ICL Group Ltd’s ICL shares have gained 23.9% in the past six months, outperforming its industry’s rise of 1.3%.
It has also topped the S&P 500’s roughly 3.9% rise over the same period.
Image Source: Zacks Investment Research
Let’s dive into the factors behind this Zacks Rank #2 (Buy) stock’s price appreciation.
Strong Q3 Results, Raised Guidance Fuel Optimism for ICL
ICL’s third-quarter adjusted earnings per share (EPS) of 11 cents beat the Zacks Consensus Estimate of 8 cents. ICL also reported quarterly revenues of $1,753 million, which exceeded the Zacks Consensus Estimate of $1,732.7 million.
ICL raised its full-year 2024 estimates, projecting specialties-driven EBITDA to be between $0.95 billion and $1.05 billion. This represents an increase from the prior projection of $0.8–$1 billion. In keeping with 2023 sales volumes, ICL intends to retain total annual potash sales volumes for 2024 at 4.6 million metric tons. Notwithstanding the challenges posed by geopolitical unpredictability, the company is committed to building its innovative product pipeline and carrying out focused cost and efficiency initiatives.
ICL’s earnings surpassed the Zacks Consensus Estimate in each of the last four quarters, with the average surprise being 18.1%. Earnings estimates for ICL for 2024 have been going up over the past 60 days and remained stable for 2025 over the same period.
The company recently unveiled VeriQuel R100, an innovative phosphorus-based product. For rigid polyurethane insulation products, including sheathing, in-wall and PIR roofing—the material of choice for more than 70% of commercial roofs—this novel reactive phosphorus flame retardant is designed. For this solution, which provides a greener option compared with traditional addition flame retardants, ICL invested more than $2 million in research and development. With the growing demand for environmentally friendly building materials, VeriQuel R100 will be crucial in providing a high-performing, sustainable solution without compromising fire safety.
ICL also announced a follow-on investment in Plantible Foods as part of its Series B round. This investment builds on ICL's prior involvement in Plantible's Series A round, enhancing the two firms' collaboration. ICL's investment in Plantible Foods demonstrates its commitment to developing sustainable and innovative food-sector solutions. The development of breakthrough ingredients, such as Rovitaris Binding Solution, aligns with these industry developments and positions ICL to satisfy evolving customer demands and capitalize on emerging opportunities.
Other Key Picks
Other top-ranked stocks in the basic materials space include Carpenter Technology Corporation CRS, Sylvamo Corporation SLVM and ATI Inc. ATI.
Carpenter Technology currently sports a Zacks Rank #1 (Strong Buy). CRS beat the Zacks Consensus Estimate in each of the last four quarters, with the average earnings surprise being 14.1%. The company's shares have soared 185.7% in the past year. You can see the complete list of today's Zacks #1 Rank stocks here.
Sylvamo, which currently carries a Zacks Rank #1, beat the consensus estimate in each of the trailing four quarters. In this time frame, it has delivered an earnings surprise of roughly 16.7%, on average. SLVM’s shares have rallied 66% over the past year.
ATI, currently carrying a Zacks Rank #2, beat the consensus estimate in three of the last four quarters and missing once, with the average earnings surprise being 3.7%. ATI has gained around 28.2% in the past year.
Free: 5 Stocks to Buy As Infrastructure Spending Soars
Trillions of dollars in Federal funds have been earmarked to repair and upgrade America’s infrastructure. In addition to roads and bridges, this flood of cash will pour into AI data centers, renewable energy sources and more.
In, you’ll discover 5 surprising stocks positioned to profit the most from the spending spree that’s just getting started in this space.
ATI Inc. (ATI) : Free Stock Analysis Report
Carpenter Technology Corporation (CRS) : Free Stock Analysis Report
ICL Group Ltd. (ICL) : Free Stock Analysis Report
Sylvamo Corporation (SLVM) : Free Stock Analysis Report
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