Ecolab has
performance score of 4 on a scale of 0 to 100. The firm shows a Beta (market volatility) of 0.9685, which means possible diversification benefits within a given portfolio. Let's try to break down what Ecolab's beta means in this case. Ecolab returns are very sensitive to returns on the market. As the market goes up or down, Ecolab is expected to follow. Although it is extremely important to respect
Ecolab Inc historical returns, it is better to be realistic regarding the information on equity current trending patterns. The philosophy towards predicting
future performance of any stock is to evaluate the business as a whole together with its past performance, including all
available fundamental and
technical indicators. By reviewing
Ecolab Inc technical indicators, you can presently evaluate if the expected return of 0.14% will be sustainable into the future.
Ecolab Inc right now shows a risk of 2.08%. Please confirm Ecolab Inc
sortino ratio,
skewness,
price action indicator, as well as the
relationship between the
potential upside and
rate of daily change to decide if Ecolab Inc will be following its
price patterns.
The successful prediction of Ecolab
stock price could yield a significant profit to investors. But is it possible? The efficient-market hypothesis suggests that all published
stock prices of traded companies, such as Ecolab Inc, already reflect all publicly available information. This academic statement is a fundamental principle of many financial and investing theories used today. However, the typical investor usually disagrees with a 'textbook' version of this hypothesis and continually tries to find mispriced stocks to increase returns. We use internally-developed statistical techniques to arrive at
the intrinsic value of Ecolab based on Ecolab hews, social hype, general headline patterns, and widely used
predictive technical indicators. We also calculate exposure to Ecolab's
market risk, different
technical and
fundamental indicators, relevant financial multiples and ratios, and then
comparing them to Ecolab's related companies.
Use Technical Analysis to project Ecolab expected Price
Ecolab technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.
A focus of Ecolab technical analysis is to determine if market prices reflect all relevant information impacting that market. A technical analyst looks at the history of Ecolab trading pattern rather than external drivers such as economic, fundamental, or social events. It is believed that price action tends to repeat itself due to investors' collective, patterned behavior. Hence technical analysis focuses on identifiable price trends and conditions.
More Info...Ecolab Gross Profit
Ecolab Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Ecolab previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Ecolab Gross Profit growth over the last 10 years. Please check Ecolab's
gross profit and other
fundamental indicators for more details.
Is Ecolab valued adequately by the market?
The modest gains experienced by current holders of Ecolab could raise concerns from stakeholders as the firm closed today at a share price of
208.57 on
878,585 in volume. The company executives have been quite successful in maneuvering the stock at opportune times to take advantage of all market conditions in
June. The stock standard deviation of daily returns for 30 days investing horizon is currently 2.08. The current volatility is consistent with the ongoing market swings in
June 2020 as well as with Ecolab unsystematic, company-specific events.
| 2018 | 2019 (projected) |
Long Term Debt to Equity | 0.79 | 0.69 | Interest Coverage | 8.76 | 10.53 |
Cost of Revenue Breakdown
Ecolab Cost of Revenue yearly trend continues to be relatively stable with very little volatility. The value of Cost of Revenue is projected to decrease to about 8.2
B. Cost of Revenue usually refers to the aggregate cost of goods produced and sold and services rendered during the reporting period. Ecolab Cost of Revenue is relatively stable at the moment as compared to the past year. The company's current value of Cost of Revenue is estimated at 8.25 Billion
| 2011 | 3.48 Billion |
| 2012 | 7.16 Billion |
| 2014 | 7.22 Billion |
| 2016 | 7.53 Billion |
| 2017 | 8.06 Billion |
| 2018 | 8.63 Billion |
| 2019 | 8.72 Billion |
| 2020 | 8.25 Billion |
Ecolab has a small chance to finish above $216 in 2 months
New downside variance is at 6.84. Ecolab Inc currently demonstrates below-verage downside deviation. It has Information Ratio of 0.07 and Jensen Alpha of 0.15. However, we do advice investors to further question Ecolab Inc expected returns to ensure all indicators are consistent with the current outlook about its relatively low value at risk.
Our Final Perspective on Ecolab
While few other entities under the specialty chemicals industry are still a bit expensive, Ecolab may offer a potential longer-term growth to stakeholders. With a less-than optimistic outlook for your 30 days horizon, it may be a good time to drop some or all of your Ecolab holdings as it seems the potential growth was already fully factored into the current price. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Ecolab.
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Vlad Skutelnik is a Macroaxis Contributor. Vlad covers stocks, funds, cryptocurrencies, and ETFs that are traded in North America, focusing primarily on fundamentals, valuation and market volatility. He has many years of experience in fintech, predictive investment analytics, and risk management.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Vlad Skutelnik do not own shares of Ecolab Inc. Please refer to our
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