Ashland (NYSE:ASH) Reaches New 1-Year Low After Earnings Miss

Ashland Inc. (NYSE:ASH)’s share price reached a new 52-week low during mid-day trading on Wednesday after the company announced weaker than expected quarterly earnings. The company traded as low as $68.01 and last traded at $68.43, with a volume of 312618 shares. The stock had previously closed at $71.16.

The basic materials company reported $0.28 EPS for the quarter, missing analysts’ consensus estimates of $0.79 by ($0.51). Ashland had a net margin of 7.95% and a return on equity of 7.43%. During the same quarter in the previous year, the business earned $0.45 EPS.

Ashland Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Saturday, March 15th. Shareholders of record on Saturday, March 1st will be paid a dividend of $0.405 per share. This represents a $1.62 annualized dividend and a yield of 2.54%. The ex-dividend date of this dividend is Friday, February 28th. Ashland’s dividend payout ratio (DPR) is currently -245.45%.

Analyst Ratings Changes

Several brokerages have recently commented on ASH. Wells Fargo & Company decreased their target price on Ashland from $90.00 to $80.00 and set an “overweight” rating for the company in a research report on Thursday. UBS Group dropped their target price on Ashland from $95.00 to $93.00 and set a “buy” rating on the stock in a report on Wednesday. JPMorgan Chase & Co. decreased their price target on shares of Ashland from $81.00 to $68.00 and set a “neutral” rating for the company in a report on Thursday. BMO Capital Markets upped their price objective on shares of Ashland from $83.00 to $84.00 and gave the company a “market perform” rating in a research note on Wednesday, December 11th. Finally, StockNews.com raised shares of Ashland from a “hold” rating to a “buy” rating in a research note on Wednesday. Two equities research analysts have rated the stock with a hold rating and six have assigned a buy rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average target price of $95.57.

Insider Buying and Selling

In other news, SVP Robin E. Lampkin sold 868 shares of the firm’s stock in a transaction on Friday, November 15th. The shares were sold at an average price of $77.90, for a total value of $67,617.20. Following the sale, the senior vice president now owns 2,883 shares in the company, valued at approximately $224,585.70. This trade represents a 23.14 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, VP Eric N. Boni sold 451 shares of the company’s stock in a transaction on Thursday, December 5th. The shares were sold at an average price of $78.07, for a total transaction of $35,209.57. Following the transaction, the vice president now owns 14,182 shares of the company’s stock, valued at approximately $1,107,188.74. The trade was a 3.08 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Corporate insiders own 1.02% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in ASH. Prospera Private Wealth LLC bought a new stake in shares of Ashland in the 3rd quarter worth approximately $31,000. UMB Bank n.a. lifted its position in Ashland by 193.1% in the third quarter. UMB Bank n.a. now owns 381 shares of the basic materials company’s stock worth $33,000 after purchasing an additional 251 shares during the period. Versant Capital Management Inc acquired a new stake in Ashland during the fourth quarter worth $33,000. Wilmington Savings Fund Society FSB bought a new stake in Ashland in the 3rd quarter valued at $38,000. Finally, Assetmark Inc. raised its stake in shares of Ashland by 610.5% in the 3rd quarter. Assetmark Inc. now owns 540 shares of the basic materials company’s stock valued at $47,000 after buying an additional 464 shares in the last quarter. Institutional investors and hedge funds own 93.95% of the company’s stock.

Ashland Stock Down 0.6 %

The company has a current ratio of 2.44, a quick ratio of 1.33 and a debt-to-equity ratio of 0.47. The business’s fifty day moving average price is $72.88 and its 200 day moving average price is $81.96. The company has a market capitalization of $3.00 billion, a P/E ratio of 19.04, a P/E/G ratio of 1.14 and a beta of 0.87.

Ashland Company Profile

Ashland Inc provides additives and specialty ingredients in the North and Latin America, Europe, Asia Pacific, and internationally. It operates through Life Sciences, Personal Care, Specialty Additives, and Intermediates segments. The Life Sciences segment offers pharmaceutical solutions, including controlled release polymers, disintegrants, tablet coatings, thickeners, solubilizers, and tablet binders; nutrition solutions, such as thickeners, stabilizers, emulsifiers, and additives; and nutraceutical solutions comprising products for weight management, joint comfort, stomach and intestinal health, sports nutrition, and general wellness, as well as custom formulation, toll processing, and particle engineering solutions.