Cabot (NYSE:CBT) Shares Gap Down – Here’s What Happened

Shares of Cabot Corporation (NYSE:CBT) gapped down before the market opened on Tuesday . The stock had previously closed at $89.58, but opened at $81.18. Cabot shares last traded at $80.0330, with a volume of 84,941 shares changing hands.

Analyst Upgrades and Downgrades

CBT has been the subject of several research analyst reports. UBS Group raised their price objective on Cabot from $81.00 to $86.00 and gave the company a “neutral” rating in a research note on Friday, May 8th. Truist Financial initiated coverage on Cabot in a report on Monday, June 8th. They issued a “buy” rating and a $98.00 target price on the stock. JPMorgan Chase & Co. raised their price target on Cabot from $68.00 to $70.00 and gave the company an “underweight” rating in a research report on Wednesday, May 13th. Weiss Ratings reiterated a “hold (c)” rating on shares of Cabot in a research report on Tuesday, May 26th. Finally, Mizuho increased their price objective on shares of Cabot from $80.00 to $90.00 and gave the company a “neutral” rating in a research note on Thursday, June 25th. Two equities research analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the stock presently has an average rating of “Hold” and an average target price of $85.80.

Cabot Trading Down 10.7%

The company has a debt-to-equity ratio of 0.51, a quick ratio of 0.96 and a current ratio of 1.45. The business has a fifty day simple moving average of $88.03 and a 200 day simple moving average of $79.56. The stock has a market cap of $4.13 billion, a price-to-earnings ratio of 15.09, a PEG ratio of 11.46 and a beta of 0.84.

Cabot (NYSE:CBT) last released its quarterly earnings results on Monday, August 3rd. The specialty chemicals company reported $1.67 earnings per share for the quarter, topping analysts’ consensus estimates of $1.66 by $0.01. Cabot had a return on equity of 21.33% and a net margin of 7.97%.The company had revenue of $982.00 million during the quarter, compared to analysts’ expectations of $943.16 million. During the same period in the previous year, the firm posted $1.90 earnings per share. The business’s revenue for the quarter was up 6.4% compared to the same quarter last year. Cabot has set its FY 2026 guidance at 6.150-6.450 EPS. As a group, equities analysts anticipate that Cabot Corporation will post 6.35 EPS for the current year.

Cabot Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, September 11th. Investors of record on Friday, August 28th will be paid a $0.4725 dividend. The ex-dividend date of this dividend is Friday, August 28th. This represents a $1.89 annualized dividend and a yield of 2.4%. Cabot’s payout ratio is presently 35.73%.

Institutional Investors Weigh In On Cabot

Hedge funds have recently modified their holdings of the company. Torren Management LLC purchased a new stake in shares of Cabot during the fourth quarter worth about $26,000. Rothschild Investment LLC lifted its stake in shares of Cabot by 170.4% during the fourth quarter. Rothschild Investment LLC now owns 411 shares of the specialty chemicals company’s stock valued at $27,000 after buying an additional 259 shares during the period. Global Retirement Partners LLC boosted its position in Cabot by 1,606.9% during the fourth quarter. Global Retirement Partners LLC now owns 495 shares of the specialty chemicals company’s stock worth $33,000 after acquiring an additional 466 shares during the last quarter. Geneos Wealth Management Inc. grew its stake in Cabot by 409.0% in the 1st quarter. Geneos Wealth Management Inc. now owns 453 shares of the specialty chemicals company’s stock worth $38,000 after acquiring an additional 364 shares during the period. Finally, Danske Bank A S purchased a new stake in Cabot in the 3rd quarter worth approximately $38,000. 93.18% of the stock is owned by institutional investors and hedge funds.

About Cabot

Cabot Corporation is a global specialty chemicals and performance materials company headquartered in Boston, Massachusetts. Founded in 1882 by Godfrey Lowell Cabot, the company has grown into a diversified manufacturer with operations across North America, Europe, Asia and Latin America. Cabot serves a wide range of end markets, including automotive, industrial, energy, and consumer products, supplying essential ingredients that enhance performance, durability and functionality.

The company operates two primary segments: Reinforcement Materials and Performance Materials.