Cabot (CBT) Cut to “Strong Sell” at ValuEngine

ValuEngine downgraded shares of Cabot (NYSE:CBT) from a sell rating to a strong sell rating in a report released on Thursday morning.

A number of other equities research analysts also recently weighed in on the company. TheStreet downgraded Cabot from a b rating to a c+ rating in a research report on Friday, October 19th. Zacks Investment Research downgraded Cabot from a buy rating to a sell rating in a research report on Tuesday, October 16th. Barclays assumed coverage on Cabot in a research report on Monday, October 8th. They issued an overweight rating and a $76.00 target price for the company. Finally, Loop Capital set a $134.00 target price on Cabot and gave the stock a buy rating in a research report on Saturday, July 28th. Two investment analysts have rated the stock with a sell rating and six have given a buy rating to the company’s stock. The stock has a consensus rating of Buy and a consensus price target of $82.43.

Shares of NYSE CBT opened at $52.17 on Thursday. The company has a debt-to-equity ratio of 0.49, a current ratio of 1.51 and a quick ratio of 0.97. The company has a market cap of $3.21 billion, a PE ratio of 13.24, a price-to-earnings-growth ratio of 1.01 and a beta of 1.50. Cabot has a 12-month low of $46.90 and a 12-month high of $68.63.

Cabot (NYSE:CBT) last released its earnings results on Monday, August 6th. The specialty chemicals company reported $1.06 earnings per share for the quarter, hitting analysts’ consensus estimates of $1.06. The firm had revenue of $854.00 million during the quarter, compared to the consensus estimate of $831.59 million. Cabot had a positive return on equity of 17.41% and a negative net margin of 4.46%. The firm’s revenue for the quarter was up 21.1% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.81 earnings per share. On average, analysts predict that Cabot will post 4.12 earnings per share for the current year.

Cabot announced that its board has authorized a share repurchase program on Monday, July 16th that permits the company to repurchase $400.00 million in shares. This repurchase authorization permits the specialty chemicals company to purchase up to 10.3% of its stock through open market purchases. Stock repurchase programs are typically a sign that the company’s board of directors believes its stock is undervalued.

In other news, SVP Brian A. Berube sold 13,448 shares of the stock in a transaction on Thursday, August 9th. The stock was sold at an average price of $65.43, for a total transaction of $879,902.64. Following the completion of the sale, the senior vice president now owns 52,127 shares in the company, valued at approximately $3,410,669.61. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Nicholas S. Cross sold 16,000 shares of the stock in a transaction on Tuesday, August 21st. The shares were sold at an average price of $65.86, for a total value of $1,053,760.00. Following the sale, the insider now owns 48,597 shares of the company’s stock, valued at approximately $3,200,598.42. The disclosure for this sale can be found here. Insiders sold 89,448 shares of company stock valued at $5,860,779 over the last 90 days. 2.50% of the stock is currently owned by insiders.

Large investors have recently made changes to their positions in the company. Signition LP acquired a new stake in shares of Cabot during the 2nd quarter valued at $234,000. Advisory Services Network LLC lifted its position in shares of Cabot by 943.5% during the 2nd quarter. Advisory Services Network LLC now owns 3,882 shares of the specialty chemicals company’s stock valued at $255,000 after acquiring an additional 3,510 shares during the last quarter. Strs Ohio acquired a new stake in shares of Cabot during the 2nd quarter valued at $349,000. Oakbrook Investments LLC lifted its position in shares of Cabot by 17.2% during the 2nd quarter. Oakbrook Investments LLC now owns 5,790 shares of the specialty chemicals company’s stock valued at $358,000 after acquiring an additional 850 shares during the last quarter. Finally, Seven Eight Capital LP acquired a new stake in shares of Cabot during the 3rd quarter valued at $370,000. Institutional investors own 85.76% of the company’s stock.

Cabot Company Profile

Cabot Corporation operates as a specialty chemicals and performance materials company. The company offers carbon black, a form of elemental carbon used to enhance the physical properties of the systems and applications in which it is incorporated; and rubber blacks for use as a rubber reinforcing agent and performance additive in tires, hoses, belts, extruded profiles, and molded goods.

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Analyst Recommendations for Cabot (NYSE:CBT)

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