Cabot (NYSE:CBT) Shares Gap Down – What’s Next?

Cabot Corporation (NYSE:CBT)’s share price gapped down prior to trading on Tuesday. The stock had previously closed at $75.72, but opened at $70.40. Cabot shares last traded at $74.4360, with a volume of 30,764 shares traded.

More Cabot News

Here are the key news stories impacting Cabot this week:

• Positive Sentiment: Cabot reported fourth-quarter adjusted EPS of $1.61, exceeding the $1.55 consensus estimate, while revenue rose 12.2% year over year to $1.01 billion, well above expectations of approximately $927 million. Cabot Beats Q4 Earnings and Revenue Estimates
• Positive Sentiment: Battery Materials generated $43 million of fiscal-year EBITDA, and Cabot secured a $50 million U.S. Department of Energy grant to expand domestic production of advanced battery conductive additives in Louisiana and Texas. Cabot Fiscal 2026 Results
• Positive Sentiment: Fiscal 2026 operating cash flow of $421 million supported $207 million of capital investment, $97 million in dividends and $146 million in share repurchases, signaling continued shareholder returns and investment capacity. Cabot Fiscal 2026 Results
• Neutral Sentiment: Management cited strong execution despite a difficult macroeconomic backdrop. Fiscal 2026 adjusted EPS was $6.42, compared with $7.25 the prior year, highlighting mixed underlying performance. Cabot Q4 2026 Earnings Call Transcript
• Negative Sentiment: Cabot forecast fiscal 2027 EPS of $6.15 to $6.75, below the $7.03 analyst consensus. The cautious outlook suggests macroeconomic weakness and margin pressure may persist. Cabot Fiscal 2026 Earnings Results
• Negative Sentiment: Although earnings and revenue beat estimates, investors focused on weaker margins and the year-over-year decline in adjusted EPS, causing the stock to decrease in trading. Cabot Falls Despite Beating Estimates

Analyst Ratings Changes

A number of equities analysts have weighed in on the stock. UBS Group decreased their target price on shares of Cabot from $92.00 to $86.00 and set a “neutral” rating for the company in a research note on Monday, October 5th. Wall Street Zen raised Cabot from a “hold” rating to a “buy” rating in a research report on Sunday, October 11th. JPMorgan Chase & Co. upped their price target on Cabot from $70.00 to $78.00 and gave the stock an “underweight” rating in a research note on Friday, August 7th. Truist Financial set a $100.00 price objective on Cabot in a research report on Wednesday, August 5th. Finally, Weiss Ratings reiterated a “hold (c)” rating on shares of Cabot in a research note on Friday, August 21st. Two investment analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the company presently has a consensus rating of “Hold” and a consensus price target of $87.80.

Cabot Trading Down 3.1%

The stock has a 50 day moving average of $77.79 and a 200-day moving average of $79.52. The company has a market capitalization of $3.79 billion, a P/E ratio of 20.78, a P/E/G ratio of 8.68 and a beta of 0.83. The company has a current ratio of 1.47, a quick ratio of 0.97 and a debt-to-equity ratio of 0.48.

Cabot (NYSE:CBT) last posted its quarterly earnings results on Monday, November 2nd. The specialty chemicals company reported $1.61 earnings per share for the quarter, topping the consensus estimate of $1.55 by $0.06. Cabot had a return on equity of 20.29% and a net margin of 5.23%. The business had revenue of $1.01 billion during the quarter, compared to the consensus estimate of $927.29 million. During the same period in the prior year, the company posted $1.70 EPS. The firm’s revenue for the quarter was up 12.2% compared to the same quarter last year. On average, research analysts predict that Cabot Corporation will post 6.35 EPS for the current year.

Insider Activity at Cabot

In other news, CEO Sean Keohane sold 134,895 shares of Cabot stock in a transaction that occurred on Friday, August 28th. The stock was sold at an average price of $85.00, for a total value of $11,466,075.00. Following the completion of the transaction, the chief executive officer owned 404,134 shares in the company, valued at approximately $34,351,390. The trade was a 25.03% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Over the last ninety days, insiders have sold 229,597 shares of company stock valued at $19,646,746. 3.08% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Cabot

Several hedge funds and other institutional investors have recently made changes to their positions in CBT. Root Financial Partners LLC bought a new stake in shares of Cabot during the 3rd quarter worth approximately $27,000. Northwestern Mutual Wealth Management Co. purchased a new stake in shares of Cabot in the 2nd quarter worth approximately $33,000. Rockefeller Capital Management L.P. boosted its position in Cabot by 115.3% during the 4th quarter. Rockefeller Capital Management L.P. now owns 1,152 shares of the specialty chemicals company’s stock valued at $76,000 after acquiring an additional 617 shares in the last quarter. Global Retirement Partners LLC bought a new position in shares of Cabot in the 2nd quarter worth $88,000. Finally, Parallel Advisors LLC raised its position in shares of Cabot by 10.5% in the 1st quarter. Parallel Advisors LLC now owns 1,843 shares of the specialty chemicals company’s stock worth $139,000 after acquiring an additional 175 shares in the last quarter. Hedge funds and other institutional investors own 93.18% of the company’s stock.

Cabot Company Profile

Cabot Corporation (NYSE: CBT) is a global specialty chemicals and performance materials company headquartered in Boston, Massachusetts. The company develops and manufactures materials used to improve the performance, durability, conductivity, color and purity of products across a range of industries.

Cabot’s products include carbon black used in tires, rubber goods, coatings, plastics and printing inks; specialty carbons and conductive materials for batteries and other applications; and specialty compounds and masterbatches.