Ecolab (NYSE:ECL) Releases Earnings Results, Hits Estimates

Ecolab (NYSE:ECL) announced its quarterly earnings data on Tuesday. The basic materials company reported $1.70 earnings per share for the quarter, hitting the consensus estimate of $1.70, FiscalAI reports. The business had revenue of $4.07 billion during the quarter, compared to the consensus estimate of $4.02 billion. Ecolab had a return on equity of 22.73% and a net margin of 12.91%.Ecolab’s revenue for the quarter was up 10.0% on a year-over-year basis. During the same period in the prior year, the company earned $1.50 EPS. Ecolab updated its FY 2026 guidance to 8.430-8.630 EPS and its Q2 2026 guidance to 2.020-2.120 EPS.

Here are the key takeaways from Ecolab’s conference call:

• We reported a strong Q1 with 13% adjusted diluted EPS growth, organic sales up 4% (3% pricing, 1% volume) and operating income margin expansion of 70 bps to 16.8% driven by pricing and accelerating volumes.
• Our growth engines are accelerating — Global High?Tech and digital each grew >20%, Life Sciences accelerated to 11% (bioprocessing sales more than doubled), and Pest Elimination grew 7%, shifting the portfolio toward higher?margin, faster?growing end markets.
• The pending CoolIT and Ovivo deals position Global High?Tech as a ~$1.5bn high?margin growth platform (CoolIT reported near?triple?digit Q1 growth); management expects a short?term EPS hit (~$0.20/quarter in H2) but material long?term upside.
• Management expects commodity/energy costs to rise to high single digits in Q2, implemented an energy surcharge (effective April 1), and notes Q2 EPS growth will be reduced by a few percentage points even though they expect to fully offset the dollar impact by quarter?end.
• Underlying SG&A productivity improved materially via digital/Agentic scaling, supporting margin expansion and management’s confidence in reaching a 20% operating income margin by 2027.

Ecolab Trading Up 1.6%

Shares of Ecolab stock traded up $4.09 on Thursday, hitting $260.70. The stock had a trading volume of 449,299 shares, compared to its average volume of 1,398,378. The stock has a 50 day moving average of $276.55 and a 200 day moving average of $273.34. The firm has a market capitalization of $73.63 billion, a P/E ratio of 35.78, a PEG ratio of 2.12 and a beta of 1.02. Ecolab has a twelve month low of $248.58 and a twelve month high of $309.27. The company has a debt-to-equity ratio of 0.75, a quick ratio of 0.81 and a current ratio of 1.08.

Ecolab Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, April 15th. Stockholders of record on Tuesday, March 17th were paid a $0.73 dividend. The ex-dividend date of this dividend was Tuesday, March 17th. This represents a $2.92 annualized dividend and a dividend yield of 1.1%. Ecolab’s dividend payout ratio is currently 39.51%.

Insider Activity at Ecolab

In other news, Director Tracy B. Mckibben sold 1,265 shares of the firm’s stock in a transaction on Wednesday, February 25th. The shares were sold at an average price of $308.66, for a total transaction of $390,454.90. Following the completion of the transaction, the director owned 11,358 shares of the company’s stock, valued at approximately $3,505,760.28. This trade represents a 10.02% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Christophe Beck sold 20,000 shares of Ecolab stock in a transaction on Tuesday, February 24th. The stock was sold at an average price of $307.37, for a total transaction of $6,147,400.00. Following the transaction, the chief executive officer owned 90,794 shares in the company, valued at approximately $27,907,351.78. This trade represents a 18.05% decrease in their position. The disclosure for this sale is available in the SEC filing. 0.50% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the stock. Janus Henderson Group PLC grew its position in shares of Ecolab by 104.7% in the 4th quarter. Janus Henderson Group PLC now owns 1,591,274 shares of the basic materials company’s stock valued at $417,747,000 after buying an additional 813,996 shares during the last quarter. Balyasny Asset Management L.P. raised its position in shares of Ecolab by 195.9% during the third quarter. Balyasny Asset Management L.P. now owns 670,778 shares of the basic materials company’s stock worth $183,699,000 after acquiring an additional 444,053 shares during the last quarter. Morgan Stanley raised its position in shares of Ecolab by 5.9% during the fourth quarter. Morgan Stanley now owns 7,883,084 shares of the basic materials company’s stock worth $2,069,468,000 after acquiring an additional 441,747 shares during the last quarter. AQR Capital Management LLC lifted its stake in shares of Ecolab by 115.6% in the second quarter. AQR Capital Management LLC now owns 727,370 shares of the basic materials company’s stock worth $193,753,000 after acquiring an additional 389,981 shares during the period. Finally, Man Group plc boosted its holdings in Ecolab by 66.3% in the second quarter. Man Group plc now owns 542,380 shares of the basic materials company’s stock valued at $146,139,000 after acquiring an additional 216,273 shares during the last quarter. 74.91% of the stock is owned by institutional investors.

Wall Street Analysts Forecast Growth

Several research analysts have commented on the company. UBS Group lowered their target price on Ecolab from $312.00 to $293.00 and set a “neutral” rating for the company in a research note on Thursday, April 9th. Bank of America lifted their price target on shares of Ecolab from $337.00 to $345.00 and gave the company a “buy” rating in a report on Tuesday, April 21st. Mizuho set a $335.00 price objective on shares of Ecolab in a research report on Wednesday, February 11th. Erste Group Bank downgraded shares of Ecolab from a “buy” rating to a “hold” rating in a research note on Friday, January 23rd. Finally, Stifel Nicolaus boosted their target price on shares of Ecolab from $300.00 to $337.00 and gave the stock a “buy” rating in a research note on Wednesday, February 11th. One analyst has rated the stock with a Strong Buy rating, sixteen have issued a Buy rating and four have issued a Hold rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $322.82.

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.