| Snowflake Score | |
|---|---|
| Valuation | 1/6 |
| Future Growth | 3/6 |
| Past Performance | 3/6 |
| Financial Health | 4/6 |
| Dividends | 4/6 |
ECL Stock Overview
Ecolab Inc. provides water, hygiene, and infection prevention solutions and services worldwide.
Ecolab Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$195.09 |
| 52 Week High | US$238.93 |
| 52 Week Low | US$194.02 |
| Beta | 1.01 |
| 1 Month Change | -13.99% |
| 3 Month Change | -11.90% |
| 1 Year Change | -8.15% |
| 3 Year Change | 26.77% |
| 5 Year Change | 60.85% |
| Change since IPO | 5,328.59% |
Recent News & Updates
Should You Investigate Ecolab Inc. (NYSE:ECL) At US$226?
Today we're going to take a look at the well-established Ecolab Inc. ( NYSE:ECL ). The company's stock received a lot...
Ecolab - Not Clean Enough For Me, Despite An Interesting Purolite Deal
Ecolab´s shares continue to trade at a valuation which reflects the promise of the business. The company has seen relatively lackluster performance in recent years, as I can not reconcile this track record with a 50 times earnings multiple. Despite an interesting bolt-on deal as of recent, I fail to see appeal here.
Calculating The Fair Value Of Ecolab Inc. (NYSE:ECL)
In this article we are going to estimate the intrinsic value of Ecolab Inc. ( NYSE:ECL ) by estimating the company's...
Ecolab (NYSE:ECL) Is Increasing Its Dividend To US$0.51
The board of Ecolab Inc. ( NYSE:ECL ) has announced that it will be increasing its dividend on the 18th of January to...
Shareholder Returns
| ECL | US Chemicals | US Market | |
|---|---|---|---|
| 7D | -9.7% | -6.0% | -6.1% |
| 1Y | -8.1% | 9.8% | 4.2% |
Return vs Industry: ECL underperformed the US Chemicals industry which returned 11.9% over the past year.
Return vs Market: ECL underperformed the US Market which returned 6.6% over the past year.
Price Volatility
| ECL volatility | |
|---|---|
| ECL Average Weekly Movement | 3.1% |
| Chemicals Industry Average Movement | 5.7% |
| Market Average Movement | 6.7% |
| 10% most volatile stocks in US Market | 15.6% |
| 10% least volatile stocks in US Market | 2.4% |
Stable Share Price: ECL is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: ECL's weekly volatility (3%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1923 | 44,000 | Christophe Beck | https://www.ecolab.com |
Ecolab Inc. provides water, hygiene, and infection prevention solutions and services worldwide. Its Global Industrial segment offers water treatment and process applications, and cleaning and sanitizing solutions to manufacturing, food and beverage processing, transportation, chemical, metals and mining, power generation, pulp and paper, commercial laundry, petroleum, and petrochemical industries. The company’s Global Institutional & Specialty segment provides specialized cleaning and sanitizing products to the foodservice, hospitality, lodging, government and education, and retail industries.
Ecolab Fundamentals Summary
| ECL fundamental statistics | |
|---|---|
| Market Cap | US$55.91b |
| Earnings (TTM) | US$1.13b |
| Revenue (TTM) | US$12.43b |
49.5x
P/E Ratio4.5x
P/S RatioIs ECL overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| ECL income statement (TTM) | |
|---|---|
| Revenue | US$12.43b |
| Cost of Revenue | US$7.27b |
| Gross Profit | US$5.16b |
| Expenses | US$4.03b |
| Earnings | US$1.13b |
Last Reported Earnings
Sep 30, 2021
Next Earnings Date
Feb 15, 2022
| Earnings per share (EPS) | 3.94 |
| Gross Margin | 41.50% |
| Net Profit Margin | 9.08% |
| Debt/Equity Ratio | 85.4% |
How did ECL perform over the long term?
See historical performance and comparisonDividends
1.0%
Current Dividend Yield49%
Payout RatioValuation
Is Ecolab undervalued compared to its fair value and its price relative to the market?
19.7%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ECL ($195.09) is trading below our estimate of fair value ($242.8)
Significantly Below Fair Value: ECL is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: ECL is poor value based on its PE Ratio (49.5x) compared to the US Chemicals industry average (20.6x).
PE vs Market: ECL is poor value based on its PE Ratio (49.5x) compared to the US market (16.7x).
Price to Earnings Growth Ratio
PEG Ratio: ECL is poor value based on its PEG Ratio (3x)
Price to Book Ratio
PB vs Industry: ECL is overvalued based on its PB Ratio (8.1x) compared to the US Chemicals industry average (2.5x).
Future Growth
How is Ecolab forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?
16.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ECL's forecast earnings growth (16.5% per year) is above the savings rate (2%).
Earnings vs Market: ECL's earnings (16.5% per year) are forecast to grow faster than the US market (13.1% per year).
High Growth Earnings: ECL's earnings are forecast to grow, but not significantly.
Revenue vs Market: ECL's revenue (8.1% per year) is forecast to grow slower than the US market (9.2% per year).
High Growth Revenue: ECL's revenue (8.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ECL's Return on Equity is forecast to be high in 3 years time (25.2%)
Past Performance
How has Ecolab performed over the past 5 years?
-3.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ECL has high quality earnings.
Growing Profit Margin: ECL's current net profit margins (9.1%) are higher than last year (8.9%).
Past Earnings Growth Analysis
Earnings Trend: ECL's earnings have declined by 3.9% per year over the past 5 years.
Accelerating Growth: ECL's earnings growth over the past year (6.3%) exceeds its 5-year average (-3.9% per year).
Earnings vs Industry: ECL earnings growth over the past year (6.3%) underperformed the Chemicals industry 17.5%.
Return on Equity
High ROE: ECL's Return on Equity (16.4%) is considered low.
Financial Health
How is Ecolab's financial position?
Financial Position Analysis
Short Term Liabilities: ECL's short term assets ($5.0B) exceed its short term liabilities ($2.9B).
Long Term Liabilities: ECL's short term assets ($5.0B) do not cover its long term liabilities ($8.1B).
Debt to Equity History and Analysis
Debt Level: ECL's net debt to equity ratio (72.5%) is considered high.
Reducing Debt: ECL's debt to equity ratio has reduced from 96% to 85.4% over the past 5 years.
Debt Coverage: ECL's debt is well covered by operating cash flow (34.9%).
Interest Coverage: ECL's interest payments on its debt are well covered by EBIT (9.9x coverage).
Balance Sheet
Dividend
What is Ecolab current dividend yield, its reliability and sustainability?
1.05%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: ECL's dividend (1.05%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.36%).
High Dividend: ECL's dividend (1.05%) is low compared to the top 25% of dividend payers in the US market (3.55%).
Stability and Growth of Payments
Stable Dividend: ECL's dividends per share have been stable in the past 10 years.
Growing Dividend: ECL's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (48.6%), ECL's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ECL's dividends in 3 years are forecast to be well covered by earnings (30.8% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.4yrs
Average management tenure
CEO
Christophe Beck (53 yo)
2.75yrs
Tenure
US$6,445,060
Compensation
Mr. Christophe Beck serves as President of Ecolab Inc. since April 1, 2019 and has been its Chief Executive Officer since January 01, 2021. Mr. Beck serves as Director at Ecolab Inc. since October 30, 2020...
CEO Compensation Analysis
Compensation vs Market: Christophe's total compensation ($USD6.45M) is below average for companies of similar size in the US market ($USD11.42M).
Compensation vs Earnings: Christophe's compensation has increased by more than 20% in the past year.
Leadership Team
Experienced Management: ECL's management team is considered experienced (2.4 years average tenure).
Board Members
Experienced Board: ECL's board of directors are considered experienced (9 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: ECL insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Ecolab Inc.'s employee growth, exchange listings and data sources
Key Information
- Name: Ecolab Inc.
- Ticker: ECL
- Exchange: NYSE
- Founded: 1923
- Industry: Specialty Chemicals
- Sector: Materials
- Implied Market Cap: US$55.906b
- Shares outstanding: 286.57m
- Website: https://www.ecolab.com
Number of Employees
Location
- Ecolab Inc.
- 1 Ecolab Place
- Saint Paul
- Minnesota
- 55102-2233
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/01/21 23:36 |
| End of Day Share Price | 2022/01/21 00:00 |
| Earnings | 2021/09/30 |
| Annual Earnings | 2020/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.