Cabot Corporation
- Open
- 83.74
- Day high
- 83.80
- Day low
- 82.01
- Prev close
- 83.65
- Volume
- 351K
- Mkt cap
- $4.3B
- P/E (TTM)
- 22.9
- EPS (TTM)
- $3.61
- P/B
- 2.7
- P/S
- 1.2
- Yield
- 2.23%
- Per share
- $1.84
- ▼Insiders net selling -$8.2M over the last 3 months (0 open-market buys, 2 sales)
- 🏛Institutions accumulating (13F)
Cabot Corporation (CBT) is a Basic Materials company listed on NYSE. The stock is up 2% over the past year. Over the trailing 3 months, insiders filed 0 open-market buys and 2 sales (SEC Form 4). Drillr has 1 published research article covering CBT.
Cabot Corporation (CBT) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 4 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
CBT earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Aug 4, 2026 | $1.65 | $1.67 | +1.2% | $982M | +4.1% |
| May 6, 2026 | $1.47 | $1.61 | +9.5% | $904M | +0.4% |
| Feb 3, 2026 | $1.40 | $1.53 | +9.3% | $849M | -4.8% |
| Feb 3, 2025 | $1.74 | $1.76 | +1.1% | $955M | -6.9% |
| Feb 9, 2023 | $0.97 | $0.98 | +1.0% | $965M | +1.0% |
| May 2, 2022 | $1.42 | $1.69 | +19.0% | $1.1B | +16.9% |
| Jan 31, 2022 | $1.06 | $1.29 | +21.7% | $968M | +11.2% |
| May 3, 2021 | $0.97 | $1.38 | +42.3% | $842M | +5.0% |
| Feb 1, 2021 | $0.88 | $1.18 | +34.1% | $746M | +6.9% |
| Nov 23, 2020 | $0.58 | $0.68 | +17.2% | $659M | -61.2% |
| Aug 6, 2020 | $-0.02 | $-0.07 | -319.9% | $518M | +250.0% |
| Feb 3, 2020 | $0.73 | $0.69 | -5.5% | $727M | -5.5% |
CBT insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Aug 26, 2026 | Keohane Sean Ddirector, officer: President and CEO | Sell | 2,779 | $85.50 |
| Aug 26, 2026 | Keohane Sean Ddirector, officer: President and CEO | Option | 2,779 | $50.00 |
| Aug 11, 2026 | Keohane Sean Ddirector, officer: President and CEO | Option | 91,923 | $62.24 |
| Aug 11, 2026 | Keohane Sean Ddirector, officer: President and CEO | Sell | 91,923 | $86.41 |
| Jul 2, 2026 | Keohane Sean Ddirector, officer: President and CEO | Grant | 84 | — |
| Jul 2, 2026 | Nathoo Raffiqdirector | Grant | 262 | — |
| Jun 16, 2026 | Masterson William F IIIofficer: Senior Vice President | Grant | 3 | — |
| Jun 16, 2026 | McLaughlin Ericaofficer: Executive Vice President, CFO | Grant | 55 | — |
| Jun 16, 2026 | Dumont Lisa Mofficer: VP, Controller & CAO | Grant | 4 | — |
| Jun 16, 2026 | DELGROSSO DOUGLAS Gdirector | Grant | 28 | — |
| Jun 16, 2026 | Kalita Karen Aofficer: SVP and General Counsel | Grant | 28 | — |
| Jun 16, 2026 | Keohane Sean Ddirector, officer: President and CEO | Grant | 256 | — |
| Jun 16, 2026 | Nathoo Raffiqdirector | Grant | 9 | — |
| Apr 1, 2026 | Nathoo Raffiqdirector | Grant | 315 | — |
| Mar 17, 2026 | Masterson William F IIIofficer: Senior Vice President | Grant | 3 | — |
Source: CBT SEC Form 4 filings, latest Aug 26, 2026. For informational purposes only — not investment advice.
See the full CBT insider & 13F page →Cabot Corporation company profile
Overview
Cabot Corporation (NYSE:CBT) is a specialty chemicals and performance materials company founded in 1882 and headquartered in Boston, Massachusetts. The company has evolved from its origins as a carbon black manufacturer into a diversified specialty chemicals enterprise serving critical industrial markets worldwide. Cabot operates through three main business segments: Reinforcement Materials, Performance Chemicals, and Purification Solutions, with a global manufacturing footprint spanning the Americas, Europe, Middle East, Africa, and Asia Pacific regions.
Business
Cabot Corporation operates in the specialty chemicals industry, producing advanced materials that serve as critical components in numerous industrial and consumer applications. The company's business is organized into three primary segments: Reinforcement Materials represents the largest segment, generating approximately 60-65% of total revenues. This division produces reinforcing carbon blacks, which are fine particles of carbon that serve as rubber reinforcing agents in tire manufacturing. These materials significantly improve tire durability, performance, and safety characteristics. The segment also produces specialty carbon blacks for industrial applications including hoses, belts, and molded rubber goods, as well as engineered elastomer composites that combine rubber with reinforcing materials. Performance Chemicals accounts for roughly 25-30% of revenues and encompasses a diverse portfolio of specialty materials. This includes specialty carbons used in inks, coatings, plastics, adhesives, printer toners, batteries, and electronic displays. The segment also produces masterbatch and conductive compounds for automotive, packaging, and electronics applications, inkjet colorants for printing, fumed silica for adhesives and cosmetics, fumed alumina for various industrial applications, and aerogel materials for thermal insulation. A key growth area within this segment is battery materials, specifically carbon nanotubes used in lithium-ion battery electrodes to improve conductivity and performance. Purification Solutions represents the smallest segment at approximately 10-15% of revenues, focusing on activated carbon products used for purifying water, air, food and beverages, pharmaceuticals, and other liquids and gases. This segment also provides activated carbon injection systems for coal-fired utilities and carbon reactivation services.
Revenue model
Cabot Corporation generates revenue primarily through direct product sales to industrial customers, operating on a business-to-business model across its three segments. The company's customers include tire manufacturers, automotive companies, electronics manufacturers, battery producers, pharmaceutical companies, water treatment facilities, and various industrial manufacturers. The Reinforcement Materials segment operates on long-term supply contracts with tire manufacturers, often involving annual pricing negotiations. Revenue is driven by volume sales and pricing power, with margins influenced by raw material costs (primarily feedstock oils), energy prices, and supply-demand dynamics in regional markets. The segment benefits from the essential nature of carbon black in tire manufacturing and limited global production capacity. Performance Chemicals generates revenue through specialty product sales with typically higher margins than commodity chemicals. This segment's profitability is influenced by product mix, with higher-value applications like battery materials commanding premium pricing. Raw material costs, manufacturing efficiency, and technological differentiation significantly impact margins. The growing electric vehicle market and semiconductor industry provide tailwinds for specialty applications. Purification Solutions operates on both product sales and service-based revenue models, including equipment sales, consumable activated carbon products, and ongoing maintenance services. Margins are affected by activated carbon raw material costs, energy prices for reactivation processes, and competitive dynamics in water and air treatment markets. Key factors that could increase margins include: growing demand for electric vehicle battery materials, tightening environmental regulations driving demand for purification solutions, successful pricing negotiations in tire markets, and operational efficiency improvements. Margin pressures could arise from: volatile feedstock and energy costs, increased competition from Asian producers, economic downturns affecting tire and automotive demand, and potential oversupply in specialty chemicals markets.
Competitive moat
Cabot Corporation possesses a moderate competitive moat built primarily on technological expertise, global scale, and customer relationships, though this moat faces ongoing challenges from competition and market dynamics. The company's strongest competitive advantages lie in its technical know-how accumulated over 140+ years in carbon chemistry and materials science, particularly in carbon black production where process optimization and quality control create significant barriers to entry. The Reinforcement Materials segment benefits from high switching costs for tire manufacturers, who must extensively test and validate new carbon black suppliers due to safety and performance requirements. Cabot's global manufacturing footprint provides geographic diversification and supply chain reliability that customers value. The company's long-standing relationships with major tire manufacturers and multi-year supply contracts provide some revenue stability. In Performance Chemicals, Cabot's moat is more fragmented but includes specialized applications where technical expertise and customer collaboration create switching costs. The battery materials business represents a potential moat expansion, as Cabot works directly with battery manufacturers to develop customized carbon nanotube solutions, though this market remains competitive with several established players. However, the company's moat faces meaningful challenges. The carbon black industry has significant overcapacity globally, particularly from lower-cost Asian producers, which pressures pricing power. Commodity-like characteristics in some product lines limit differentiation opportunities. Environmental regulations and sustainability trends could potentially disrupt traditional carbon black applications, though they may also create new opportunities in cleaner technologies. The Purification Solutions segment operates in a more commoditized activated carbon market with numerous competitors, offering limited moat characteristics. Overall, while Cabot maintains competitive advantages in specific applications and customer relationships, the company operates in mature, cyclical markets where sustained premium pricing remains challenging.
Risks & safety
Cabot Corporation demonstrates a moderate margin of safety with solid financial fundamentals but some cyclical vulnerabilities. Liquidity and Solvency: 1. Current ratio of 1.96 indicates adequate short-term liquidity coverage 2. Cash and short-term investments of $213 million provide reasonable liquidity buffer 3. Debt-to-equity ratio of 0.90 represents manageable leverage levels 4. Investment-grade balance sheet with consistent cash generation capabilities 5. Recent quarters show negative free cash flow (-$26 million Q2 2025) due to capital investments, though operating cash flow remains positive Valuation Metrics: 1. P/E ratio of 11.9 suggests reasonable valuation relative to earnings 2. EV/EBITDA of 6.7 indicates moderate valuation for a specialty chemicals company 3. Price-to-book ratio of 3.1 reflects some premium to tangible assets 4. Graham number analysis suggests potential undervaluation at current levels Other Considerations: - Cyclical nature of tire and automotive end markets creates earnings volatility - Capital-intensive business requiring ongoing maintenance and growth investments - Exposure to commodity input cost fluctuations affects margin predictability - Strong market positions in essential industrial applications provide some downside protection
Recent development
Over the past few years, Cabot Corporation has pursued its "Creating for Tomorrow" strategy focused on three pillars: grow, innovate, and optimize. The company has made significant strategic investments in high-growth areas, particularly battery materials for electric vehicles, where it has tripled production capacity and now serves six of the top eight global battery manufacturers. Cabot received a $50 million Department of Energy grant to develop U.S.-based battery-grade carbon nanotubes manufacturing, positioning the company for the domestic electric vehicle supply chain. The company has expanded its global manufacturing footprint with new reinforcement materials capacity in Indonesia, expected to provide meaningful contribution starting in late 2025. Cabot has also launched its EVOLVE Sustainable Solutions technology platform, introducing products like universal circular black masterbatches and PROPEL E8 engineered reinforcing carbon black for electric vehicle tires. Sustainability initiatives have become central to Cabot's strategy, with the company achieving 9 of 14 sustainability goals ahead of schedule, including exporting 200% of imported energy through cogeneration facilities. The company has committed to net-zero emissions by 2050 and consistently earned platinum ratings from EcoVadis for environmental performance. Financially, Cabot has maintained disciplined capital allocation, generating strong cash flows while returning significant capital to shareholders through dividends and share repurchases. The company has targeted 7-10% adjusted earnings per share compound annual growth over the next three years, supported by growth in battery materials, continued strength in reinforcement materials, and operational optimization initiatives.
CBT company profile · for informational purposes only — not investment advice.
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