Ecolab (ECL) to Benefit From Favorable Macroeconomic Backdrop

Ecolab Inc (NYSE:ECL) is one of the best Materials stocks to invest in according to Hedge Funds.

On January 8, Bank of America Securities analyst Matthew DeYoe reaffirmed his positive outlook on Ecolab Inc (NYSE:ECL). The analyst assigned a Buy rating to the stock and raised his price target from $312 to $314. DeYoe’s forecasts lead to an upside of above 15% for investors.

Countries with the Cleanest Tap Water in the World in 2018

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Despite expressing concerns regarding oversupply of commodities along with mixed sentiment towards agriculture, DeYoe sees some macroeconomic support during 2026. This includes the possibility of further rate curbs by the Fed and a positive shift in PMI figures. Another factor highlighted to have a favorable impact is the forecasted capacity rationalization in China.

On January 7, UBS analyst Joshua Spector also maintained his Neutral rating on Ecolab Inc (NYSE:ECL). In the process, he raised his price target estimate from $291 to $295, yielding an upside of more than 8% at the prevailing level.

Ecolab Inc (NYSE:ECL) delivers sustainable solutions for water, hygiene, and infection prevention. The company has 4 reporting segments, i.e., Global Industrial, Global Institutional & Specialty, Global Healthcare & Life Sciences, and Global Pest Elimination. As of 2025, it also delivers 3D TRASAR technology for real-time monitoring of water process management.

While we acknowledge the risk and potential of ECL as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than ECL and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.