Today’s recommendation from Louis Navellier was chosen for its robust sales and earnings figures and even better estimates.
Ecolab (ECL)
from Louis Navellier’s Blue Chip Growth
My first pick for this month, Ecolab (ECL), has a squeaky clean reputation. What began as an onsite carpet cleaning business in 1923 has grown into a global industry leader with 40,000 employees and customers across 160 countries. What sets Ecolab apart from the competition is the breadth of its cleanings product business: Ecolab serves a wide range of clients in foodservice, healthcare, lodging and energy.
Whether it’s facility cleaning, equipment care, pest elimination or water safety, Ecolab has it covered. That’s because Ecolab employs some of the brightest scientific minds in the business to come up with new solutions. With a staff of 1,600 scientists working at 16 research and development (R&D) facilities, Ecolab is on the cutting edge of everything from oil and gas process technology to antimicrobial science to water chemistry. Last year alone, the company invested $183 million in R&D. So it’s small wonder that Ecolab has made Forbes magazine’s list of “The World’s Most Innovative Companies” ever since the annual ranking began in 2011.
Quite regularly we get reminders of just how innovative this company is. Just this week the company introduced OxyCide, a revolutionary disinfectant cleaner that kills 33 kinds of drug-resistant organisms in a matter of minutes. This is a big deal for hospitals, as healthcare-associated infections (HAI) are one of the biggest threats to patient care. In fact, about one in every 20 patients contract HAIs—amounting to 1.7 million patients each year. And just a few weeks ago the company launched KAY Super Contact Cleaner designed for use in the quick service restaurant industry.
This company has a pulse on what companies and organizations need, and this translates into strong sales and earnings potential. Last quarter, the company reported 12.8% annual sales growth and 11.3% earnings growth, topping analyst expectations. And things are looking even brighter for this quarter and beyond: For the third quarter, analysts estimate 17.2% sales growth and 18.4% earnings growth. The company is primed to post double-digit top- and bottom-line growth through the end of next year.
I advise you add shares of this Conservative stock under $105.
Louis Navellier, Blue Chip Growth, www.bluechipgrowth.com, 800-718-8289, October 2013