Ecolab Earnings Preview: Analysts Expect Higher EPS, Revenue
Ecolab (NYSE: ECL) announces its next round of earnings this Tuesday, October 25, 2011. Here is Benzinga's everything-that-matters guide for this Tuesday's third quarter earnings announcement.
Earnings and Revenue:
Analysts are looking ahead to a positive EPS of 75 cents/share and revenues of $1.74 billion. Ecolab's latest numbers will no doubt be compared with the company's year-ago quarter, when it reported a profit of 67 cents/share on revenues of $1.56 billion. Can Ecolab manage the estimated 11.9% rise in EPS and 11.5% increase in revenues from the year-ago quarter as analysts are predicting? We'll have to wait until Tuesday to find out.
Here's how the company's reported EPS has stacked up against analyst estimates in the past:
| Quarter | Q2 | Q1 | Q4 | Q3 |
| EPS Estimate | $0.64 | $0.44 | $0.61 | $0.65 |
| EPS Actual | $0.64 | $0.45 | $0.60 | $0.67 |
Stock Performance:
At last check, shares of Ecolab were trading at $53.18. Since January 1st, shares of Ecolab have given investors a return of 6.6%. For a full 12 months, the return has risen by 8.8%. Given that these returns are generally positive, long-term shareholders are probably satisfied going into this earnings release.
- Long-term shareholders are already enjoying 12-month gains prior to the announcement
Average Stock Rating:
The average rating by analysts for Ecolab is a Moderate Buy. Over the past three months this rating's strength has declined slightly.
Competitors:
Wondering how some of the other materials companies are doing? Here are a few of Ecolab's peers in that sector.
- Clorox Company (NYSE: CLX): Hold with a $1.29 recent quarter EPS
- Pure Bioscience (NASDAQ: PURE): Strong Buy with a -$0.05 recent quarter EPS
- Rollins (NYSE: ROL): Moderate Buy with a $0.21 recent quarter EPS
Ecolab is in the chemical-specialty industry, which has experienced price/earnings growth of 1.4%.
Finally, a description of the company's main areas of operation: Ecolab develops and markets cleaning and sanitizing products and programs, pest elimination, maintenance, and repair services for the hospitality, foodservice, healthcare and industrial markets.
Take Action:
Now that you have reviewed all the numbers, be ready to move if the upcoming Ecolab earnings report has any surprises. Also, come back to Benzinga after the announcement for a full recap and a guide to your next steps.
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