Ashland (NYSE:ASH) Shares Gap Down Following Weak Earnings

Ashland Inc. (NYSE:ASH)’s share price gapped down before the market opened on Thursday following a dissappointing earnings announcement. The stock had previously closed at $87.38, but opened at $80.01. Ashland shares last traded at $80.84, with a volume of 128,300 shares traded.

The basic materials company reported $1.26 EPS for the quarter, missing the consensus estimate of $1.28 by ($0.02). Ashland had a net margin of 7.01% and a return on equity of 5.98%. The business had revenue of $522.00 million during the quarter, compared to analyst estimates of $524.07 million. During the same period in the prior year, the business earned $0.41 earnings per share. The firm’s quarterly revenue was up .8% compared to the same quarter last year.

Analyst Upgrades and Downgrades

Several analysts recently commented on the stock. BMO Capital Markets reduced their price objective on shares of Ashland from $105.00 to $92.00 and set a “market perform” rating for the company in a research note on Friday, August 9th. JPMorgan Chase & Co. upgraded Ashland from an “underweight” rating to a “neutral” rating and lowered their price target for the stock from $90.00 to $89.00 in a report on Thursday, August 8th. UBS Group reduced their price objective on Ashland from $116.00 to $107.00 and set a “buy” rating for the company in a report on Thursday, August 15th. StockNews.com lowered Ashland from a “buy” rating to a “hold” rating in a report on Friday, September 13th. Finally, Wells Fargo & Company dropped their target price on shares of Ashland from $112.00 to $100.00 and set an “overweight” rating for the company in a report on Thursday, August 8th. Three equities research analysts have rated the stock with a hold rating and six have issued a buy rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $103.50.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the stock. UMB Bank n.a. increased its position in Ashland by 193.1% during 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 last quarter. Assetmark Inc. raised its position in shares of Ashland by 610.5% in the 3rd quarter. Assetmark Inc. now owns 540 shares of the basic materials company’s stock worth $47,000 after buying an additional 464 shares during the period. GAMMA Investing LLC boosted its holdings in Ashland by 133.8% in the second quarter. GAMMA Investing LLC now owns 650 shares of the basic materials company’s stock valued at $61,000 after acquiring an additional 372 shares during the last quarter. Innealta Capital LLC purchased a new stake in Ashland during the second quarter valued at about $71,000. Finally, Quest Partners LLC raised its holdings in shares of Ashland by 8,211.1% in the 2nd quarter. Quest Partners LLC now owns 748 shares of the basic materials company’s stock worth $71,000 after purchasing an additional 739 shares during the period. 93.95% of the stock is currently owned by hedge funds and other institutional investors.

Ashland Trading Down 7.6 %

The company has a debt-to-equity ratio of 0.45, a quick ratio of 1.84 and a current ratio of 2.98. The company has a market capitalization of $3.94 billion, a PE ratio of 27.36, a P/E/G ratio of 1.14 and a beta of 0.88. The business has a fifty day moving average price of $86.13 and a 200 day moving average price of $91.66.

About Ashland

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.