Investors Buy Large Volume of Call Options on Ecolab (NYSE:ECL)

Ecolab Inc. (NYSE:ECL) was the recipient of unusually large options trading activity on Wednesday. Investors acquired 2,926 call options on the company. This represents an increase of 241% compared to the typical volume of 858 call options.

Insiders Place Their Bets

In other news, EVP Benjamin M. Clark acquired 1,000 shares of the firm’s stock in a transaction on Thursday, June 11th. The shares were purchased at an average price of $263.83 per share, for a total transaction of $263,830.00. Following the completion of the transaction, the executive vice president owned 1,083 shares of the company’s stock, valued at $285,727.89. The trade was a 1,204.82% increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Christophe Beck sold 17,862 shares of the company’s stock in a transaction that occurred on Tuesday, August 18th. The shares were sold at an average price of $280.14, for a total value of $5,003,860.68. Following the transaction, the chief executive officer owned 72,932 shares of the company’s stock, valued at approximately $20,431,170.48. This represents a 19.67% decrease in their position. The SEC filing for this sale provides additional information. 0.50% of the stock is owned by company insiders.

Hedge Funds Weigh In On Ecolab

Several hedge funds and other institutional investors have recently bought and sold shares of the business. Erste Asset Management GmbH boosted its position in 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 buying an additional 3,500 shares in the last quarter. Findlay Park Partners LLP bought a new position in Ecolab in the 2nd quarter valued at $115,674,000. Cornerstone Advisors LLC bought a new position in Ecolab in the second quarter valued at about $16,698,000. North Dakota State Investment Board bought a new position in shares of Ecolab in the 4th quarter valued at about $2,245,000. Finally, Geode Capital Management LLC grew its holdings in Ecolab by 0.8% during the 4th quarter. Geode Capital Management LLC now owns 5,635,339 shares of the basic materials company’s stock worth $1,472,599,000 after acquiring an additional 46,569 shares during the period. Institutional investors and hedge funds own 74.91% of the company’s stock.

Ecolab Stock Down 1.3%

Shares of ECL traded down $3.59 during mid-day trading on Wednesday, hitting $274.52. The company’s stock had a trading volume of 159,153 shares, compared to its average volume of 1,472,618. The company’s 50-day moving average is $278.85 and its 200-day moving average is $272.66. Ecolab has a 52-week low of $243.15 and a 52-week high of $309.27. The company has a current ratio of 1.84, a quick ratio of 1.57 and a debt-to-equity ratio of 1.18. The firm has a market capitalization of $76.95 billion, a price-to-earnings ratio of 36.84, a PEG ratio of 2.71 and a beta of 0.88.

Ecolab (NYSE:ECL) last announced its earnings results on Tuesday, July 28th. The basic materials company reported $2.09 earnings per share (EPS) 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 company had revenue of $4.42 billion for the quarter, compared to analyst estimates of $4.38 billion. During the same period in the prior year, the company posted $1.89 EPS. The firm’s quarterly revenue was up 9.7% compared to the same quarter last year. Ecolab has set its Q3 2026 guidance at 2.130-2.230 EPS. On average, equities research analysts forecast that Ecolab will post 8.17 EPS for the current fiscal year.

Ecolab Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, October 15th. Investors of record on Tuesday, September 15th will be issued a dividend of $0.73 per share. The ex-dividend date of this dividend is Tuesday, September 15th. This represents a $2.92 dividend on an annualized basis and a dividend yield of 1.1%. Ecolab’s payout ratio is 39.19%.

Analyst Upgrades and Downgrades

A number of research firms have recently commented on ECL. Royal Bank Of Canada reissued an “outperform” rating and issued a $337.00 target price on shares of Ecolab in a research note on Tuesday, July 7th. Deutsche Bank Aktiengesellschaft raised their price target on Ecolab from $325.00 to $335.00 and gave the stock a “buy” rating in a research note on Thursday, July 9th. Jefferies Financial Group reduced their target price on shares of Ecolab from $352.00 to $345.00 and set a “buy” rating for the company in a report on Wednesday, May 20th. Zacks Research raised Ecolab from a “strong sell” rating to a “hold” rating in a research note on Monday. Finally, Citigroup lifted their target price on shares of Ecolab from $325.00 to $330.00 and gave the company a “buy” rating in a research note on Wednesday, June 24th. One analyst has rated the stock with a Strong Buy rating, seventeen have given a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $327.56.

Ecolab Company Profile

Ecolab Inc (NYSE:ECL) provides water, hygiene, infection prevention and technology solutions to businesses and institutions worldwide. Its customers include restaurants, hotels, hospitals, manufacturers, food and beverage companies, retailers and other organizations that rely on safe, efficient and sustainable operating environments.

The company’s offerings include cleaning and sanitizing products, water-treatment and process-management systems, food-safety programs, infection-prevention solutions and pest-elimination services.