Ecolab misses second-quarter sales estimates, shares slump
July 30 (Reuters) -Ecolab ECL.N reported second-quarter sales on Tuesday that missed analysts' estimates, sending the water solutions company's shares down nearly 8%.
The negative stock reaction is a combination of lower-than-expected quarterly sales and investors' more ambitious earnings growth expectations in the context of more lofty valuation metrics, Vertical Research Partners analyst Kevin McCarthy said.
Ecolab raised the lower end of its annual adjusted profit forecast. The company now expects full-year earnings between $6.50 and $6.70 per share, compared with its prior view of $6.40 to $6.70.
On an adjusted basis, the company earned $1.68 per share, edging past estimates of $1.67, according to LSEG data.
Total sales of $3.99 billion missed Wall Street estimates of $4.03 billion.
Reporting by Vallari Srivastava in Bengaluru; Editing by Shreya Biswas
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