Olin Corporation (NYSE:OLN) Given Consensus Rating of "Reduce" by Brokerages

Key Points

• Analysts have a consensus “Reduce” rating on Olin, with 4 sell, 10 hold, 1 buy and 1 strong-buy recommendation. The average 12-month price target is $23.08, though several firms recently lowered their targets.
• Olin’s latest quarterly results fell short of expectations, reporting a $0.12 loss per share versus consensus for $0.13 in earnings, while revenue declined 0.9% year over year to $1.74 billion.
• The stock opened at $18.64, near its 52-week low, while institutional investors own 88.67% of shares. Olin also declared a quarterly dividend of $0.20, equivalent to a 4.3% annualized yield.

Shares of Olin Corporation (NYSE:OLN - Get Free Report) have earned an average recommendation of "Reduce" from the sixteen ratings firms that are covering the firm, Marketbeat reports. Four investment analysts have rated the stock with a sell rating, ten have assigned a hold rating, one has issued a buy rating and one has assigned a strong buy rating to the company. The average 12 month price target among brokerages that have issued a report on the stock in the last year is $23.0769.

A number of analysts have issued reports on OLN shares. The Goldman Sachs Group cut their target price on Olin from $24.00 to $20.00 and set a "neutral" rating on the stock in a research report on Tuesday, August 4th. Mizuho raised their price target on Olin from $23.00 to $24.00 and gave the stock a "neutral" rating in a research report on Friday, July 31st. Bank of America cut Olin from a "buy" rating to an "underperform" rating and dropped their price objective for the company from $32.00 to $21.00 in a research note on Tuesday, June 30th. Wall Street Zen downgraded Olin from a "sell" rating to a "strong sell" rating in a report on Saturday, August 8th. Finally, Truist Financial cut their price objective on Olin from $24.00 to $20.00 and set a "hold" rating on the stock in a report on Monday, August 3rd.

Institutional Trading of Olin

Several hedge funds have recently made changes to their positions in the business. Public Employees Retirement System of Ohio acquired a new position in shares of Olin in the second quarter valued at approximately $642,000. Madison Asset Management LLC purchased a new position in Olin in the second quarter valued at $902,000. Great Lakes Advisors LLC purchased a new position in shares of Olin in the 2nd quarter valued at about $497,000. Bank of New York Mellon Corp purchased a new position in Olin in the second quarter valued at approximately $23,785,000. Finally, Arlington Trust Co LLC acquired a new stake in Olin during the second quarter worth approximately $140,000. Institutional investors and hedge funds own 88.67% of the company's stock.

Olin Price Performance

Shares of OLN opened at $18.64 on Friday. Olin has a 1-year low of $17.73 and a 1-year high of $30.46. The stock has a market cap of $2.12 billion, a PE ratio of -15.15 and a beta of 1.22. The firm has a 50-day simple moving average of $20.90 and a two-hundred day simple moving average of $24.32. The company has a debt-to-equity ratio of 1.77, a current ratio of 1.42 and a quick ratio of 0.87.

Olin (NYSE:OLN - Get Free Report) last released its quarterly earnings results on Thursday, July 30th. The specialty chemicals company reported ($0.12) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.13 by ($0.25). Olin had a negative net margin of 2.08% and a negative return on equity of 4.76%. The company had revenue of $1.74 billion during the quarter, compared to analysts' expectations of $1.81 billion. Olin's revenue was down .9% on a year-over-year basis. During the same period last year, the firm posted ($0.01) earnings per share. As a group, analysts forecast that Olin will post -0.64 EPS for the current year.

Olin Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, September 11th. Shareholders of record on Thursday, August 27th will be given a $0.20 dividend. This represents a $0.80 annualized dividend and a yield of 4.3%. The ex-dividend date of this dividend is Thursday, August 27th. Olin's payout ratio is currently -65.04%.

Olin Company Profile

Olin Corporation is a diversified manufacturer specializing in chemical products and ammunition. The company's core business activities encompass the production and distribution of chlor-alkali products, epoxy resins and derivatives, and small-caliber ammunition under the Winchester brand. Olin's chemical operations supply chlorine, caustic soda and related co-products to a wide range of end markets, including water treatment, pulp and paper, pharmaceuticals and general industrial applications.

In its Chlor Alkali Products & Vinyls segment, Olin operates multiple manufacturing facilities that produce chlorine and sodium hydroxide, along with vinyl chloride monomer and polyvinyl chloride (PVC) compounds.

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