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ICL – Israel Chemicals Stock Climbing, Post-Earnings

Israel-based ICL Group Ltd. (ICL), which is engaged in the manufacture and sale of chemicals and fertilizers, rose 10.3% in pre-market trading, at last check. Positive sentiment followed upbeat first-quarter 2022 results and a strong outlook provided by the company.

The company’s reported EPS of $0.48 per share handily beat estimates of $0.29 per share. Its revenue of $2.5 billion beat estimates of $2.1 billion, and rose more than 67% year-over-year. For 2022, the company now expects adjusted EBITDA in a range of $3,500 million to $3,750 million.

Raviv Zoller, the President and CEO of ICL, said, “We continued to focus on long term cash generation by innovating within our specialty businesses product portfolio and by driving cost efficiencies…We will continue to optimize our customer and supplier relationships, to manage through global supply challenges and to work to ensure consistent and reliable product supply for our customers.” 

Repeat Earnings Beats

This quarter brings ICL its eighth consecutive earnings beat.

The company has concurrently been raising its dividend. ICL currently boasts a payout ratio of 165.53%, representing a dividend yield that is significantly above sector averages.

Conclusion

Although ICL has only one analyst rating, many of its other factors indicate promise for this stock. Its technicals are positive, and bloggers are bullish on this stock. The fertilizer industry is expected to thrive in the wake of the Russia-Ukraine conflict, and a healthy dividend could make this stock even more attractive to investors.