# Cabot Corporation (CBT) fundamentals

Data as of 2026-09-08. NYSE, United States. Sector: Basic Materials / Chemicals. Price $81.48, market value $4.2 billion.

## Valuation
- **P/E (trailing): 22.8×** (5-yr avg 12.7×, 3-yr avg 12.3×). Cabot Corporation trades at 22.8× trailing earnings, well above its own five-year average of 12.7×: investors are paying up relative to the company's past. The Basic Materials median in the September 2026 study was 19.0×. Forward P/E is 11.7×, lower than trailing, so analysts expect earnings to grow.
- **Price / sales: 1.2×**. Each dollar of revenue is priced at 1.2×.
- **Price / book: 2.6×**. The shares trade at 2.6× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 7.5×**. Enterprise value is 7.5× operating earnings before depreciation, the multiple that ignores how the company is financed; below 8× is inexpensive for most sectors.
- **Free-cash-flow yield: 6.7%** (5-yr avg 5.2%). Free cash flow equals 6.7% of the market value, above its five-year average of 5.2%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.
- **Earnings yield: 4.4%**. The inverse of the P/E: 4.4% of the price is earned each year.

## Profitability
- **Gross margin: 22.7%**. Cabot Corporation keeps 22.7% of revenue after the direct cost of what it sells, a thin margin typical of retail, distribution and commodity businesses.
- **Operating margin: 13.6%**. 13.6% of revenue is left after running the business.
- **Net margin: 8.9%**. 8.9% of each dollar of sales reaches the bottom line.
- **Return on equity: 21.4%**. 21.4% on shareholders' equity is excellent if it is not driven by leverage; sustained above 20% usually signals a competitive advantage.
- **Return on invested capital: 16.2%**. Return on all capital, debt included, is 16.2%: comfortably above what that capital costs.
- **Return on assets: 5.0%**. Each dollar of assets produces 5.0% of profit.

## Growth
- **Revenue growth (1 yr): -7.0%** (3-yr -4.9%/yr, 5-yr 7.3%/yr). Revenue fell 7.0% over the last year, against 7.3% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): -10.4%** (3-yr 18.5%/yr). Earnings per share fell 10.4%, roughly in step with revenue.

## Financial health
- **Debt to equity: 0.72**. Debt is 0.72 times equity, moderate leverage.
- **Net debt / EBITDA: 1.3×**. It would take 1.3 years of operating earnings to repay net borrowings, within the comfortable range.
- **Piotroski F-score: 6/9**. 6 of 9 checks pass: mixed.

## Dividends
- **Dividend yield: 2.26%** ($1.82 per share, trailing). Cabot Corporation yields 2.26%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 29%** (35% of free cash flow). 29% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 24**. 24 straight years of increases, a record that survived at least one recession.
- **Dividend growth (5 yr): 4.9%/yr** (1-yr 5.3%). The dividend has grown 4.9% a year over five years.

## Analyst view
- **Analyst consensus: buy** (6 analysts). 6 analysts cover Cabot Corporation; the consensus is buy, with an average price target of $91.33 (+12% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): 2.4%** (YTD 24.3%, 3-mo 0.7%). The shares are up 2.4% over twelve months including dividends.
- **From 52-week high: -13.8%** (39.7% above the low). Trading 14% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 40**. An RSI of 40 is neutral.
- **Beta (1 yr): 0.64** (volatility 33%). Beta of 0.64 against the S&P 500: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=CBT · Page: https://foliofundamentals.com/stocks/cbt

Not investment advice.