Minerals Technologies (NYSE:MTX) Announces Quarterly Earnings Results

Minerals Technologies (NYSE:MTX) released its quarterly earnings data on Thursday. The basic materials company reported $1.60 EPS for the quarter, missing the consensus estimate of $1.64 by ($0.04), FiscalAI reports. Minerals Technologies had a net margin of 7.60% and a return on equity of 10.40%. The business had revenue of $548.40 million for the quarter, compared to the consensus estimate of $558.77 million. During the same quarter last year, the business earned $1.55 EPS. Minerals Technologies’s revenue for the quarter was up 3.7% compared to the same quarter last year.

Minerals Technologies Stock Performance

Minerals Technologies stock opened at $72.55 on Friday. The company has a debt-to-equity ratio of 0.54, a current ratio of 2.13 and a quick ratio of 1.47. The firm has a market capitalization of $2.25 billion, a P/E ratio of 14.03 and a beta of 1.15. Minerals Technologies has a 1-year low of $53.94 and a 1-year high of $84.34. The company’s 50-day moving average is $75.63 and its 200 day moving average is $72.73.

Minerals Technologies Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, September 4th. Investors of record on Friday, August 14th will be given a $0.12 dividend. This represents a $0.48 dividend on an annualized basis and a yield of 0.7%. The ex-dividend date of this dividend is Friday, August 14th. Minerals Technologies’s dividend payout ratio is 9.28%.

Key Minerals Technologies News

Here are the key news stories impacting Minerals Technologies this week:

• Positive Sentiment: Underlying adjusted EPS rose 3% year over year to $1.60, while revenue increased 4% to $548.4 million. First-half sales were up 7%, keeping the company on track for mid-single-digit full-year growth. Minerals Technologies Second-Quarter Results
• Positive Sentiment: The Engineered Solutions segment was a strong point, with sales increasing 9% and operating income rising 12% excluding special items. Its 17.8% operating margin was a record, supported by stronger steel, foundry, infrastructure and building-materials demand. Minerals Technologies Q2 Sales
• Positive Sentiment: Cash generation improved meaningfully, with first-half free cash flow of $44.8 million versus $11.1 million a year earlier. Management also reported a solid adjusted net leverage ratio of 1.6x.
• Neutral Sentiment: Management said pricing actions should help offset inflationary costs in the second half. Investors will look for evidence of margin recovery during the earnings call on July 31 and at the company’s September 22 Investor Day. Minerals Technologies Financial Results
• Neutral Sentiment: Minerals Technologies published new environmental targets through 2035 and reported progress on prior sustainability goals. While potentially supportive of long-term positioning, this is unlikely to materially affect near-term earnings.
• Negative Sentiment: Adjusted EPS of $1.60 missed the $1.64 consensus estimate, while reported results showed a $5.90 loss per share. The miss likely contributed to the stock’s decline as investors focused on weaker-than-expected profitability.
• Negative Sentiment: MTX recorded a $290 million charge to increase reserves for talc-related claims, its subsidiary’s Chapter 11 proceedings and related litigation. This drove a reported operating loss of $220 million and highlights continuing legal and financial uncertainty.
• Negative Sentiment: The Consumer & Specialties segment remained weak: sales fell 1% and operating income declined 21% excluding special items, as inflation, energy, transportation and raw-material costs pressured margins.

Insider Activity

In other Minerals Technologies news, VP Timothy Jordan sold 6,000 shares of the business’s stock in a transaction that occurred on Monday, May 11th. The stock was sold at an average price of $80.27, for a total transaction of $481,620.00. Following the completion of the transaction, the vice president owned 1,279 shares in the company, valued at $102,665.33. The trade was a 82.43% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. 3.70% of the stock is owned by company insiders.

Institutional Investors Weigh In On Minerals Technologies

A number of institutional investors and hedge funds have recently modified their holdings of the business. EverSource Wealth Advisors LLC boosted its holdings in Minerals Technologies by 626.8% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 596 shares of the basic materials company’s stock valued at $33,000 after acquiring an additional 514 shares during the period. Danske Bank A S purchased a new stake in Minerals Technologies in the third quarter worth $56,000. Strs Ohio purchased a new stake in Minerals Technologies in the first quarter worth $70,000. Smartleaf Asset Management LLC lifted its position in shares of Minerals Technologies by 136.2% during the second quarter. Smartleaf Asset Management LLC now owns 1,278 shares of the basic materials company’s stock worth $71,000 after purchasing an additional 737 shares during the last quarter. Finally, iSAM Funds UK Ltd bought a new stake in shares of Minerals Technologies during the third quarter worth $124,000. 97.29% of the stock is owned by institutional investors.

Analyst Ratings Changes

Several analysts have recently issued reports on the stock. Truist Financial upped their target price on shares of Minerals Technologies from $89.00 to $90.00 and gave the company a “buy” rating in a research report on Monday, May 4th. Wall Street Zen upgraded Minerals Technologies from a “buy” rating to a “strong-buy” rating in a research report on Saturday, July 4th. Weiss Ratings raised Minerals Technologies from a “sell (d+)” rating to a “hold (c+)” rating in a research note on Wednesday, May 6th. Finally, Seaport Research Partners restated a “buy” rating on shares of Minerals Technologies in a research report on Monday, May 4th. One equities research analyst has rated the stock with a Buy rating and two have given a Hold rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus target price of $90.00.

Minerals Technologies Company Profile

Minerals Technologies Inc develops, produces and processes a broad range of mineral-based products and solutions that serve a variety of industrial applications. Its offerings include bentonite, perlite, precipitated calcium carbonate (PCC), mineral sands, foundry additives, performance minerals and specialty chemicals designed to enhance performance in markets such as paper, steel, construction, oil and gas, environmental remediation and consumer products.

The company operates through several business segments, including Specialty Minerals, Refractory Minerals, Performance Materials and Recycled Materials.