Modera Wealth Management LLC recently made headlines by significantly adjusting its investment in Ecolab Inc. (ECL), a move detailed in its latest Form 13F filing with the Securities and Exchange Commission, highlighting the dynamic nature of institutional investment strategies in the current market.
Specifically, Modera Wealth Management trimmed its position in the basic materials company’s stock by 8.1% during the first quarter. This adjustment involved selling 175 shares, leaving the institutional investor with 1,988 shares of Ecolab, valued at approximately $504,000 as of their most recent SEC filing, reflecting a deliberate recalibration of their portfolio allocation.
Beyond Modera’s movements, several other prominent hedge funds and institutional investors have also revised their holdings in ECL. Notably, Pictet Asset Management Holding SA dramatically increased its stake by 2.3% during the first quarter, accumulating an additional 93,409 shares to now own 4,089,226 shares worth over $1.03 billion, signifying strong confidence in Ecolab’s performance.
Similarly, Royal Bank of Canada expanded its holdings in Ecolab by 6.0% during the fourth quarter, acquiring 200,612 more shares to reach a total of 3,549,610 shares, valued at $831.7 million. Northern Trust Corp also demonstrated a robust increase, raising its holdings by 19.7% with an addition of 514,944 shares, bringing their total to 3,129,058 shares, worth $733.2 million.
Further illustrating the widespread investor activity, Invesco Ltd. boosted its Ecolab holdings by 5.9% in the fourth quarter, adding 165,949 shares for a total of 2,993,504 shares, valued at $701.4 million. Bank of America Corp DE also slightly increased its position by 0.5%, acquiring 12,911 additional shares, bringing their total to 2,517,118 shares, worth $589.8 million, collectively showing that institutional investors own a substantial 74.91% of Ecolab’s stock.
Ecolab’s stock has shown resilience, opening at $260.80 recently, with a twelve-month low of $221.62 and a high of $274.17. The company boasts a significant market capitalization of $73.97 billion, alongside key financial indicators such as a PE ratio of 34.82, a price-to-earnings-growth ratio of 2.68, and a beta of 1.06, underscoring its market standing.
The business’s financial health is further evidenced by its 50-day simple moving average of $266.76 and a 200-day simple moving average of $256.47, indicating positive momentum. Additionally, the company maintains a quick ratio of 0.98, a current ratio of 1.44, and a debt-to-equity ratio of 0.80, pointing to sound liquidity and leverage management.
In terms of shareholder returns, Ecolab recently declared a quarterly dividend of $0.65 per share, paid on July 15th, which translates to an annualized dividend of $2.60 and a yield of 1.0%, with a payout ratio of 34.71%. This consistent dividend performance, coupled with varied analyst perspectives, contributes to its investment profile.
Several research firms have offered updated outlooks on ECL, reflecting a generally positive sentiment. Mizuho, Oppenheimer, and Seaport Res Ptn recently upgraded or raised their price targets and ratings, with the consensus rating for Ecolab being a ‘Buy’ and a target price of $290.71, suggesting continued growth potential, while also noting recent insider trading activity where a director acquired 500 shares, valuing $125,875, increasing their overall ownership to 19,465 shares.
