Some Investing Thoughts On Olin Corporation (NYSE: OLN)

Boston Partners Global Investors, has recently announced that it has increased stake in Olin Corporation (NYSE:OLN) by 24.93%. After grabbing 4.45 million shares, the institutional investor is now in possession of 0.89 million shares of the Basic Materials Company. The new investment brought the stake of investor firm to 3.38% having worth around $257.08 million.

Olin Corporation (OLN) concluded trading on 03/16/23 at a closing price of $52.00, with 1.6 million shares of worth about $82.99 million changed hands on the day. Half year performance of the stock remained positive as price took a surge of 4.48% during that period and on Thursday the price saw a gain of about 3.59%. Currently the company’s common shares owned by public are about 134.70M shares, out of which, 130.98M shares are available for trading.

According to filings with the U.S. Securities and Exchange Commission (SEC), insiders took part in trade of the company’s stock for 48 times over the past 12 months. They bought 231,798 shares in 23 of the transactions. In 25 selling transactions, insiders dumped 2,732,406 shares.

Vanguard Total Stock Market Index, iShares Core S&P Mid Cap ETF, and Vanguard Small Cap Index Fund are the top 3 mutual funds which are holding stakes in Olin Corporation Vanguard Total Stock Market Index is currently holding 4.19 million shares of worth totaling $242.07 million. The company recently came buying 30642.0 shares which brought its stake up to 3.19% of the company’s outstanding shares. iShares Core S&P Mid Cap ETF bought 9012.0 shares, after which its hold over company’s outstanding shares expand to 3.02%, leaving 3.98 million shares with the mutual fund that have a worth of about $229.59 million. Vanguard Small Cap Index Fund, after buying 3.55 million shares, have now control over 2.70% of the stake in the company. It holds 19430.0 shares of worth $204.92 million.

Olin Corporation (NYSE: OLN) started trading at $49.54, below -$0.66 from concluding price of the previous day. However, the stock later moved at a day high price of 52.16, or with a gain of 3.59%. Stock saw a price change of -5.32% in past 5 days and over the past one month there was a price change of -16.07%. Year-to-date (YTD), OLN shares are showing a performance of -1.78% which increased to 3.48% when we look at its performance for past 12 months. Over the period of past 52 weeks, stock dropped to lowest price of $41.33 but also hit the highest price of $67.25 during that period. The average intraday trading volume for Olin Corporation shares is 1.35 million. The stock is currently trading -10.01% below its 20-day simple moving average (SMA20), while that difference is down -10.86% for SMA50 and it goes to -3.63% lower than SMA200.

Boston Partners Global Investors, acquired 4.45 million shares of Olin Corporation having value of about $257.08 million. Data submitted at the U.S SEC by Boston Partners Global Investors, revealed that the firm now holds 0.89 million shares in the company valued at close to $46187492.0, or have control over 24.93% stake in the company. Olin Corporation (NYSE: OLN) currently have 134.70M outstanding shares and institutions hold larger chunk of about 90.70% of that. Holding of mutual funds in the company is about 37.82% while other institutional holders and individual stake holders have control over 50.74% and 2.22% of the stake respectively.

The stock has a current market capitalization of $7.07B and its 3Y-monthly beta is at 1.46. PE ratio of stock for trailing 12 months is 5.88, while it has posted earnings per share of $8.85 in the same period. Its PEG reads 0.29 and has Quick Ratio of 0.80 while making debt-to-equity ratio of 1.01. Volatility of a stock is a metric used to know how much the price of that stock is under influence and for OLN, volatility over the week remained 3.87% while standing at 3.03% over the month.

Analysts are in expectations that Olin Corporation (OLN) stock would likely to be making an EPS of $1.33 in the current quarter, while forecast for next quarter EPS is $1.46 and it is $7.72 for next year. For the current quarter EPS, analysts have given the company a lowest target $1.24 which is $1.4 at the higher side of the target for the same. When we compare those targets with actual EPS, we find that company posted an EPS of $2.5 in the same quarter a year ago. Stock’s fiscal year EPS is expected to rise by 12.30% while it is estimated to increase by 34.11% in next year. EPS is likely to shrink at an annualized rate of 20.47% for next 5-years, compared to annual growth of 68.30% made by the stock over the past 5-years.

Analysts at 17 brokerage firms have issued recommendations for the Olin Corporation (OLN)’s stock and average of those rates the stock at a “Moderate Buy” and assign it a score of 2.10. Out of those 17 Wall Street analysts, 13 recommended a “Buy” rating, while 1 were in favor recommending the stock as a “Hold” and 2 analyst recommended the stock as “Sell”.

Digging deeper we find that several firms have released their research notes about the support levels of the stock. Most recent of them is a note released by Morgan Stanley on January 10, 2023 offering an Underweight rating for the stock and assigned a target price of $50 to it. Coverage by Barclays stated Olin Corporation (OLN) stock as an Overweight in their note to investors on January 05, 2023, suggesting a price target of $65 for the stock. On November 21, 2022, KeyBanc Capital Markets Downgrade their recommendations, while on October 13, 2022, Goldman Initiated their ratings for the stock with a price target of $56. Stock get an Underperform rating from Credit Suisse on September 06, 2022.