Cabot Q2 adjusted EPS beats estimates

Cabot

05/05/2026 21:44

Overview

US specialty chemicals maker's fiscal Q2 adjusted EPS beat analyst expectations

Fiscal Q2 revenue declined yr/yr amid lower pricing and product mix in tire agreements

Company raised quarterly dividend 5% and plans plant closures in South America and Europe

Outlook

Cabot reaffirms full-year Adjusted EPS guidance of $6.00 to $6.50 per share

Company expects near-term demand to remain stable but is cautious about potential changes

Cabot anticipates maintaining margins with price increases to offset higher input costs

Result Drivers

PERFORMANCE CHEMICALS GROWTH - EBIT rose 18% yr/yr, driven by higher gross profit per ton from favorable product mix and increased volumes in battery materials and specialty carbons

REINFORCEMENT MATERIALS DECLINE - EBIT fell 29% yr/yr as higher volumes were offset by lower gross profit per ton due to lower pricing, product mix changes in tire agreements, and increased competition in Asia Pacific

Company press release: ID:nGNX1kQQfB

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Adjusted EPS
Beat
$1.61
$1.46 (5 Analysts)
Q2 Net Income
$68 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 4 "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the specialty chemicals peer group is "buy."

Wall Street's median 12-month price target for Cabot Corp is $81.00, about 6.8% above its May 4 closing price of $75.85

The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 11 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)