NYSE · Basic Materials

Ecolab Inc.

ECL · Specialty Chemicals

$255.59

▼ -3.92 (-1.51%)

Data cached · refreshes every 10 min

Mr. Market is currently offering Ecolab Inc. at $255.59.

The business passes 4 of 7 of Graham's defensive criteria — adequate but not exceptional.

Overall Grade

Defensive

Enterprising

Profitability A

Gross Profit Margin 44.5%

Operating Margin 18.0%

Net Income Margin 12.9%

Fin. Health C

Years to Pay Off Debt 4.3 yrs

Working Capital vs Long-Term Debt -$6.9B

Working Capital $421M

Valuation F

Margin of Safety 0.0%

Price-to-Book 7.39x

Cash Flow C

Free Cash Flow $1.9B

CapEx % of Net Income 50.5%

Owner Earnings $4.1B

4/7

Graham Score

Enterprising

Defensive — Graham's strict criteria (P/B, P/E, dividends, stability) · Enterprising — Profitability & cash flow focused, accepts higher valuations for quality

Market Data

Market Cap $72.2B

Enterprise Value $81.8B

P/E (TTM) 34.54

Dividend Yield 1.06%

Exchange NYSE

Key Margins

Gross Profit 44.5%

Operating Margin 18.0%

Net Margin 12.9%

Company Info

Sector Basic Materials

Industry Specialty Chemicals

Employees 48000

Country United States

Visit website

📖

Full Graham Analysis

Mr. Market is currently offering Ecolab Inc. at $255.59.

The business passes 4 of 7 of Graham's defensive criteria — adequate but not exceptional.

At $255.59, the stock trades at a 240% premium to its Graham Number of $75.28. Graham would consider this price speculative.

There is no margin of safety at the current price. Graham would advise patience and waiting for a better entry point.

Negative NCAV — liabilities exceed current assets. Common in capital-return businesses (buybacks, debt-funded dividends) and capital-intensive industries. Not automatically a warning sign..

Conclusion: This stock is better suited for Graham's Enterprising investor — one willing to devote time and skill to security selection.

About Ecolab Inc.

Ecolab Inc. provides water, hygiene, and infection prevention solutions and services in the United States and internationally. The company operates through four segments: Global Water, Global Institutional & Specialty, Global Pest Elimination, and Global Life Sciences. The Global Water segment offers water treatment and process applications, and cleaning and sanitizing solutions to manufacturing, food and beverage processing, transportation, chemical, primary metals and mining, power generation, global refining, petrochemical, pulp and paper industries. The Global Institutional & Specialty segment provides cleaning and sanitizing products to the foodservice, healthcare, hospitality, lodging, government, education and retail industries. The Global Pest Elimination segment provides pest elimination services to detect, prevent, and eliminate pests comprising rodents and insects in full-service and quick-service restaurants, food and beverage processors, hotels, grocery operations, and other commercial segments, including education, life sciences, and healthcare. The Global Life Sciences segment provides cleaning and contamination control solutions to pharmaceutical and personal care manufacturers. It offers its products under the Ecolab, Kay, Purolite, and Bioquell brand names. The company sells its products through field sales and corporate account personnel, distributors, and dealers. Ecolab Inc. was founded in 1923 and is headquartered in Saint Paul, Minnesota.

Showing Key Metrics

Income Highlights

Metric	2025	2024	2023	2022	2021
Gross Profit %	44.5% ▲	43.5%	40.2%	37.8%	N/A
Operating Margin %	18.0% ▲	16.6%	13.7%	12.0%	N/A
Net Income %	12.9% ▼	13.4%	9.0%	7.7%	N/A
Diluted EPS	7.28 ▼	7.37	4.79	3.81	N/A

Balance Sheet Highlights

Metric	2025	2024	2023	2022	2021
Total Assets	$24.7B	$22.4B	$21.8B	$21.5B	N/A
Total Debt	$9.0B ↑	$8.3B	$8.7B	$9.0B	N/A
Working Capital	$421M ▼	$1.2B	$1.3B	$1.3B	N/A
Years to Pay Debt	4.33	3.92	6.36	8.27	N/A

Cash Flow Highlights

Metric	2025	2024	2023	2022	2021
Free Cash Flow	$1.9B ▲	$1.8B	$1.6B	$1.1B	N/A
Owner Earnings	$4.1B	$4.0B	$3.1B	$2.7B	N/A
CapEx % of Net Income	50.5%	47.1%	56.5%	65.3%	N/A

Income Statement

	2025	2024	2023	2022
Tax Effect Of Unusual Items	-27,637	32,274	-22,948	-24,588
Tax Rate For Calcs	0	0	0	0
Normalized EBITDA	3,985,400	3,658,000	3,139,400	2,674,700
Total Unusual Items	-154,900	188,900	-111,400	-140,500
Total Unusual Items Excluding Goodwill	-154,900	188,900	-111,400	-140,500
Net Income From Continuing Operation Net Minority Interest	2,075,600	2,112,400	1,372,300	1,091,700
Reconciled Depreciation	976,400	935,400	923,600	938,700
Reconciled Cost Of Revenue	8,930,800	8,899,700	9,154,900	8,831,000
EBITDA	3,830,500	3,846,900	3,028,000	2,534,200
EBIT	2,854,100	2,911,500	2,104,400	1,595,500
Net Interest Income	-241,100	-282,500	-296,700	-243,600
Interest Expense	306,200	340,300	348,900	252,100
Interest Income	65,100	57,800	52,200	8,500
Normalized Income	2,202,863	1,955,774	1,460,752	1,207,612
Net Income From Continuing And Discontinued Operation	2,075,600	2,112,400	1,372,300	1,091,700
Total Expenses	13,188,700	13,127,900	13,216,500	12,484,800
Total Operating Income As Reported	2,737,600	2,802,400	1,992,300	1,562,500
Diluted Average Shares	285,200	286,600	286,500	286,600
Basic Average Shares	283,300	284,300	285,000	285,200
Diluted EPS	0	0	0	0
Basic EPS	0	0	0	0
Diluted NI Availto Com Stockholders	2,075,600	2,112,400	1,372,300	1,091,700
Net Income Common Stockholders	2,075,600	2,112,400	1,372,300	1,091,700
Net Income	2,075,600	2,112,400	1,372,300	1,091,700
Minority Interests	-17,700	-19,500	-20,700	-17,200
Net Income Including Noncontrolling Interests	2,093,300	2,131,900	1,393,000	1,108,900
Net Income Continuous Operations	2,093,300	2,131,900	1,393,000	1,108,900
Tax Provision	454,600	439,300	362,500	234,500
Pretax Income	2,547,900	2,571,200	1,755,500	1,343,400
Other Income Expense	-103,500	240,200	-51,500	-116,000
Other Non Operating Income Expenses	51,400	51,300	59,900	24,500
Special Income Charges	-154,900	188,900	-111,400	-140,500
Gain On Sale Of Business	-3,000	340,300	-10,300	0
Other Special Charges	127,800	117,000	21,800	40,200
Restructuring And Mergern Acquisition	24,100	34,400	79,300	100,300
Net Non Operating Interest Income Expense	-241,100	-282,500	-296,700	-243,600
Interest Expense Non Operating	306,200	340,300	348,900	252,100
Interest Income Non Operating	65,100	57,800	52,200	8,500
Operating Income	2,892,500	2,613,500	2,103,700	1,703,000
Operating Expense	4,257,900	4,228,200	4,061,600	3,653,800
Selling General And Administration	4,257,900	4,228,200	4,061,600	3,653,800
Gross Profit	7,150,400	6,841,700	6,165,300	5,356,800
Cost Of Revenue	8,930,800	8,899,700	9,154,900	8,831,000
Total Revenue	16,081,200	15,741,400	15,320,200	14,187,800
Operating Revenue	16,081,200	15,741,400	15,320,200	14,187,800

Balance Sheet

	2025	2024	2023	2022	2021
Treasury Shares Number	87,393	84,463	80,300	80,262
Ordinary Shares Number	282,023	283,355	285,449	284,500
Share Issued	369,416	367,818	365,749	364,762
Net Debt	7,590,100	6,308,100	7,262,300	7,981,800
Total Debt	8,997,500	8,282,700	8,733,400	9,026,500
Tangible Book Value	-3,144,700	-2,458,800	-3,597,000	-4,457,300
Invested Capital	18,007,100	16,322,200	16,226,500	15,816,500
Working Capital	420,900	1,232,900	1,298,300	1,283,800
Net Tangible Assets	-3,144,700	-2,458,800	-3,597,000	-4,457,300
Capital Lease Obligations	761,200	717,800	551,600	446,100
Common Stock Equity	9,770,800	8,757,300	8,044,700	7,236,100
Total Capitalization	17,136,700	15,706,500	15,596,100	15,311,400
Total Equity Gross Minority Interest	9,804,500	8,789,200	8,072,200	7,258,600
Minority Interest	33,700	31,900	27,500	22,500
Stockholders Equity	9,770,800	8,757,300	8,044,700	7,236,100
Gains Losses Not Affecting Retained Earnings	-1,874,300	-1,982,000	-1,850,400	-1,726,600
Other Equity Adjustments	-1,874,300	-1,982,000	-1,850,400	-1,726,600
Treasury Stock	9,079,600	8,305,200	7,312,700	7,301,000
Retained Earnings	12,834,000	11,517,100	10,075,400	9,318,800
Additional Paid In Capital	7,521,300	7,159,600	6,766,700	6,580,200
Capital Stock	369,400	367,800	365,700	364,700
Common Stock	369,400	367,800	365,700	364,700
Total Liabilities Net Minority Interest	14,891,800	13,598,600	13,774,400	14,205,700
Total Non Current Liabilities Net Minority Interest	9,357,100	8,805,800	9,428,600	9,995,300
Other Non Current Liabilities	518,700	366,200	381,800	406,300
Employee Benefits	546,100	634,900	651,700	670,300
Non Current Pension And Other Postretirement Benefit Plans	546,100	634,900	651,700	670,300
Non Current Deferred Liabilities	329,900	280,000	418,200	505,600
Non Current Deferred Taxes Liabilities	329,900	280,000	418,200	505,600
Long Term Debt And Capital Lease Obligation	7,962,400	7,524,700	7,976,900	8,413,100
Long Term Capital Lease Obligation	596,500	575,500	425,500	337,800
Long Term Debt	7,365,900	6,949,200	7,551,400	8,075,300
Current Liabilities	5,534,700	4,792,800	4,345,800	4,210,400
Other Current Liabilities	949,600	849,800	713,500	688,700
Current Deferred Liabilities	173,000	102,000	110,900	116,500
Current Deferred Revenue	173,000	102,000	110,900	116,500
Current Debt And Capital Lease Obligation	1,035,100	758,000	756,500	613,400
Current Capital Lease Obligation	164,700	142,300	126,100	108,300
Current Debt	870,400	615,700	630,400	505,100
Other Current Borrowings	759,400	612,100	628,600	501,400
Commercial Paper	100,000	0	0	0
Current Notes Payable	11,000	3,600	1,800	3,700
Pensionand Other Post Retirement Benefit Plans Current	721,500	727,400	655,500	493,600
Payables And Accrued Expenses	2,655,500	2,355,600	2,109,400	2,298,200
Current Accrued Expenses	64,800	62,600	68,500	58,700
Interest Payable	64,800	62,600	68,500	58,700
Payables	2,590,700	2,293,000	2,040,900	2,239,500
Dividends Payable	205,900	184,200	162,700	150,800
Total Tax Payable	313,800	298,800	311,900	360,500
Income Tax Payable	134,300	127,000	158,700	197,600
Accounts Payable	2,071,000	1,810,000	1,566,300	1,728,200
Total Assets	24,696,300	22,387,800	21,846,600	21,464,300
Total Non Current Assets	18,740,700	16,362,100	16,202,500	15,970,100
Other Non Current Assets	414,500	318,800	271,400	264,100
Defined Pension Benefit	184,300	151,000	118,400	118,400
Non Current Deferred Assets	181,000	155,500	119,300	108,100
Non Current Deferred Taxes Assets	181,000	155,500	119,300	108,100
Financial Assets	2,900	45,100	23,600	44,500
Goodwill And Other Intangible Assets	12,915,500	11,216,100	11,641,700	11,693,400
Other Intangible Assets	3,688,500	3,308,800	3,493,500	3,680,700
Goodwill	9,227,000	7,907,300	8,148,200	8,012,700
Net PPE	5,042,500	4,475,600	4,028,100	3,741,600
Accumulated Depreciation	-4,839,600	-4,435,800	-4,180,200	-3,962,500
Gross PPE	9,882,100	8,911,400	8,208,300	7,704,100
Construction In Progress	858,100	679,300	470,100	403,800
Other Properties	3,959,000	3,648,500	3,311,900	3,083,700
Machinery Furniture Equipment	3,673,200	3,286,300	3,099,700	2,928,400
Buildings And Improvements	1,242,600	1,152,800	1,171,000	1,126,900
Land And Improvements	149,200	144,500	155,600	161,300
Current Assets	5,955,600	6,025,700	5,644,100	5,494,200
Other Current Assets	60,300	110,900	59,100	39,200
Hedging Assets Current	2,600	13,400	3,300	57,500
Prepaid Assets	159,500	151,400	143,900	123,900
Inventory	1,490,400	1,464,900	1,497,200	1,792,800
Inventories Adjustments Allowances	-92,000	-104,700	-118,900	-179,100
Finished Goods	962,100	962,200	911,400	1,122,700
Raw Materials	620,300	607,400	704,700	849,200
Receivables	3,596,600	3,028,300	3,021,100	2,882,200
Other Receivables	117,400
Taxes Receivable	229,800	163,300	186,900	184,100
Accounts Receivable	3,249,400	2,865,000	2,834,200	2,698,100
Allowance For Doubtful Accounts Receivable	-116,800	-122,500	-149,000	-130,900
Gross Accounts Receivable	3,366,200	2,987,500	2,983,200	2,829,000
Cash Cash Equivalents And Short Term Investments	646,200	1,256,800	919,500	598,600
Cash And Cash Equivalents	646,200	1,256,800	919,500	598,600
Cash Financial					359,900

Cash Flow

	2025	2024	2023	2022	2021
Free Cash Flow	1,904,300	1,819,400	1,637,000	1,075,600
Repurchase Of Capital Stock	-783,800	-986,500	-13,700	-518,200
Repayment Of Debt	-674,200	-630,400	-500,000	0
Issuance Of Debt	1,045,600	0	0	494,000
Capital Expenditure	-1,048,300	-994,500	-774,800	-712,800
Interest Paid Supplemental Data	302,600	342,600	324,800	222,400
Income Tax Paid Supplemental Data	548,100	647,400	469,200	308,900
End Cash Position	646,200	1,256,800	919,500	598,600
Beginning Cash Position	1,256,800	919,500	598,600	359,900
Effect Of Exchange Rate Changes	-2,700	-18,700	-45,700	4,400
Changes In Cash	-607,900	356,000	366,600	234,300
Financing Cash Flow	-853,300	-2,024,100	-1,054,700	-837,300
Cash Flow From Continuing Financing Activities	-853,300	-2,024,100	-1,054,700	-837,300
Net Other Financing Charges	-13,700	-4,200	-18,600	164,900
Proceeds From Stock Option Exercised	228,200	259,400	96,800	29,100
Cash Dividends Paid	-753,600	-664,300	-617,300	-602,800
Common Stock Dividend Paid	-753,600	-664,300	-617,300	-602,800
Net Common Stock Issuance	-783,800	-986,500	-13,700	-518,200
Common Stock Payments	-783,800	-986,500	-13,700	-518,200
Net Issuance Payments Of Debt	469,600	-628,500	-501,900	89,700
Net Short Term Debt Issuance	98,200	1,900	-1,900	-404,300
Net Long Term Debt Issuance	371,400	-630,400	-500,000	494,000
Long Term Debt Payments	-674,200	-630,400	-500,000	0
Long Term Debt Issuance	1,045,600	0	0	494,000
Investing Cash Flow	-2,707,200	-433,800	-990,500	-716,800
Cash Flow From Continuing Investing Activities	-2,707,200	-433,800	-990,500	-716,800
Net Other Investing Changes	-75,000	-27,400	-45,200	1,000
Net Business Purchase And Sale	-1,636,200	576,800	-180,400	-7,200
Sale Of Business		889,700	0	0	0
Purchase Of Business	-1,636,200	-312,900	-180,400	-7,200
Net PPE Purchase And Sale	52,300	11,300	9,900	2,200
Sale Of PPE	52,300	11,300	9,900	2,200
Capital Expenditure Reported	-1,048,300	-994,500	-774,800	-712,800
Operating Cash Flow	2,952,600	2,813,900	2,411,800	1,788,400
Cash Flow From Continuing Operating Activities	2,952,600	2,813,900	2,411,800	1,788,400
Change In Working Capital	-206,200	176,100	162,700	-276,700
Change In Other Current Liabilities	-208,000	162,700	86,800	329,300
Change In Other Current Assets	83,600	-24,300	72,200	-278,200
Change In Payables And Accrued Expense	67,700	300,000	-232,300	394,700
Change In Payable	67,700	300,000	-232,300	394,700
Change In Account Payable	67,700	300,000	-232,300	394,700
Change In Inventory	36,400	-115,600	320,300	-402,900
Change In Receivables	-185,900	-146,700	-84,300	-319,600
Changes In Account Receivables	-185,900	-146,700	-84,300	-319,600
Other Non Cash Items	-30,200	-6,400	-110,000	26,800
Stock Based Compensation	136,600	134,800	95,100	87,800
Deferred Tax	-33,400	-190,500	-55,700	-142,600
Deferred Income Tax	-33,400	-190,500	-55,700	-142,600
Depreciation Amortization Depletion	976,400	935,400	923,600	938,700
Depreciation And Amortization	976,400	935,400	923,600	938,700
Amortization Cash Flow	303,800	300,500	306,900	320,200
Amortization Of Intangibles	303,800	300,500	306,900	320,200
Depreciation	672,600	634,900	616,700	618,500
Operating Gains Losses	16,100	-367,400	3,100	45,500
Pension And Employee Benefit Expense	15,000	14,300	3,100	45,500
Gain Loss On Sale Of Business	1,100	-381,700	0	0
Net Income From Continuing Operations	2,093,300	2,131,900	1,393,000	1,108,900

These metrics estimate what Ecolab Inc. is worth based on its fundamentals — independent of what the market currently prices it at. Graham's Fair Value and NCAV are conservative floors rooted in 1930s–60s principles. EPV assumes zero growth. None are price targets — they are reference points for judging whether the current price offers a margin of safety.

Graham's Fair Value

$75.28

Margin of Safety

Market Cap ÷ Company Value

1.75

P/B Ratio

7.39

Warren's Owner Earnings

$4.1B

Latest fiscal year

Graham's 7 Criteria

Defensive Investor Checklist

4/7 — Enterprising Investor

✅ Adequate Size

$16.1B

vs > $1.5B revenue

❌ Strong Financial Condition

1.08x

vs Current Ratio > 2.0x

✅ Earnings Stability

No loss years (4 yrs data)

vs No negative EPS years

✅ Dividend Record

1.06%

vs Uninterrupted dividends

✅ Earnings Growth

+91.1% EPS growth

vs > 33% EPS growth

❌ Moderate P/E Ratio

34.5x

vs P/E ≤ 15.0x

❌ Moderate Price-to-Book

7.39x P/B (P/E×P/B: 255.2)

vs P/B ≤ 1.5x | P/E × P/B ≤ 22.5

Net Current Asset Value

$-31.64

Negative NCAV — liabilities exceed current assets. Common in capital-return businesses (buybacks, debt-funded dividends) and capital-intensive industries. Not automatically a warning sign.

"Buy at two-thirds of net current assets." — Graham

Earnings Power Value

$113.80

Per share, no-growth floor. Compare to current price.

Cash Flow Analysis

Metric	2025	2024	2023	2022	2021
Capital Expenditure % of Net Income	50.5%	47.1%	56.5%	65.3%	N/A
Repurchase of Capital Stock	-$784M	-$986M	-$14M	-$518M	N/A
Free Cash Flow	$1.9B ▲	$1.8B ▲	$1.6B ▲	$1.1B •	N/A •
Warren's Owner Earnings	$4.1B	$4.0B	$3.1B	$2.7B	N/A

Peers & Industry

No auto-detected peers for Specialty Chemicals. You can manually compare ECL against any stock using the Compare tool.

"The management of a business is its most important single factor — more important than market position, patents, or financial structure."

— Benjamin Graham

Capital Allocation & Alignment

Insider Ownership

0.15%

Low — management has little skin in the game

Return on Equity (ROE)

21.2%

Excellent — management generates strong returns on equity

Return on Assets (ROA)

8.4%

Strong — management uses assets efficiently

Share Buybacks (Latest Year)

$784M

Management is returning capital to shareholders via buybacks

Debt Trend YoY

+8.6% YoY

Debt is roughly stable

Leadership Team

Christophe Beck

CEO, President & Chairman of the Board

Age 57

Pay: $5,176,049

0.249% of net income

Scott Kirkland

Chief Financial Officer

Age 51

Pay: $2,242,960

0.108% of net income

Margeaux King

Executive Vice President of Human Resources

Age 47

Pay: $1,149,631

0.055% of net income

Darrell Brown

Co-Chief Operating Officer of Global Markets

Age 61

Pay: $2,416,925

0.116% of net income

Gregory Russell Cook

Co-Chief Operating Officer of Global Businesses

Age 56

Pay: $1,604,355

0.077% of net income

Top Institutional Holders

Institution	% Owned	Shares
Vanguard Group Inc	8.97%	25,327,693
Blackrock Inc.	8.00%	22,589,155
State Street Corporation	3.93%	11,094,553
JPMORGAN CHASE & CO	3.76%	10,622,035
Morgan Stanley	2.79%	7,883,084
Geode Capital Management, LLC	2.00%	5,635,339
Gates Foundation Trust	1.85%	5,218,044
Capital World Investors	1.38%	3,894,309

⚠️ Current ratio below 1 — liquidity risk

Risk Analysis

Beta (Market Risk)

0.93

Low volatility — more stable than the market

Short Interest

1.3% of float

Low short interest — market is not heavily bearish

Debt-to-Equity

0.91x

Conservative balance sheet — low financial risk

Current Ratio

0.99x

Weak liquidity — current liabilities exceed current assets

52-Week Price Range

Low: $249.04 Current: $255.59 High: $309.27

Currently at 11% of 52-week range

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