Cabot (NYSE:CBT) Releases Earnings Results, Beats Expectations By $0.02 EPS

Cabot (NYSE:CBT) released its quarterly earnings data on Monday. The specialty chemicals company reported $1.76 EPS for the quarter, topping the consensus estimate of $1.74 by $0.02, Zacks reports. Cabot had a net margin of 9.51% and a return on equity of 26.60%. Cabot updated its FY 2025 guidance to 7.400-7.800 EPS.

Cabot Price Performance

Cabot stock opened at $84.78 on Tuesday. The company has a market cap of $4.60 billion, a price-to-earnings ratio of 12.58, a PEG ratio of 0.74 and a beta of 1.21. The business’s 50 day simple moving average is $95.28 and its 200 day simple moving average is $102.03. The company has a current ratio of 2.08, a quick ratio of 1.36 and a debt-to-equity ratio of 0.68. Cabot has a 12 month low of $70.63 and a 12 month high of $117.46.

Cabot Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, March 14th. Shareholders of record on Friday, February 28th will be issued a dividend of $0.43 per share. This represents a $1.72 dividend on an annualized basis and a yield of 2.03%. The ex-dividend date is Friday, February 28th. Cabot’s payout ratio is 25.52%.

Insider Buying and Selling

In other Cabot news, EVP Hobart Kalkstein sold 34,759 shares of Cabot stock in a transaction on Monday, November 11th. The stock was sold at an average price of $115.23, for a total transaction of $4,005,279.57. Following the completion of the transaction, the executive vice president now owns 50,627 shares in the company, valued at approximately $5,833,749.21. The trade was a 40.71 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CAO Lisa M. Dumont sold 865 shares of the company’s stock in a transaction that occurred on Wednesday, November 13th. The shares were sold at an average price of $111.74, for a total transaction of $96,655.10. Following the sale, the chief accounting officer now directly owns 9,742 shares of the company’s stock, valued at approximately $1,088,571.08. This represents a 8.15 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 50,190 shares of company stock worth $5,751,534 over the last ninety days. 3.07% of the stock is owned by corporate insiders.

Cabot announced that its Board of Directors has approved a stock repurchase program on Tuesday, December 3rd that authorizes the company to repurchase 10,000,000 shares. This repurchase authorization authorizes the specialty chemicals company to purchase shares of its stock through open market purchases. Shares repurchase programs are typically an indication that the company’s leadership believes its stock is undervalued.

Analyst Ratings Changes

Several equities analysts recently issued reports on the company. Mizuho reduced their price objective on Cabot from $122.00 to $110.00 and set an “outperform” rating on the stock in a research note on Tuesday, January 7th. JPMorgan Chase & Co. cut shares of Cabot from a “neutral” rating to an “underweight” rating and set a $105.00 price objective on the stock. in a research note on Monday, November 11th. One research analyst has rated the stock with a sell rating, two have given a hold rating and two have assigned a buy rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average target price of $102.00.

Cabot Company Profile

Cabot Corporation operates as a specialty chemicals and performance materials company. The company operates through two segments, Reinforcement Materials and Performance Chemicals. It offers reinforcing carbons that are used in tires as a rubber reinforcing agent and performance additive, as well as in industrial products, such as hoses, belts, extruded profiles, and molded goods; and engineered elastomer composites solutions.