DailyIQ
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Sector:Basic MaterialsAll sectors
Last updated 5 minutes ago

ECL·Ecolab Inc.

$.
+. (+.%)
After Hours
High
$276.05
Open
$273.64
Market Cap
77.20B
52W High
$309.27
Low
$272.86
P. Close
$274.33
P/E
36.66
52W Low
$243.15
Fwd P/E
29.04
DailyIQ Est.
$325.35
Technical Score (1D)
77
BUY
News Sentiment
50
MIXED
Ecolab’s data‑center vertical is still too small to justify its 33‑times‑earnings multiple, a finding that underscores the need for substantial M&A or organic growth to lift that segment’s contribution. This shortfall suggests that the company may pursue further acquisitions or strategic partnerships in the high‑density cooling space in the near term. Deutsche Bank’s upgrade to a Buy rating and the lift of the price target to $335 reflect confidence in ECL’s earnings outlook and margin expansion, which could help temper concerns about the data‑center valuation. RBC’s view that pricing surcharges will offset commodity inflation and drive stronger growth in H2 2026 supports the notion that margin resilience is expected to improve, reinforcing the positive outlook. The earlier $4.75 billion acquisition of CoolIT Systems, which added AI‑driven cooling to ECL’s portfolio, provides a new revenue engine that may help the data‑center segment grow faster than its current trajectory. ECL’s updated 2026 EPS guidance now projects 7‑9 % year‑over‑year growth and a $0.20 per share impact from CoolIT in Q3/Q4, indicating that the integration is already delivering incremental earnings. Over the next 1–10 trading days, traders should watch for early signs of integration progress, such as revenue recognition from CoolIT or capital‑allocation announcements that could affect cash flow. Additionally, monitor the company’s pricing guidance for the second half of 2026 to confirm whether surcharges are being applied as expected, which would support margin expansion. Finally, keep an eye on the upcoming Q2 2026 earnings release in July for any deviations from consensus and commentary on data‑center performance and capital‑deployment plans.
Earnings Summary
Ecolab Inc. is a global provider of essential solutions focused on water, hygiene, and infection prevention, serving diverse industries worldwide through its Global Industrial, Global Institutional & Specialty, Global Healthcare & Life Sciences, and Global Pest Elimination segments. Operating within the specialty chemicals space, the company delivers a comprehensive suite of products and services that address critical needs across manufacturing, healthcare, and hospitality sectors. In the most recent quarter, Ecolab reported EPS of $2.08, narrowly beating the $2.06665 estimate, and revenue of $4.196B, slightly below the $4.198492460B estimate, marking a modest revenue uptick from Q3 2025’s $4.165B and a small EPS increase from $2.07. The following quarter, Q1 2026, saw EPS at $1.70 versus a $1.69792 estimate and revenue of $4.0661B against a $4.028750870B estimate, reflecting a revenue decline of about 3% from Q4 2025 but maintaining an EPS beat. Q2 2026 revenue is projected at $4.4315B, up 9% from Q1 2026, while EPS remains unreported, yet the trend suggests continued revenue acceleration. Historically, Ecolab has delivered year‑over‑year revenue growth of roughly 5% in Q4 2025 versus Q4 2024 and 10% in Q1 2026 versus Q1 2025, with EPS growth of 14% and 13% respectively, consistently beating analyst expectations across the last five quarters. Recent news highlights the integration of the CoolIT Systems acquisition, which is expected to add AI‑driven cooling revenue and a $0.20 per share impact in Q3/Q4 2025, and Deutsche Bank’s upgrade to a Buy rating with a $335 price target, underscoring confidence in margin expansion and pricing power. Investors should watch for the Q2 2026 earnings release to gauge the progress of CoolIT integration, the application of planned pricing surcharges, and any updates to capital allocation plans, as these factors will be key to validating the company’s projected revenue and margin resilience in the second half of 2026.

EPS

EstBeatMiss
$1.41$1.60$1.79$1.98$2.17Q1'25Q2'25Q3'25Q4'25Q1'26Q2'26
QtrEstActual+/−
Q2'26$2.08 - -
Q1'26$1.70$1.70+0.1%
Q4'25$2.07$2.08+0.6%
Q3'25$2.07$2.07-0.1%
Q2'25$1.90$1.89-0.3%
Q1'25$1.50$1.50+0.1%

Revenue

EstBeatMiss
$3.6B$3.8B$4.1B$4.3B$4.5BQ1'25Q2'25Q3'25Q4'25Q1'26Q2'26
QtrEstActual+/−
Q2'26$4.4B - -
Q1'26$4.0B$4.1B+0.9%
Q4'25$4.2B$4.2B-0.1%
Q3'25 - $4.2B -
Q2'25 - $4.0B -
Q1'25 - $3.7B -
Full Earnings BreakdownEstimates, actuals, guidance, and historical context
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Market Data

ECL Stock Snapshot

ECL is currently trading at $274.25, giving Ecolab Inc. a market cap of 77.20B and a P/E ratio of 36.7. Today's range spans $272.86–$276.05, with shares opening at $273.64 and moving down $0.08 (0.0%) from the prior close. DailyIQ's technical score sits at 77/100 (BUY) with a news sentiment reading of 50/100.

Over the past year ECL has traded between $243.15 and $309.27 - the current price is +12.8% off the 52-week low and -11.3% from the high. 34 analysts cover the stock with a Buy consensus and a mean 12-month target of $319.40 (range $275.00–$345.00), implying upside of +16.5%.

ECL is scoring 77/100 technically (BUY) and sits at $274.25 - in the middle of its 52-week range in its $243.15–$309.27 annual range. Sentiment at 50/100 is neutral. At 77.20B in Basic Materials market cap The current P/E ratio stands at 36.7., this is the tier where earnings revision cycles have the most impact on price: upward revisions in a large-cap company with bullish momentum tend to attract analyst upgrades, which in turn attract new institutional mandates.

What makes ECL's BUY setup (77/100) particularly actionable at 77.20B in Basic Materials capitalization is the scale-to-move ratio: large enough to feature on institutional mandates but not so large that the percentage upside is already compressed by index inertia. At $274.25 (in the middle of its 52-week range in $243.15–$309.27), with sentiment running neutral at 50/100, the setup rewards conviction-sized positioning more than it does speculative small bets.