VeriStar Capital Management LP Acquires Shares of 43,800 Ashland Inc. $ASH

Key Points

• VeriStar Capital Management LP has acquired a new stake in Ashland Inc. by purchasing 43,800 shares, valued at approximately $2.6 million, making it the firm’s 11th largest holding.
• Several hedge funds have increased their stakes in Ashland, with notable increases from Tower Research Capital LLC (102.2%) and AQR Capital Management LLC (84.3%) during the fourth quarter.
• Ashland's stock is currently rated as a "Moderate Buy" by analysts, with a consensus target price of $65.50, despite recent price target adjustments by multiple research firms.

VeriStar Capital Management LP acquired a new position in shares of Ashland Inc. (NYSE:ASH - Free Report) in the 1st quarter, according to its most recent 13F filing with the SEC. The fund acquired 43,800 shares of the basic materials company's stock, valued at approximately $2,597,000. Ashland comprises about 4.7% of VeriStar Capital Management LP's investment portfolio, making the stock its 11th largest holding. VeriStar Capital Management LP owned 0.10% of Ashland as of its most recent SEC filing.

Several other institutional investors have also recently modified their holdings of the stock. Eminence Capital LP raised its position in shares of Ashland by 8.0% during the 4th quarter. Eminence Capital LP now owns 2,860,471 shares of the basic materials company's stock worth $204,409,000 after purchasing an additional 212,916 shares during the last quarter. Allspring Global Investments Holdings LLC raised its holdings in Ashland by 33.1% in the 1st quarter. Allspring Global Investments Holdings LLC now owns 2,291,157 shares of the basic materials company's stock valued at $132,383,000 after acquiring an additional 569,740 shares during the last quarter. Diamond Hill Capital Management Inc. raised its holdings in Ashland by 7.4% in the 1st quarter. Diamond Hill Capital Management Inc. now owns 1,683,627 shares of the basic materials company's stock valued at $99,822,000 after acquiring an additional 115,811 shares during the last quarter. 1832 Asset Management L.P. raised its holdings in Ashland by 48.7% in the 1st quarter. 1832 Asset Management L.P. now owns 1,228,525 shares of the basic materials company's stock valued at $72,839,000 after acquiring an additional 402,286 shares during the last quarter. Finally, Shapiro Capital Management LLC raised its holdings in Ashland by 172.5% in the 4th quarter. Shapiro Capital Management LLC now owns 670,785 shares of the basic materials company's stock valued at $47,934,000 after acquiring an additional 424,595 shares during the last quarter. 93.95% of the stock is currently owned by institutional investors and hedge funds.

Ashland Stock Up 0.2%

Ashland stock traded up $0.12 during trading on Thursday, reaching $54.28. 397,430 shares of the company's stock were exchanged, compared to its average volume of 444,930. The company's 50-day moving average is $53.10 and its two-hundred day moving average is $53.38. The company has a debt-to-equity ratio of 0.73, a quick ratio of 1.33 and a current ratio of 2.68. Ashland Inc. has a 52-week low of $45.21 and a 52-week high of $89.09. The firm has a market cap of $2.48 billion, a price-to-earnings ratio of -2.90, a PEG ratio of 3.88 and a beta of 0.52.

Ashland (NYSE:ASH - Get Free Report) last announced its quarterly earnings results on Tuesday, July 29th. The basic materials company reported $1.04 earnings per share for the quarter, missing analysts' consensus estimates of $1.15 by ($0.11). The business had revenue of $463.00 million for the quarter, compared to analysts' expectations of $479.34 million. Ashland had a positive return on equity of 6.82% and a negative net margin of 46.01%.The firm's revenue for the quarter was down 14.9% on a year-over-year basis. During the same period last year, the company posted $1.49 earnings per share. Ashland has set its FY 2025 guidance at EPS. On average, analysts predict that Ashland Inc. will post 4.27 earnings per share for the current year.

Ashland Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Monday, September 15th. Shareholders of record on Monday, September 1st will be given a $0.415 dividend. This represents a $1.66 dividend on an annualized basis and a yield of 3.1%. The ex-dividend date of this dividend is Friday, August 29th. Ashland's dividend payout ratio is presently -8.86%.

Analysts Set New Price Targets

Several research analysts have weighed in on ASH shares. Wall Street Zen upgraded Ashland from a "sell" rating to a "hold" rating in a report on Friday, June 27th. BMO Capital Markets boosted their price target on Ashland from $60.00 to $61.00 and gave the company a "market perform" rating in a report on Tuesday. Argus dropped their price objective on Ashland from $70.00 to $65.00 and set a "buy" rating for the company in a report on Tuesday, August 26th. UBS Group dropped their price objective on Ashland from $73.00 to $64.00 and set a "buy" rating for the company in a report on Thursday, August 7th. Finally, Wells Fargo & Company upped their price objective on Ashland from $50.00 to $53.00 and gave the stock an "equal weight" rating in a report on Thursday, July 31st. Three investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and an average price target of $61.67.

Ashland Profile

Ashland Inc provides additives and specialty ingredients in the North and Latin America, Europe, Asia Pacific, and internationally. It operates through Life Sciences, Personal Care, Specialty Additives, and Intermediates segments. The Life Sciences segment offers pharmaceutical solutions, including controlled release polymers, disintegrants, tablet coatings, thickeners, solubilizers, and tablet binders; nutrition solutions, such as thickeners, stabilizers, emulsifiers, and additives; and nutraceutical solutions comprising products for weight management, joint comfort, stomach and intestinal health, sports nutrition, and general wellness, as well as custom formulation, toll processing, and particle engineering solutions.