Ecolab (ECL)
Key Statistics
EV/EBIT = 33x
ROE = 21.6%
Debt/Equity = 98%
FCF Yield = 3.98%
Dividend Yield = .9%
Market Cap = $71.28 billion
The Company
Ecolab (ECL) specializes in water, hygiene, and energy management.
Operating in 170 countries, Ecolab provides critical products and services that ensure the safety, cleanliness, and efficiency of operations in various industries.
Ecolab's model is based on selling discounted equipment paired with high-margin consumable products necessary for operating that equipment. For instance, they may offer laundry machines at a reduced price to commercial laundries and then supply the detergent required for those machines at a higher profit margin. This approach not only ensures recurring revenue but also builds long-term relationships with customers by integrating Ecolab’s products into their daily operations.