company background image
ECL

EcolabNYSE:ECL Stock Report

Last Price

US$195.09

Market Cap

US$55.9b

7D

-9.7%

1Y

-8.1%

Updated

21 Jan, 2022

Data

Company Financials +
ECL fundamental analysis
Snowflake Score
Valuation1/6
Future Growth3/6
Past Performance3/6
Financial Health4/6
Dividends4/6

ECL Stock Overview

Ecolab Inc. provides water, hygiene, and infection prevention solutions and services worldwide.

Ecolab Competitors

Diversey Holdings

NasdaqGS:DSEY

US$3.4b

BioLargo

OTCPK:BLGO

US$66.9m

Boon Industries

OTCPK:BNOW

US$1.4m

Johnson & Johnson

NYSE:JNJ

US$434.0b

Price History & Performance

Summary of all time highs, changes and price drops for Ecolab
Historical stock prices
Current Share PriceUS$195.09
52 Week HighUS$238.93
52 Week LowUS$194.02
Beta1.01
1 Month Change-13.99%
3 Month Change-11.90%
1 Year Change-8.15%
3 Year Change26.77%
5 Year Change60.85%
Change since IPO5,328.59%

Recent News & Updates

Jan 13
Should You Investigate Ecolab Inc. (NYSE:ECL) At US$226?

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...

Jan 09

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.

Jan 01
Calculating The Fair Value Of Ecolab Inc. (NYSE:ECL)

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...

Dec 06
Ecolab (NYSE:ECL) Is Increasing Its Dividend To US$0.51

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

ECLUS ChemicalsUS 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

Is ECL's price volatile compared to industry and market?
ECL volatility
ECL Average Weekly Movement3.1%
Chemicals Industry Average Movement5.7%
Market Average Movement6.7%
10% most volatile stocks in US Market15.6%
10% least volatile stocks in US Market2.4%

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

FoundedEmployeesCEOWebsite
192344,000Christophe Beckhttps://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

How do Ecolab's earnings and revenue compare to its market cap?
ECL fundamental statistics
Market CapUS$55.91b
Earnings (TTM)US$1.13b
Revenue (TTM)US$12.43b

49.5x

P/E Ratio

4.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ECL income statement (TTM)
RevenueUS$12.43b
Cost of RevenueUS$7.27b
Gross ProfitUS$5.16b
ExpensesUS$4.03b
EarningsUS$1.13b

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

Feb 15, 2022

Earnings per share (EPS)3.94
Gross Margin41.50%
Net Profit Margin9.08%
Debt/Equity Ratio85.4%

How did ECL perform over the long term?

See historical performance and comparison

Dividends

1.0%

Current Dividend Yield

49%

Payout Ratio

Valuation

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

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/21 23:36
End of Day Share Price2022/01/21 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


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.