Olin (NYSE:OLN) Trading 7.2% Higher – Still a Buy?

Olin Corporation (NYSE:OLN) rose 7.2% during trading on Tuesday . The stock traded as high as $27.22 and last traded at $27.0690. Approximately 906,400 shares traded hands during mid-day trading, a decline of 72% from the average daily volume of 3,288,917 shares. The stock had previously closed at $25.26.

Wall Street Analysts Forecast Growth

A number of equities analysts have weighed in on the stock. Royal Bank Of Canada reduced their price objective on shares of Olin from $24.00 to $21.00 and set a “sector perform” rating for the company in a research report on Monday, February 2nd. Deutsche Bank Aktiengesellschaft reissued a “hold” rating and set a $26.00 target price on shares of Olin in a research note on Tuesday, February 10th. KeyCorp reduced their price target on shares of Olin from $29.00 to $26.00 and set an “overweight” rating for the company in a research report on Monday, February 2nd. Mizuho raised their price target on shares of Olin from $22.00 to $24.00 and gave the company a “neutral” rating in a research note on Tuesday, February 17th. Finally, BMO Capital Markets lowered their price objective on Olin from $25.00 to $24.00 and set a “market perform” rating on the stock in a report on Tuesday, February 3rd. One equities research analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, twelve have assigned a Hold rating and three have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and an average price target of $23.73.

Olin Stock Up 9.2%

The stock has a market capitalization of $3.13 billion, a price-to-earnings ratio of -72.54 and a beta of 1.56. The company has a quick ratio of 0.73, a current ratio of 1.21 and a debt-to-equity ratio of 1.45. The business’s 50-day moving average is $24.23 and its two-hundred day moving average is $22.93.

Olin (NYSE:OLN) last released its quarterly earnings data on Thursday, January 29th. The specialty chemicals company reported ($0.58) EPS for the quarter, meeting analysts’ consensus estimates of ($0.58). The company had revenue of $1.67 billion during the quarter, compared to the consensus estimate of $1.61 billion. Olin had a negative net margin of 0.63% and a negative return on equity of 0.48%. Olin’s quarterly revenue was down .4% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.09 EPS. Equities analysts anticipate that Olin Corporation will post 1.38 EPS for the current year.

Olin Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, March 13th. Stockholders of record on Tuesday, March 3rd were given a dividend of $0.20 per share. The ex-dividend date of this dividend was Tuesday, March 3rd. This represents a $0.80 annualized dividend and a dividend yield of 2.9%. Olin’s payout ratio is presently -210.53%.

Insider Activity at Olin

In related news, CFO Todd A. Slater sold 92,250 shares of the company’s stock in a transaction dated Tuesday, February 3rd. The shares were sold at an average price of $22.48, for a total value of $2,073,780.00. Following the completion of the sale, the chief financial officer owned 44,291 shares of the company’s stock, valued at approximately $995,661.68. This represents a 67.56% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. Also, VP Angela M. Castle sold 2,379 shares of Olin stock in a transaction dated Tuesday, February 24th. The stock was sold at an average price of $24.25, for a total transaction of $57,690.75. Following the transaction, the vice president directly owned 1,528 shares in the company, valued at $37,054. This trade represents a 60.89% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 99,379 shares of company stock valued at $2,238,298. 1.60% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in OLN. Choreo LLC purchased a new position in Olin in the third quarter valued at approximately $726,000. Thrivent Financial for Lutherans lifted its position in shares of Olin by 6.9% during the 3rd quarter. Thrivent Financial for Lutherans now owns 1,639,624 shares of the specialty chemicals company’s stock worth $40,974,000 after buying an additional 105,484 shares during the last quarter. V. M. Manning & CO. Inc. purchased a new stake in shares of Olin during the 2nd quarter worth approximately $989,000. Invenomic Capital Management LP acquired a new position in shares of Olin in the 3rd quarter valued at $5,761,000. Finally, Prudential Financial Inc. grew its position in shares of Olin by 5,469.7% in the 2nd quarter. Prudential Financial Inc. now owns 588,323 shares of the specialty chemicals company’s stock valued at $11,819,000 after buying an additional 577,760 shares during the last quarter. 88.67% of the stock is currently owned by institutional investors and hedge funds.

About Olin

Olin Corporation is a diversified manufacturer specializing in chemical products and ammunition. The company’s core business activities encompass the production and distribution of chlor-alkali products, epoxy resins and derivatives, and small-caliber ammunition under the Winchester brand. Olin’s chemical operations supply chlorine, caustic soda and related co-products to a wide range of end markets, including water treatment, pulp and paper, pharmaceuticals and general industrial applications.

In its Chlor Alkali Products & Vinyls segment, Olin operates multiple manufacturing facilities that produce chlorine and sodium hydroxide, along with vinyl chloride monomer and polyvinyl chloride (PVC) compounds.