Traders Buy High Volume of Put Options on Ecolab (NYSE:ECL)

Ecolab Inc. (NYSE:ECL) was the recipient of unusually large options trading activity on Thursday. Stock investors acquired 2,998 put options on the stock. This is an increase of 281% compared to the average volume of 786 put options.

Insiders Place Their Bets

In related news, EVP Benjamin M. Clark bought 1,000 shares of the business’s stock in a transaction on Thursday, June 11th. The shares were purchased at an average price of $263.83 per share, with a total value of $263,830.00. Following the completion of the purchase, the executive vice president owned 1,083 shares of the company’s stock, valued at $285,727.89. This represents a 1,204.82% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, Director Suzanne M. Vautrinot sold 1,004 shares of the stock in a transaction dated Wednesday, May 27th. The stock was sold at an average price of $264.98, for a total value of $266,039.92. Following the completion of the sale, the director owned 11,651 shares of the company’s stock, valued at $3,087,281.98. This trade represents a 7.93% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders own 0.50% of the company’s stock.

Institutional Investors Weigh In On Ecolab

Several large investors have recently modified their holdings of ECL. Moore Capital Management LP purchased a new position in shares of Ecolab in the second quarter worth about $7,298,000. Sigma Planning Corp raised its holdings in shares of Ecolab by 18.5% in the 2nd quarter. Sigma Planning Corp now owns 1,662 shares of the basic materials company’s stock valued at $463,000 after acquiring an additional 259 shares in the last quarter. Two Sigma Securities LLC bought a new stake in Ecolab during the second quarter valued at approximately $1,304,000. GTS Securities LLC lifted its holdings in shares of Ecolab by 33.6% during the 2nd quarter. GTS Securities LLC now owns 1,260 shares of the basic materials company’s stock worth $351,000 after acquiring an additional 317 shares during the last quarter. Finally, Flputnam Investment Management Co. lifted its stake in Ecolab by 302.2% during the second quarter. Flputnam Investment Management Co. now owns 22,336 shares of the basic materials company’s stock worth $6,223,000 after purchasing an additional 16,783 shares during the last quarter. Hedge funds and other institutional investors own 74.91% of the company’s stock.

Ecolab Trading Down 0.7%

NYSE ECL traded down $1.99 during trading hours on Thursday, hitting $283.63. 198,184 shares of the company’s stock were exchanged, compared to its average volume of 1,473,065. The stock has a 50-day simple moving average of $275.91 and a 200 day simple moving average of $273.68. The firm has a market cap of $79.51 billion, a price-to-earnings ratio of 38.08, a PEG ratio of 2.42 and a beta of 0.88. The company has a current ratio of 1.84, a quick ratio of 1.57 and a debt-to-equity ratio of 1.18. Ecolab has a 1-year low of $243.15 and a 1-year high of $309.27.

Ecolab (NYSE:ECL) last issued its earnings results on Tuesday, July 28th. The basic materials company reported $2.09 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.08 by $0.01. The business had revenue of $4.42 billion for the quarter, compared to analyst estimates of $4.38 billion. Ecolab had a net margin of 12.57% and a return on equity of 22.72%. Ecolab’s revenue was up 9.7% on a year-over-year basis. During the same period in the prior year, the firm earned $1.89 earnings per share. Ecolab has set its Q3 2026 guidance at 2.130-2.230 EPS. On average, equities analysts forecast that Ecolab will post 8.17 EPS for the current fiscal year.

Ecolab Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, October 15th. Shareholders of record on Tuesday, September 15th will be paid a dividend of $0.73 per share. The ex-dividend date is Tuesday, September 15th. This represents a $2.92 dividend on an annualized basis and a yield of 1.0%. Ecolab’s payout ratio is 39.19%.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently weighed in on the company. Wells Fargo & Company increased their price target on Ecolab from $275.00 to $295.00 and gave the company an “equal weight” rating in a research note on Thursday, July 30th. UBS Group restated a “buy” rating and set a $342.00 price objective on shares of Ecolab in a research note on Wednesday, July 29th. BMO Capital Markets boosted their target price on shares of Ecolab from $345.00 to $360.00 and gave the company an “outperform” rating in a research report on Wednesday, July 29th. Oppenheimer upgraded shares of Ecolab from a “market perform” rating to an “outperform” rating and set a $320.00 price objective for the company in a research report on Friday, July 17th. Finally, Zacks Research cut Ecolab from a “hold” rating to a “strong sell” rating in a research report on Monday, July 20th. One equities research analyst has rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $327.56.

About Ecolab

Ecolab, Inc is a global provider of water, hygiene and infection prevention solutions and services. The company develops and supplies cleaning and sanitizing chemicals, dispensing equipment, water-treatment systems, pest elimination services and related technologies designed to help businesses maintain clean, safe and efficient operations. Its offerings span both products and onsite services, often paired with technical support and training.

Ecolab serves a broad range of end markets including hospitality and foodservice, food and beverage processing, healthcare, manufacturing and industrial operations, and energy and utilities.