Balchem Corp. Got Some Bad News

By Ryan Adsit

Pivotal Research analyst Timothy Ramey downgraded Balchem Corp. (NASDAQ: BCPC) to Sell today. The company’s shares opened today at $71.23.

According to TipRanks.com, Ramey is a 4-star analyst with an average return of 7.2% and a 53.9% success rate. Ramey covers the Consumer Goods sector, focusing on stocks such as Constellation Brands Inc, Omega Protein Corp., and Post Holdings Inc.

Balchem Corp. has an analyst consensus of Moderate Sell.

Based on Balchem Corp.’s latest earnings report from June 30, the company posted quarterly revenue of $138.8M and quarterly net profit of $14.15M. In comparison, last year the company earned revenue of $140.1M and had a net profit of $13.98M.

Based on the recent corporate insider activity of 32 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of BCPC in relation to earlier this year. Most recently, in September 2016, Matthew David Houston, the General Counsel of BCPC sold 4,000 shares for a total of $271,320.

Balchem Corp. engages in the development, manufacture and marketing of specialty performance ingredients and products for the food, nutritional, feed, pharmaceutical, and medical sterilization industries. It operates through the following segments: SensoryEffects: Animal Nutrition & Health: Specialty Products; and Industrial Products. The SensoryEffects segment supplies ingredients in the food and beverage industry and; provides customized solutions in powder, solid and liquid flavor delivery systems, spray dried emulsified powder systems, and cereal systems. Its products include creamer systems, dairy replacers, powdered fats, nutritional beverage bases, beverages, juice and dairy bases, chocolate systems, ice cream bases and variegates, ready-to-eat cereals, grain based snacks, and cereal based ingredients. The Animal Nutrition & Health segment provides nutritional products derived from microencapsulation and chelation technologies in addition to basic choline chloride. The Specialty Products segment operates as ARC Specialty products, which includes ethylene oxide and propylene oxide. The Industrial Products segment manufactures certain derivatives of choline chloride and methylamines. The company was founded in January 1967 and is headquartered in New Hampton, NY.