Innospec Inc.
- Open
- 81.48
- Day high
- 82.52
- Day low
- 80.92
- Prev close
- 81.39
- Volume
- 65K
- Mkt cap
- $2.0B
- P/E (TTM)
- 17.9
- EPS (TTM)
- $4.60
- P/B
- 1.5
- P/S
- 1.1
- Yield
- 2.18%
- Per share
- $1.79
Innospec Inc. (IOSP) is a Basic Materials company listed on NASDAQ. The stock is down 7% over the past year.
Innospec Inc. (IOSP) financials & analyst ratings
Fundamentals (TTM)
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
IOSP earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| May 8, 2026 | $1.02 | $1.05 | +2.9% | $453M | +4.9% |
| Feb 17, 2026 | $1.26 | $1.50 | +19.0% | $456M | -1.3% |
| Nov 4, 2025 | $1.03 | $1.12 | +8.7% | $442M | -4.1% |
| May 8, 2025 | $1.40 | $1.42 | +1.4% | $441M | -5.7% |
| Feb 18, 2025 | $1.36 | $1.41 | +3.7% | $467M | +4.3% |
| May 9, 2024 | $1.64 | $1.75 | +6.7% | $500M | -0.8% |
| Feb 13, 2024 | $1.62 | $1.84 | +13.6% | $495M | +3.2% |
| May 3, 2023 | $1.17 | $1.38 | +17.9% | $510M | +2.6% |
| Feb 21, 2023 | $1.40 | $1.20 | -14.3% | $511M | +5.7% |
| Aug 2, 2022 | $1.36 | $1.58 | +16.2% | $468M | +7.5% |
| May 3, 2022 | $1.19 | $1.53 | +28.6% | $472M | +18.8% |
| Feb 15, 2022 | $1.01 | $1.30 | +28.7% | $413M | +9.5% |
IOSP insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Mar 6, 2026 | PADFIELD Larrydirector | Sell | 307 | $76.79 |
| Mar 6, 2026 | Poccia Claudiadirector | Sell | 57 | $76.30 |
| Mar 6, 2026 | Blackmore Milton Cdirector | Sell | 307 | $76.79 |
| Mar 6, 2026 | LANDLESS DAVIDdirector | Sell | 307 | $76.79 |
| Mar 6, 2026 | LANDLESS DAVIDdirector | Sell | 287 | $76.30 |
| Mar 6, 2026 | Poccia Claudiadirector | Sell | 62 | $76.79 |
| Mar 6, 2026 | PADFIELD Larrydirector | Sell | 287 | $76.30 |
| Mar 6, 2026 | Blackmore Milton Cdirector | Sell | 287 | $76.30 |
| Mar 6, 2026 | Cleminson Ianofficer: EVP & CFO | Sell | 1,149 | $76.30 |
| Mar 6, 2026 | Cleminson Ianofficer: EVP & CFO | Sell | 1,231 | $76.79 |
| Mar 3, 2026 | Jones David B.officer: SVP, GC & CCO | Sell | 1,028 | $75.64 |
| Mar 3, 2026 | LANDLESS DAVIDdirector | Sell | 594 | $76.56 |
| Mar 3, 2026 | GRIFFIN HARDY LOUIS IIIofficer: SVP, HUMAN RESOURCES | Tax | 401 | $78.34 |
| Mar 3, 2026 | Jones David B.officer: SVP, GC & CCO | Tax | 875 | $78.34 |
| Mar 3, 2026 | Poccia Claudiadirector | Sell | 119 | $76.56 |
Source: IOSP SEC Form 4 filings, latest Mar 6, 2026. For informational purposes only — not investment advice.
See the full IOSP insider & 13F page →Innospec Inc. company profile
Overview
Innospec Inc. (NASDAQ:IOSP) is a specialty chemicals company founded in 1938 and headquartered in Englewood, Colorado. Originally known as Octel Corp., the company changed its name to Innospec in 2006 and went public in 1998. The company has evolved from its historical roots in fuel additives to become a diversified specialty chemicals manufacturer serving global markets across fuel, personal care, industrial, and oilfield applications.
Business
Innospec operates as a specialty chemicals company across three distinct business segments, each serving different end markets with specialized chemical formulations and solutions. Fuel Specialties (approximately 38% of revenue) develops and manufactures chemical additives that are blended into various fuels to improve their performance and environmental characteristics. These additives help automotive, marine, and aviation engines run more efficiently, reduce emissions, and prevent fuel degradation. The segment also serves power generation facilities and heating oil applications. Products include antioxidants, metal deactivators, thermal stability improvers, and biocide treatments that extend fuel shelf life and optimize combustion. Performance Chemicals (approximately 35% of revenue) provides specialty ingredients primarily for personal care, home care, agrochemical, and industrial applications. In personal care, the company produces surfactants, conditioning agents, and specialty polymers used in shampoos, skin care products, and cosmetics. For home care, it manufactures cleaning agents and fabric care ingredients. The agrochemical portfolio includes adjuvants and formulation aids that help pesticides and herbicides work more effectively. Industrial applications include metal extraction chemicals and specialty solvents. Oilfield Services (approximately 27% of revenue) develops chemical solutions for oil and gas exploration and production operations. This includes fracturing chemicals used in hydraulic fracturing operations, completion fluids for well preparation, production chemicals that optimize oil and gas flow, and drilling mud additives that prevent fluid loss during drilling operations. The segment serves exploration and production companies, oilfield service companies, and drilling contractors primarily in North and South America.
Revenue model
Innospec generates revenue primarily through direct product sales to industrial customers across its three business segments. The company operates as a business-to-business specialty chemicals manufacturer, selling formulated chemical products at premium prices due to their specialized nature and technical performance characteristics. In Fuel Specialties, the company sells additives to oil refineries, fuel blenders, and large fuel users who incorporate these chemicals into their fuel products. Revenue is driven by volume sales with pricing typically based on the value delivered through improved fuel performance and regulatory compliance. In Performance Chemicals, customers include personal care product manufacturers, household product companies, agrochemical formulators, and industrial processors who purchase specialty ingredients for their own manufacturing processes. Oilfield Services generates revenue by selling chemical solutions directly to oil and gas exploration companies and oilfield service contractors, with demand closely tied to drilling activity and production levels. The company's margins are influenced by several key factors. Raw material costs, particularly petroleum-derived feedstocks, can significantly impact profitability as these represent a substantial portion of manufacturing costs. Pricing power varies by segment, with Performance Chemicals and Fuel Specialties generally commanding higher margins due to their specialized nature and customer switching costs. Oilfield Services margins are more volatile, fluctuating with oil and gas activity levels and competitive dynamics. Currency fluctuations affect results given the company's global operations, while regulatory changes, particularly environmental regulations, can both create opportunities for new products and increase compliance costs. Manufacturing efficiency and capacity utilization also directly impact margins, as specialty chemicals production often involves complex, capital-intensive processes with significant fixed costs.
Competitive moat
Innospec's competitive position is moderately strong but varies significantly across its business segments. The company benefits from several defensive characteristics that provide some protection against competition. In Fuel Specialties, the company has developed a relatively strong moat through technical expertise, regulatory compliance capabilities, and established customer relationships. Fuel additive formulations require extensive testing and regulatory approval, creating barriers to entry. Customer switching costs are meaningful as fuel producers must re-qualify new additives through lengthy testing processes. The company's global manufacturing footprint and technical service capabilities also provide competitive advantages. Performance Chemicals operates in a more competitive landscape but maintains differentiation through innovation in specialty formulations, particularly in personal care applications. The recent focus on sulfate-free and 1,4-dioxane-free technologies addresses growing consumer and regulatory demands, providing some competitive protection. However, this segment faces pressure from larger chemical companies and faces ongoing challenges from customer inventory management and economic sensitivity. Oilfield Services represents the company's weakest competitive position, operating in a highly cyclical and competitive market. The segment lacks significant differentiation and is heavily dependent on oil and gas activity levels. Political and operational challenges in key Latin American markets have further weakened this segment's position. The company has limited pricing power and faces competition from both large oilfield service companies and regional players. Overall, while Innospec has some competitive advantages through technical expertise and customer relationships, its moat is not particularly deep or durable, especially given the cyclical nature of key end markets and the competitive dynamics in specialty chemicals.
Risks & safety
Innospec maintains a strong financial position with significant margin of safety characteristics, though profitability has been pressured by operational challenges. • Liquidity and Solvency: Excellent financial position with $289.2 million in cash and minimal debt ($45.2 million total debt), providing substantial financial flexibility. Current ratio of 2.58 indicates strong short-term liquidity. • Cash Generation: Strong cash flow generation with $184.5 million from operations in 2024 and $143.1 million in free cash flow, despite earnings pressures. No significant cash burn concerns. • Valuation Metrics: Trading at reasonable multiples with P/E ratio of 77.1x (elevated due to temporarily depressed earnings) and EV/EBITDA of 11.1x. Price-to-book ratio of 2.27x reflects moderate premium to book value. • Other Considerations: Dividend yield provides income support with 10% annual increases. However, earnings volatility due to cyclical Oilfield Services segment and margin pressures in core segments present ongoing risks to profitability consistency.
Recent development
Over the past few years, Innospec has pursued several strategic initiatives aimed at diversifying its portfolio and improving operational performance. The company completed the acquisition of QGP Quimica in Brazil in December 2023, expanding its Performance Chemicals footprint in South America and adding capabilities in personal care ingredients. This acquisition aligns with the company's strategy to grow its higher-margin, less cyclical businesses. The company has made significant investments in expanding its Performance Chemicals manufacturing capacity, including a $70 million capacity expansion program focused on personal care and specialty applications. Management has prioritized developing cleaner, more sustainable product formulations, particularly sulfate-free and 1,4-dioxane-free technologies for personal care applications, responding to evolving consumer preferences and regulatory requirements. In Fuel Specialties, the company has focused on technologies that enable cleaner fuels, reduce emissions, and improve operational efficiency. This includes expanding applications beyond traditional fuel additives into renewable fuel markets and exploring opportunities in non-fuel applications. The Oilfield Services segment has faced significant challenges, particularly from political and operational issues affecting its Latin American operations. The company has responded by diversifying geographically, expanding its presence in the Middle East and focusing on higher-value products like drag reducing agents (DRA) and production chemicals. However, this segment continues to operate at significantly reduced activity levels compared to historical performance. Management has also completed a UK pension scheme buyout, eliminating long-term pension obligations and reducing financial complexity. The company has maintained its commitment to returning cash to shareholders through consistent dividend increases and has explored share buyback opportunities while maintaining substantial cash reserves for growth investments and acquisitions.
IOSP company profile · for informational purposes only — not investment advice.
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