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Cabot (CBT) Wraps Up Air Emission Control Project at Franklin

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Cabot Corporation (CBT - Free Report) recently announced the completion of a major air emissions control project at its carbon black production site located in Franklin, LA.

Cabot invested $85 million in emissions control technology, which will improve air quality through the substantial removal of NOX and SO2 emissions. More than 20 tons of combined emissions are eliminated per day. Moreover, waste heat is recovered from Cabot’s plant and utilized to generate up to 50 megawatts of power, without the creation of additional emissions.

Cabot’s proven knowledge and experience implementing best-in-class emission control technologies at other sites in its network, coupled with the team’s ability to rapidly adapt to the changing environment enabled it to complete this project on schedule. This project will ensure cleaner air for the citizens of Louisiana and continuity of reliable, high quality supply to customers throughout North America, the company noted.

Shares of Cabot have gained 92.8% in the past year compared with 81.5% rise of the industry.

Cabot, in its last earnings call, stated that it expects near-term conditions to remain favourable while long-term visibility is likely to be limited. The company expects to witness strength in demand in the fiscal second quarter. It anticipated an increase in raw material and fixed costs sequentially as well as less customer inventory replenishment compared with first-quarter levels.

On the basis of these factors, Cabot sees adjusted earnings per share between 90 cents and $1.00. The company expects that the pandemic resurgence or related factors will not have a significant disruption impact on the ongoing business environment.

Cabot Corporation Price and Consensus

 

Cabot Corporation Price and Consensus

Cabot Corporation price-consensus-chart | Cabot Corporation Quote

 

Zacks Rank & Key Picks

Cabot currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the basic materials space include Fortescue Metals Group Limited (FSUGY - Free Report) , Ashland Global Holdings Inc. (ASH - Free Report) and Impala Platinum Holdings Limited (IMPUY - Free Report) .

Fortescue has a projected earnings growth rate of 107.8% for the current fiscal. The company’s shares have surged 122.9% in a year. It currently flaunts a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank  stocks here.

Ashland has an expected earnings growth rate of 83.2% for the current fiscal. The company’s shares have gained 76.2% in the past year. It currently sports a Zacks Rank #1.

Impala has an expected earnings growth rate of 197.6% for the current fiscal. The company’s shares have rallied 264.7% in the past year. It currently flaunts a Zacks Rank #1.

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