares. INVESTOR ALERT: Pomerantz Law Firm Investigates Claims On Behalf of Investors of Ashland Inc. - ASH
• Negative Sentiment: Zacks Research downgraded Ashland Inc. (ASH) from “hold” to “strong sell,” signaling a more cautious view that could contribute to downside pressure. Zacks.com

Analysts Set New Price Targets

ASH has been the topic of a number of research analyst reports. JPMorgan Chase & Co. decreased their price target on shares of Ashland from $70.00 to $65.00 and set an "overweight" rating on the stock in a report on Thursday, April 30th. Weiss Ratings lowered shares of Ashland from a "sell (d)" rating to a "sell (d-)" rating in a report on Monday. Argus decreased their price target on shares of Ashland from $70.00 to $56.00 and set a "buy" rating on the stock in a report on Monday, March 23rd. UBS Group reiterated a "buy" rating and issued a $73.00 price target on shares of Ashland in a report on Wednesday, February 4th. Finally, Evercore set a $62.00 price target on shares of Ashland in a report on Wednesday, February 18th. Six equities research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and two have assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company has an average rating of "Hold" and a consensus price target of $62.78.

About Ashland

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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