Cabot (NYSE:CBT) Issues Earnings Results

Cabot (NYSE:CBT) posted its quarterly earnings data on Monday. The specialty chemicals company reported $1.76 earnings per share for the quarter, topping analysts’ consensus estimates of $1.74 by $0.02, Zacks reports. Cabot had a return on equity of 26.60% and a net margin of 9.51%. Cabot updated its FY 2025 guidance to 7.400-7.800 EPS.

Cabot Trading Down 2.0 %

Shares of CBT stock traded down $1.69 during mid-day trading on Monday, hitting $84.78. 508,941 shares of the company’s stock were exchanged, compared to its average volume of 356,893. Cabot has a fifty-two week low of $70.63 and a fifty-two week high of $117.46. The stock has a 50-day simple moving average of $95.85 and a two-hundred day simple moving average of $102.13. The company has a quick ratio of 1.36, a current ratio of 2.08 and a debt-to-equity ratio of 0.68. The stock has a market cap of $4.60 billion, a price-to-earnings ratio of 12.58, a PEG ratio of 0.74 and a beta of 1.19.

Cabot Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, March 14th. Shareholders of record on Friday, February 28th will be issued a dividend of $0.43 per share. This represents a $1.72 dividend on an annualized basis and a yield of 2.03%. The ex-dividend date is Friday, February 28th. Cabot’s dividend payout ratio (DPR) is presently 25.52%.

Insider Transactions at Cabot

In related news, EVP Hobart Kalkstein sold 34,759 shares of Cabot stock in a transaction on Monday, November 11th. The stock was sold at an average price of $115.23, for a total value of $4,005,279.57. Following the transaction, the executive vice president now owns 50,627 shares in the company, valued at approximately $5,833,749.21. This trade represents a 40.71 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP Jeff Ji Zhu sold 14,566 shares of Cabot stock in a transaction on Wednesday, November 13th. The shares were sold at an average price of $113.25, for a total value of $1,649,599.50. Following the completion of the transaction, the executive vice president now owns 69,449 shares in the company, valued at $7,865,099.25. The trade was a 17.34 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 50,190 shares of company stock worth $5,751,534 over the last quarter. 3.03% of the stock is currently owned by insiders.

Wall Street Analysts Forecast Growth

A number of analysts have weighed in on the company. Mizuho decreased their price objective on Cabot from $122.00 to $110.00 and set an “outperform” rating for the company in a research report on Tuesday, January 7th. JPMorgan Chase & Co. downgraded Cabot from a “neutral” rating to an “underweight” rating and set a $105.00 price objective for the company. in a research note on Monday, November 11th. One analyst has rated the stock with a sell rating, two have issued a hold rating and two have issued a buy rating to the company. According to MarketBeat.com, the company presently has a consensus rating of “Hold” and an average price target of $102.00.

Cabot announced that its board has initiated a stock repurchase program on Tuesday, December 3rd that allows the company to buyback 10,000,000 outstanding shares. This buyback authorization allows the specialty chemicals company to buy shares of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s leadership believes its shares are undervalued.

About Cabot

Cabot Corporation operates as a specialty chemicals and performance materials company. The company operates through two segments, Reinforcement Materials and Performance Chemicals. It offers reinforcing carbons that are used in tires as a rubber reinforcing agent and performance additive, as well as in industrial products, such as hoses, belts, extruded profiles, and molded goods; and engineered elastomer composites solutions.