NEW YORK, Feb 4, 2026, 13:21 EST — Regular session
- Cabot shares climbed roughly 12%, hitting $79.94 in early afternoon trading
- Company tightened its full-year adjusted EPS guidance to a range of $6.00–$6.50
- Volumes tied to tires remained weak, but demand for battery materials boosted Performance Chemicals
Shares of Cabot Corp jumped roughly 12% to $79.94 on Wednesday, bouncing back from a volatile start as investors absorbed the specialty chemicals company’s recent quarterly results.
The company reported adjusted earnings of $1.53 per share for its fiscal first quarter and tightened its full-year adjusted earnings guidance to a range of $6.00 to $6.50 per share. The “adjusted” figures leave out items the company views as non-representative of its core operations. SEC
That narrower range is crucial as Cabot works to stabilize its core carbon black business, primarily used in tires, while pushing more into specialty products with better margins linked to electric-vehicle batteries. In the same announcement, Cabot disclosed a multi-year supply deal with PowerCo SE for conductive carbons and dispersions for lithium-ion batteries. SEC
Cabot’s latest numbers come amid a market that’s harsh on anything tied to sluggish industrial demand. The strain is clear in its Reinforcement Materials division, where volumes dropped due to tire customers scaling back production and tightening inventories, plus tougher competition in Asia, the company noted. SEC
For the quarter, diluted earnings per share hit $1.37, with net sales dropping to $849 million from $955 million a year ago, the company reported in its filing. EBIT in the Reinforcement Materials segment slipped to $102 million. Meanwhile, the Performance Chemicals segment’s EBIT climbed to $48 million, boosted by a stronger mix and gains in battery materials. SEC
Zacks Investment Research said Cabot’s adjusted earnings topped the Zacks consensus, though revenue came up short. The firm highlighted softer sales in Reinforcement Materials and called out “elevated Asian tire imports into Western markets” as a factor weighing on demand. Nasdaq
Cabot announced on Monday that it has finalized the acquisition of Mexico Carbon Manufacturing from Bridgestone. The company said the deal strengthens its reinforcing carbons presence near its Altamira, Mexico plant. CEO Sean Keohane described the move as “a significant step forward” in Cabot’s strategy to expand in key markets and boost supply reliability. GlobeNewswire
Cabot announced a quarterly dividend of $0.45 per share, set for payment on March 13 to shareholders on record as of Feb. 27. GlobeNewswire
The stock’s rebound leaves scant margin for error on tire volumes or pricing. Cabot’s forecast hinges on how negotiations with tire customers play out in calendar 2026. Management also described the demand environment for Reinforcement Materials as “challenging.” SEC
Traders are eyeing any new clues that tire-related volumes might be leveling off, while also seeing if battery materials can maintain their lift for Performance Chemicals. The next key date is the shareholder record cutoff on Feb. 27, ahead of the March 13 dividend payout. GlobeNewswire
