Ecolab Inc (ECL) posted better-than-expected Q2 results, driven by recovering markets and new business wins. The company develops and offers services, technology, and systems that specialize in water treatment, purification, cleaning, and hygiene.
Ecolab reported Q2 adjusted earnings of $1.22 per share, up 88% year-over-year, and inched past the Street’s estimate of $1.21 per share.
Net sales surged 18% year-over-year to $3.16 billion, topping analysts’ expectations of $3.1 billion. Fixed currency sales jumped 13%, while acquisition-adjusted fixed currency sales growth was 12%. (See Ecolab stock charts on TipRanks)
The company’s Global Industrial and Global Institutional & Specialty segments performed well, partially mitigated by the quarterly performance of the Global Healthcare & Life Sciences unit.
Ecolab CEO Christophe Beck said, “We continue to expect a strong performance in 2021. We expect the U.S. recovery to continue, Europe to reopen as forecasted and the rest of the world to follow soon after.”
A couple of months back, Oppenheimer analyst Scott Schneeberger reiterated a Hold rating on the stock.
Overall, the stock has a Hold consensus rating based on 5 Holds versus 1 Buy. The average Ecolab price target of $229.60 implies 4% upside potential to current levels. Shares have jumped 14% over the past year.
According to TipRanks’ Smart Score system, Ecolab gets a 4 out of 10, which indicates that the stock is likely to perform in line with market averages.
Related News:
Fiserv Gains 2.2% on Solid Q2 Results
Becton Dickinson Acquires Tepha
ADM to Snap up Sojaprotein
