Ecolab
Ecolab Inc. provides water, hygiene, and energy technologies and services worldwide. The last earnings update was 19 days ago. More info.
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ECL Share Price and Events
7 Day Returns
1 Year Returns
ECL Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| Ecolab (ECL) | 0.8% | 6.7% | 19.7% | 27.9% | 58.6% | 63% |
| US Chemicals | -0.3% | -0.2% | 10.6% | -6.6% | 31.5% | 18.4% |
| US Market | 1.2% | 2.1% | 14.6% | 3% | 39% | 43.5% |
1 Year Return vs Industry and Market
- ECL outperformed the Chemicals industry which returned -6.6% over the past year.
- ECL outperformed the Market in United States of America which returned 3% over the past year.
Value
Is Ecolab undervalued based on future cash flows and its price relative to the stock market?
Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current
share
price of
Ecolab
to its discounted cash flow analysis.value.The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Below are the data sources, inputs and calculation used to determine the intrinsic value for Ecolab.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 21 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 9% |
| Perpetual Growth Rate | 10-Year US Government Bond Rate | 2.7% |
An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year US Govt Bond Rate | 2.7% |
| Equity Risk Premium | S&P Global | 6% |
| Chemicals Unlevered Beta | Simply Wall St/ S&P Global | 0.97 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.97 (1 + (1- 21%) (14%)) |
1.051 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
1.05 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.051 * 5.96%) |
9% |
Discounted Cash Flow Calculation for NYSE:ECL using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for Ecolab is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
| Levered FCF (USD, Millions) | Source |
Present Value Discounted (@ 9%) |
|
|---|---|---|---|
| 2019 | 1,737.92 | Analyst x9 | 1,594.47 |
| 2020 | 1,987.48 | Analyst x9 | 1,672.92 |
| 2021 | 1,922.00 | Analyst x2 | 1,484.26 |
| 2022 | 1,892.64 | Est @ -1.53% | 1,340.95 |
| 2023 | 1,887.90 | Est @ -0.25% | 1,227.18 |
| 2024 | 1,900.06 | Est @ 0.64% | 1,133.13 |
| 2025 | 1,924.18 | Est @ 1.27% | 1,052.80 |
| 2026 | 1,957.04 | Est @ 1.71% | 982.40 |
| 2027 | 1,996.46 | Est @ 2.01% | 919.46 |
| 2028 | 2,040.97 | Est @ 2.23% | 862.37 |
| Present value of next 10 years cash flows | $12,269.94 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2028
× (1 + g) ÷ (Discount Rate – g)
= $2,040.97 × (1 + 2.73%) ÷ (9% – 2.73%) |
$33,456.43 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= $33,456.43 ÷ (1 + 9%)10 |
$14,136.36 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= $12,269.94 + $14,136.36 |
$26,406.30 |
| Equity Value per Share (USD) |
= Total value / Shares Outstanding
= $26,406.30 / 288.37 |
$91.57 |
| Calculation | Result | |
|---|---|---|
| Value per share (USD) | From above. | $91.57 |
| Current discount | Discount to share price of
$174.47
= -1 x ($174.47 - $91.57) / $91.57 |
-90.5% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
- The current share price of Ecolab is above its future cash flow value.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.The amount the stock market is willing to pay for Ecolab's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
Ecolab's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2018-12-31) in USD | $4.95 |
| NYSE:ECL Share Price ** | NYSE (2019-03-20) in USD | $174.47 |
| United States of America Chemicals Industry PE Ratio | Median Figure of 64 Publicly-Listed Chemicals Companies | 18.45x |
| United States of America Market PE Ratio | Median Figure of 3,058 Publicly-Listed Companies | 17.69x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of Ecolab.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = NYSE:ECL Share Price ÷ EPS (both in USD) = 174.47 ÷ 4.95 |
35.23x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Ecolab is overvalued based on earnings compared to the US Chemicals industry average.
- Ecolab is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does
Ecolab's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 35.23x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 21 Analysts |
13.2%per year |
| United States of America Chemicals Industry PEG Ratio | Median Figure of 45 Publicly-Listed Chemicals Companies | 1.48x |
| United States of America Market PEG Ratio | Median Figure of 2,103 Publicly-Listed Companies | 1.48x |
*Line of best fit is calculated by linear regression .
| Calculation | Outcome | |
|---|---|---|
| PEG Ratio | = PE Ratio ÷ Net Income Annual Growth Rate = 35.23x ÷ 13.2% |
2.68x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Ecolab is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on
Ecolab's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2018-12-31) in USD | $27.82 |
| NYSE:ECL Share Price * | NYSE (2019-03-20) in USD | $174.47 |
| United States of America Chemicals Industry PB Ratio | Median Figure of 91 Publicly-Listed Chemicals Companies | 2.24x |
| United States of America Market PB Ratio | Median Figure of 5,156 Publicly-Listed Companies | 1.89x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = NYSE:ECL Share Price ÷ Book Value per Share (both in USD) = 174.47 ÷ 27.82 |
6.27x |
* Primary Listing of Ecolab.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Ecolab is overvalued based on assets compared to the US Chemicals industry average.
Value checks
We assess Ecolab's value by looking at:- Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
- Is the PE ratio less than the market average, and/ or less than the Chemicals industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Chemicals industry average (and greater than 0)? (1 check) Ecolab has a total score of 0/6, see the detailed checks below.
Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.
Full details on the Value part of the Simply Wall St company analysis model.
Future Performance
How is Ecolab expected to perform in the next 1 to 3 years based on estimates from 21 analysts?
The future performance of a company is measured in the same way as past
performance, by looking at estimated
growth
and how much profit it is expected to make.Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Earnings growth vs Low Risk Savings
- Ecolab's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
- Ecolab's earnings growth is positive but not above the United States of America market average.
- Ecolab's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| NYSE:ECL Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 21 Analysts | 13.2% |
| NYSE:ECL Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 21 Analysts | 5.3% |
| United States of America Chemicals Industry Earnings Growth Rate | Market Cap Weighted Average | 16.8% |
| United States of America Chemicals Industry Revenue Growth Rate | Market Cap Weighted Average | 4.5% |
| United States of America Market Earnings Growth Rate | Market Cap Weighted Average | 14.3% |
| United States of America Market Revenue Growth Rate | Market Cap Weighted Average | 7.1% |
*Line of best fit is calculated by linear regression .
Industry and Market average data is calculated daily.
Learn more about our growth rate calculations in Simply Wall St’s analysis model.
Analysts growth expectations
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (2 months ago) | See Below |
| Future Estimates | Average of up to 21 Analyst Estimates (S&P Global) | See Below |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | 19,406 | 1 | ||
| 2022-12-31 | 18,501 | 2 | ||
| 2021-12-31 | 17,304 | 2,784 | 9 | |
| 2020-12-31 | 16,268 | 2,748 | 1,862 | 20 |
| 2019-12-31 | 15,465 | 2,487 | 1,637 | 21 |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2018-12-31 | 14,668 | 2,278 | 1,429 |
| 2018-09-30 | 14,559 | 2,097 | 1,600 |
| 2018-06-30 | 14,376 | 2,017 | 1,558 |
| 2018-03-31 | 14,147 | 2,153 | 1,502 |
| 2017-12-31 | 13,836 | 2,091 | 1,505 |
| 2017-09-30 | 13,539 | 1,893 | 1,308 |
| 2017-06-30 | 13,361 | 1,925 | 1,289 |
| 2017-03-31 | 13,218 | 1,893 | 1,253 |
| 2016-12-31 | 13,152 | 1,940 | 1,229 |
| 2016-09-30 | 13,213 | 2,096 | 1,072 |
| 2016-06-30 | 13,273 | 2,238 | 956 |
| 2016-03-31 | 13,345 | 2,360 | 1,000 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (2 months ago) | See Below |
| Future Estimates | Average of up to 21 Analyst Estimates (S&P Global) | See Below |
All data from Ecolab Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | ||||
| 2022-12-31 | ||||
| 2021-12-31 | ||||
| 2020-12-31 | 6.48 | 6.80 | 6.23 | 8.00 |
| 2019-12-31 | 5.66 | 6.05 | 5.46 | 9.00 |
| Date (Data in USD Millions) | EPS * |
|---|---|
| 2018-12-31 | 4.95 |
| 2018-09-30 | 5.54 |
| 2018-06-30 | 5.39 |
| 2018-03-31 | 5.19 |
| 2017-12-31 | 5.20 |
| 2017-09-30 | 4.51 |
| 2017-06-30 | 4.43 |
| 2017-03-31 | 4.30 |
| 2016-12-31 | 4.20 |
| 2016-09-30 | 3.65 |
| 2016-06-30 | 3.25 |
| 2016-03-31 | 3.38 |
*GAAP earnings excluding extraordinary items.
Future performance checks
We assess Ecolab's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Ecolab has a total score of 1/6, see the detailed checks below.
Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.
Full details on the Future part of the Simply Wall St company analysis model.
Past Performance
How has Ecolab performed over the past 5 years?
The past performance of a company can be measured by how much
growth
it has experienced and how much profit it makes relative to the funds and assets
it has available.
Past earnings growth
Past Earnings growth analysis
- Ecolab's year on year earnings growth rate has been positive over the past 5 years.
- Ecolab's 1-year earnings growth is negative, it can't be compared to the 5-year average.
- Ecolab's 1-year earnings growth is negative, it can't be compared to the US Chemicals industry average.
Earnings and Revenue History
All data from Ecolab Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2018-12-31 | 14,668.20 | 1,429.10 | 3,888.70 | |
| 2018-09-30 | 14,559.10 | 1,600.40 | 4,561.80 | |
| 2018-06-30 | 14,376.40 | 1,558.20 | 4,547.00 | |
| 2018-03-31 | 14,146.80 | 1,501.70 | 4,478.40 | |
| 2017-12-31 | 13,835.90 | 1,504.60 | 3,758.00 | |
| 2017-09-30 | 13,539.00 | 1,308.30 | 3,832.10 | |
| 2017-06-30 | 13,360.60 | 1,289.20 | 4,023.30 | |
| 2017-03-31 | 13,217.80 | 1,252.80 | 4,158.40 | |
| 2016-12-31 | 13,151.80 | 1,229.00 | 3,664.40 | |
| 2016-09-30 | 13,212.70 | 1,072.20 | 4,311.90 | |
| 2016-06-30 | 13,273.00 | 955.90 | 4,311.00 | |
| 2016-03-31 | 13,344.90 | 999.50 | 4,296.90 | |
| 2015-12-31 | 13,545.10 | 1,002.10 | 4,345.50 | |
| 2015-09-30 | 13,813.90 | 1,128.70 | 4,428.80 | |
| 2015-06-30 | 14,062.40 | 1,235.80 | 4,504.00 | |
| 2015-03-31 | 14,241.50 | 1,245.20 | 4,577.50 | |
| 2014-12-31 | 14,280.50 | 1,202.80 | 4,577.60 | |
| 2014-09-30 | 14,159.20 | 1,154.40 | 4,559.00 | |
| 2014-06-30 | 13,948.30 | 1,097.50 | 4,527.20 | |
| 2014-03-31 | 13,717.90 | 999.20 | 4,476.20 | |
| 2013-12-31 | 13,253.40 | 967.80 | 4,360.30 | |
| 2013-09-30 | 12,739.70 | 912.10 | 4,207.90 | |
| 2013-06-30 | 12,279.00 | 842.10 | 4,071.50 | |
| 2013-03-31 | 11,899.90 | 813.50 | 3,951.50 | |
| 2012-12-31 | 11,838.70 | 703.60 | 4,018.30 | |
| 2012-09-30 | 10,638.20 | 560.90 | 3,600.70 | |
| 2012-06-30 | 9,351.00 | 477.20 | 3,218.30 | |
| 2012-03-31 | 8,091.10 | 418.60 | 2,846.20 |
*GAAP earnings excluding extraordinary items.
Performance last year
We want to ensure a company is making the most of what it has available. This is
done by comparing the return (profit) to a company's available
funds,
assets
and
capital.
- Ecolab has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
- Ecolab used its assets more efficiently than the US Chemicals industry average last year based on Return on Assets.
- Ecolab's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
Past performance checks
We assess Ecolab's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Chemicals industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
Ecolab has a total score of 2/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Full details on the Past part of the Simply Wall St company analysis model.
Health
How is Ecolab's financial health and their level of debt?
A company's financial position is much like your own financial position,
it includes everything you own
(assets)
and owe
(liabilities).The boxes below represent the relative size of what makes up Ecolab's finances.
The net worth of a company is the difference between its assets and liabilities.
- Ecolab is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- Ecolab's long term commitments exceed its cash and other short term assets.
Balance sheet
Assets
Liabilities and shares
- High level of physical assets or inventory.
- Debt is not covered by short term assets, assets are 0.7x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t
bad,
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
All data from Ecolab Company Filings, last reported 2 months ago.
| Date (Data in USD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2018-12-31 | 8,053.60 | 7,045.20 | 114.70 |
| 2018-09-30 | 7,983.00 | 7,104.20 | 203.60 |
| 2018-06-30 | 7,908.50 | 7,217.60 | 54.20 |
| 2018-03-31 | 7,669.90 | 7,415.50 | 175.50 |
| 2017-12-31 | 7,653.80 | 7,322.70 | 211.40 |
| 2017-09-30 | 7,299.20 | 7,557.50 | 209.10 |
| 2017-06-30 | 6,988.70 | 7,679.90 | 260.70 |
| 2017-03-31 | 6,878.50 | 7,546.20 | 212.10 |
| 2016-12-31 | 6,970.90 | 6,687.00 | 327.40 |
| 2016-09-30 | 6,941.80 | 6,662.60 | 180.60 |
| 2016-06-30 | 6,669.60 | 6,846.90 | 167.40 |
| 2016-03-31 | 6,652.10 | 6,839.40 | 268.50 |
| 2015-12-31 | 6,980.40 | 6,470.90 | 92.80 |
| 2015-09-30 | 6,842.60 | 6,762.80 | 184.80 |
| 2015-06-30 | 6,879.50 | 7,309.50 | 310.60 |
| 2015-03-31 | 6,936.00 | 7,206.20 | 237.90 |
| 2014-12-31 | 7,382.10 | 6,548.20 | 209.60 |
| 2014-09-30 | 7,766.30 | 6,801.20 | 198.30 |
| 2014-06-30 | 7,460.10 | 7,129.80 | 187.00 |
| 2014-03-31 | 7,273.10 | 7,204.00 | 300.30 |
| 2013-12-31 | 7,409.40 | 6,904.50 | 339.20 |
| 2013-09-30 | 6,845.90 | 7,250.50 | 394.40 |
| 2013-06-30 | 6,738.70 | 7,508.20 | 375.20 |
| 2013-03-31 | 6,232.50 | 6,234.20 | 824.30 |
| 2012-12-31 | 6,160.10 | 6,541.90 | 1,157.80 |
| 2012-09-30 | 6,026.20 | 6,017.70 | 324.00 |
| 2012-06-30 | 5,702.20 | 6,324.50 | 304.90 |
| 2012-03-31 | 5,805.10 | 6,257.90 | 354.00 |
- Ecolab's level of debt (87.5%) compared to net worth is high (greater than 40%).
- The level of debt compared to net worth has been reduced over the past 5 years (93.2% vs 87.5% today).
- Debt is well covered by operating cash flow (32.3%, greater than 20% of total debt).
- Interest payments on debt are well covered by earnings (EBIT is 9.7x coverage).
Financial health checks
We assess Ecolab's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) Ecolab has a total score of 4/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
Full details on the Health part of the Simply Wall St company analysis model.
Dividends
What is Ecolab's current dividend yield, its reliability and sustainability?
Dividends are regular cash payments to you from the company, similar to a
bank paying you interest on a savings account.
Annual Dividend Income
If you bought
$2,000 of
Ecolab
shares you are expected to receive
$21
in your first year as a dividend.
Dividend Amount
- Ecolab's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.45%).
- Ecolab's dividend is below the markets top 25% of dividend payers in United States of America (3.64%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 21 Analyst Estimates (S&P Global) | See Below |
| United States of America Chemicals Industry Average Dividend Yield | Market Cap Weighted Average of 51 Stocks | 2.3% |
| United States of America Market Average Dividend Yield | Market Cap Weighted Average of 2004 Stocks | 2.5% |
| United States of America Minimum Threshold Dividend Yield | 10th Percentile | 0.8% |
| United States of America Bottom 25% Dividend Yield | 25th Percentile | 1.4% |
| United States of America Top 25% Dividend Yield | 75th Percentile | 3.6% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in $) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2023-12-31 | ||
| 2022-12-31 | ||
| 2021-12-31 | 2.08 | 5.00 |
| 2020-12-31 | 1.99 | 15.00 |
| 2019-12-31 | 1.83 | 15.00 |
| Date (Data in $) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2019-02-22 | 1.840 | 1.078 |
| 2018-12-06 | 1.840 | 1.200 |
| 2018-08-02 | 1.640 | 1.074 |
| 2018-05-03 | 1.640 | 1.142 |
| 2018-05-01 | 1.640 | 1.130 |
| 2017-12-07 | 1.640 | 1.202 |
| 2017-08-03 | 1.480 | 1.123 |
| 2017-05-04 | 1.480 | 1.127 |
| 2017-02-23 | 1.480 | 1.180 |
| 2016-12-08 | 1.480 | 1.231 |
| 2016-08-04 | 1.400 | 1.182 |
| 2016-05-05 | 1.400 | 1.180 |
| 2016-02-25 | 1.400 | 1.268 |
| 2015-12-03 | 1.400 | 1.286 |
| 2015-08-06 | 1.320 | 1.149 |
| 2015-05-07 | 1.320 | 1.155 |
| 2015-02-26 | 1.320 | 1.148 |
| 2014-12-04 | 1.320 | 1.247 |
| 2014-08-07 | 1.100 | 0.978 |
| 2014-05-08 | 1.100 | 1.011 |
| 2014-02-27 | 1.100 | 1.025 |
| 2013-12-05 | 1.100 | 1.070 |
| 2013-08-01 | 0.920 | 0.929 |
| 2013-05-02 | 0.920 | 1.051 |
| 2013-02-22 | 0.920 | 1.151 |
| 2012-12-06 | 0.920 | 1.259 |
| 2012-08-02 | 0.800 | 1.197 |
| 2012-05-03 | 0.800 | 1.216 |
| 2012-02-24 | 0.800 | 1.305 |
| 2011-12-01 | 0.800 | 1.363 |
| 2011-08-04 | 0.700 | 1.362 |
| 2011-05-05 | 0.700 | 1.310 |
| 2011-02-25 | 0.700 | 1.396 |
| 2010-12-02 | 0.700 | 1.417 |
| 2010-08-06 | 0.620 | 1.255 |
| 2010-05-06 | 0.620 | 1.311 |
| 2010-02-26 | 0.620 | 1.387 |
| 2009-12-03 | 0.620 | 1.396 |
| 2009-08-07 | 0.560 | 1.253 |
| 2009-05-08 | 0.560 | 1.459 |
| 2009-03-23 | 0.560 | 1.526 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Dividends per share have been stable in the past 10 years.
- Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of
Ecolab's earnings are
paid
to the shareholders as a dividend.
- Dividends paid are well covered by earnings (2.9x coverage).
- Dividends after 3 years are expected to be well covered by earnings (3.5x coverage).
Income/ dividend checks
We assess Ecolab's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can Ecolab afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Ecolab has a total score of 4/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
Management
CEO
| COMPENSATION | $14,364,033 |
| AGE | 59 |
| TENURE AS CEO | 14.7 years |
CEO Bio
Mr. Douglas M. Baker, Jr., also known as Doug, has been the Chairman of the board and Chief Executive Officer of Ecolab Inc. since May 2006 and July 2004 respectively. Mr. Baker served as President of Ecolab Inc. since 2002 until 2011 and served as its Chief Operating Officer since 2002. He joined Ecolab in 1989. He has been a Director of Ecolab Inc. He also serves as Director at Nalco Holding Company and Target Corporation since 2013. Mr. Baker has more than 25 years of Ecolab marketing, sales and general management experience, including leadership roles in Ecolab’s Institutional, Europe and Kay businesses before becoming Ecolab’s Chief Operating Officer in 2002 and Chief Executive Officer in 2004. Mr. Baker relinquished the office of resident in December 2011 upon completion of the Nalco merger. Prior to joining Ecolab in 1989, Mr. Baker was employed by The Procter & Gamble Company in various marketing and management positions. He serves as the Lead Director of Target Corporation. He was Director of U.S. Bancorp since January 2008 until April 17, 2018.
CEO Compensation
- Doug's compensation has been consistent with company performance over the past year.
- Doug's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure
Average tenure and age of the Ecolab management team in years:
- The average tenure for the Ecolab management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team
Doug Baker
Chairman & CEO
$14M
59
14.7 yrs
Tom Handley
President & COO
$4M
63
5.2 yrs
Dan Schmechel
CFO & Treasurer
$4M
58
6.4 yrs
Mike Hickey
Executive VP & President of Special Initiatives
$3M
57
13.3 yrs
Christophe Beck
Executive VP & President of Global Industrial
$3M
50
6.2 yrs
Larry Berger
Executive VP & CTO
57
5.2 yrs
Stewart McCutcheon
Chief Information Officer and Executive Vice President
60
6.4 yrs
Andy Hedberg
Director of Investor Relations
Michael McCormick
Executive VP
55
2 yrs
Beth Simermeyer
Executive Vice President of Global Marketing
53
5.1 yrs
Board of Directors Tenure
Average tenure and age of the Ecolab board of directors in years:
- The tenure for the Ecolab board of directors is about average.
Board of Directors
Doug Baker
Chairman & CEO
$14M
59
12.8 yrs
Les Biller
Independent Director
$303K
69
22.2 yrs
John Zillmer
Independent Director
$308K
63
12.8 yrs
Victoria Reich
Independent Director
$308K
60
9.3 yrs
Jeffrey Ettinger
Independent Lead Director
$328K
60
1.8 yrs
Michael Larson
Independent Director
$288K
59
7.2 yrs
Barbara Beck
Independent Director
$303K
57
11.1 yrs
Art Higgins
Independent Director
$288K
62
8.8 yrs
Steve Chazen
Independent Director
$292K
71
5.8 yrs
Zan Vautrinot
Independent Director
$293K
58
5.1 yrs
Who owns this company?
Recent Insider Trading
- Ecolab insiders have sold more shares than they have bought in the past 3 months.
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price ($) | Value ($) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 15. Mar 19 | Sell | Angela Busch | Individual | 13. Mar 19 | 13. Mar 19 | -3,027 | $172.26 | $-521,431 | ||
| 08. Mar 19 | Buy | David MacLennan | Individual | 06. Mar 19 | 06. Mar 19 | 1,000 | $171.05 | $171,050 | ||
| 06. Mar 19 | Sell | Larry Berger | Individual | 01. Mar 19 | 01. Mar 19 | -3,302 | $170.35 | $-562,482 | ||
| 03. Dec 18 | Sell | Leslie Biller | Individual | 30. Nov 18 | 30. Nov 18 | -2,811 | $160.40 | $-450,884 | ||
| 14. Sep 18 | Sell | Michael Hickey | Individual | 13. Sep 18 | 13. Sep 18 | -7,468 | $155.80 | $-1,163,529 | ||
| 12. Sep 18 | Sell | Larry Berger | Individual | 10. Sep 18 | 10. Sep 18 | -9,317 | $153.65 | $-1,431,576 | ||
| 03. Aug 18 | Buy | David MacLennan | Individual | 02. Aug 18 | 02. Aug 18 | 500 | $146.40 | $73,198 | ||
Management checks
We assess Ecolab's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) Ecolab has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.
Note: We use the top 6 management executives and board members in our calculations.
Note 2: Insider trading include any internal stakeholders and these transactions .
Full details on the Management part of the Simply Wall St company analysis model.
News
Simply Wall St News
If You Had Bought Ecolab (NYSE:ECL) Stock Five Years Ago, You Could Pocket A 62% Gain Today
By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. … So the EPS growth rate is rather close to the annualized share price gain of 10% per year. … Rather, the share price has approximately tracked EPS growth.
Simply Wall St - – Full articleAre Ecolab Inc.’s (NYSE:ECL) Returns Worth Your While?
In particular, we'll consider its Return On Capital Employed (ROCE), as that can give us insight into how profitably the company is able to employ capital in its business. … Return On Capital Employed (ROCE): What is it? … ROCE is a metric for evaluating how much pre-tax income (in percentage terms) a company earns on the capital invested in its business.
Simply Wall St - – Full articleWhat Does Ecolab Inc.'s (NYSE:ECL) P/E Ratio Tell You?
This article is for investors who would like to improve their understanding of price to earnings ratios (P/E ratios). … We'll look at Ecolab Inc.'s (NYSE:ECL) P/E ratio and reflect on what it tells us about the company's share price. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)
Simply Wall St - – Full articleWhy I Like Ecolab Inc. (NYSE:ECL)
Participate in a short research study and receive a 6-month subscription to the award winning Simply Wall St research tool (valued at $60)! … (NYSE:ECL) is a company with exceptional fundamental characteristics. … Upon building up an investment case for a stock, we should look at various aspects.
Simply Wall St - – Full articleAt US$149, Is It Time To Put Ecolab Inc. (NYSE:ECL) On Your Watch List?
received a lot of attention from a substantial price movement on the NYSE over the last few months, increasing to $160.49 at one point, and dropping to the lows of $137.9. … Some share price movements can give investors a better opportunity to enter into the stock, and potentially buy at a lower price? … A question to answer is whether Ecolab's current trading price of $148.76 reflective of the actual value of the?
Simply Wall St - – Full articleOne Factor To Consider Before Investing In Ecolab Inc. (NYSE:ECL)
(NYSE:ECL), or considering investing in the stock, you need to examine how the business generates cash, and how it is reinvested. … What is left after investment, determines the value of the stock since this cash flow technically belongs to investors of the company. … Ecolab generates cash through its day-to-day business, which needs to be reinvested into the company in order for it to continue operating.
Simply Wall St - – Full articleIs Ecolab Inc.'s (NYSE:ECL) CEO Pay Justified?
This analysis aims first to contrast CEO compensation with other large companies. … How Does Doug Baker's Compensation Compare With Similar Sized Companies. … is worth US$43b, and total annual CEO compensation is US$14m.
Simply Wall St - – Full articleHow Financially Strong Is Ecolab Inc (NYSE:ECL)?
There are a number of reasons that attract investors towards large-cap companies such as Ecolab Inc (NYSE:ECL), with a market cap of US$46b. … This article will examine Ecolab’s financial liquidity and debt levels to get an idea of whether the company can deal with cyclical downturns and maintain funds to accommodate strategic spending for future growth. … Note that this commentary is very high-level and solely focused on financial health, so I suggest you dig deeper yourself
Simply Wall St - – Full articleHave Insiders Been Selling Ecolab Inc (NYSE:ECL) Shares This Year?
Unfortunately, there are also plenty of examples of share prices declining precipitously after insiders have sold shares. … So before you buy or sell Ecolab Inc (NYSE:ECL), you may well want to know whether insiders have been buying or selling. … We generally tread carefully if insiders have been selling on market, even if they sold slightly above the current price.
Simply Wall St - – Full articleShould We Worry About Ecolab Inc's (NYSE:ECL) P/E Ratio?
This article is written for those who want to get better at using price to earnings ratios (P/E ratios). … How Do I Calculate Ecolab's Price To Earnings Ratio … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)
Simply Wall St - – Full articleCompany Info
Description
Ecolab Inc. provides water, hygiene, and energy technologies and services worldwide. The company operates through Global Industrial, Global Institutional, Global Energy, and Other segments. The Global Industrial segment offers water treatment and process applications, and cleaning and sanitizing solutions primarily to industrial customers within the manufacturing, food and beverage processing, transportation, chemical, primary metals and mining, power generation, pulp and paper, pharmaceutical, and commercial laundry. The Global Institutional segment provides specialized cleaning and sanitizing products to the foodservice, hospitality, lodging, healthcare, government, education, and retail industries. The Global Energy segment offers the process chemicals and water treatment needs of the petroleum and petrochemical industries in upstream and downstream applications under the Nalco Champion name. This segment also provides additives for drilling and well stimulation, corrosion inhibitors, oil and water separation, scale control, paraffin and asphaltene control, biocides, hydrate control, hydrogen sulfide removal, oil dispersants, foamers and anti-foamers, flow improvers, anti-foulants, crude desalting, monomer inhibitors, anti-oxidants, fuel and lubricant additives, and water treatment. The Other segment offers pest elimination services to detect, eliminate, and prevent pests, such as rodents and insects in restaurants, food and beverage processors, educational and healthcare facilities, hotels, quick service restaurant and grocery operations, and other institutional and commercial customers. This segment also produces and sells colloidal silica for binding and polishing applications in semiconductor, catalyst, and aerospace component manufacturing, as well as chemical industries. Ecolab Inc. sells its products through field sales and corporate account personnel, distributors, and dealers. The company was founded in 1923 and is headquartered in St. Paul, Minnesota.
Details
| Name: | Ecolab Inc. |
| ECL | |
| Exchange: | NYSE |
| Founded: | 1923 |
| $50,311,317,736 | |
| 288,366,583 | |
| Website: | http://investor.ecolab.com |
| Address: |
Ecolab Inc. 1 Ecolab Place, St. Paul, Minnesota, 55102, United States |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| NYSE | ECL | Common Stock | New York Stock Exchange | US | USD | 02. Jan 1969 | |
| DB | ECJ | Common Stock | Deutsche Boerse AG | DE | EUR | 02. Jan 1969 | |
| LSE | 0IFA | Common Stock | London Stock Exchange | GB | USD | 02. Jan 1969 | |
| BMV | ECL * | Common Stock | Bolsa Mexicana de Valores | MX | MXN | 02. Jan 1969 |
Number of employees
Current staff
Industry
| Specialty Chemicals | |
| Materials |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/03/20 23:36 |
| End of day share price update: | 2019/03/20 00:00 |
| Last estimates confirmation: | 2019/03/19 |
| Last earnings filing: | 2019/03/01 |
| Last earnings reported: | 2018/12/31 |
| Last annual earnings reported: | 2018/12/31 |
All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.
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.
