Oil-Dri Of America (ODC) AI Stock Analysis

• Market Cap: $836.97M
• Dividend Yield: 1.41%
• Average Volume (3M): 72.69K
• Price to Earnings (P/E): 15.6
• Beta (1Y): 0.42
• Revenue Growth: 5.29%
• EPS Growth: 17.29%
• Country: US
• Employees: 949
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 0.88
• Shares Outstanding: 10,246,067
• 10 Day Avg. Volume: 89,162
• 30 Day Avg. Volume: 72,688
• PEG Ratio: 0.39
• Price to Book (P/B): 2.81
• Price to Sales (P/S): 1.50
• P/FCF Ratio: 15.26
• Enterprise Value/Market Cap: 1.05
• Enterprise Value/Revenue: 1.83
• Enterprise Value/Gross Profit: 6.46
• Enterprise Value/Ebitda: 10.15
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 76 Outperform
• Price Target: $74.00 ▲(34.72% Upside)
• Action: Reiterated Date: 03/13/26
• Date: Action: Reiterated 03/13/26

The score is driven primarily by strong financial performance (improved and sustained margins, strong ROE, and low leverage) supported by a constructive technical trend (price above major moving averages with positive MACD). The earnings call reinforces resilience and cash strength but flags specific near-term risks (Amlan account loss, cost pressure, and renewable diesel uncertainty). Valuation contributes less due to limited usefulness of the provided P/E figure and only a modest dividend yield.

Positive Factors

Strong profitability & low leverage

Sustained double-digit net margins and high ROE with a low debt-to-equity ratio provide durable earnings power and financial flexibility. This profile supports ongoing capex, dividends, and resilience to downturns, reducing capital stress over the next several quarters.

Healthy cash generation and net cash

Consistent operating cash flow and positive free cash flow, combined with a net cash position at the quarter, create structural capacity to fund modernization capex, sustain dividends, and absorb temporary disruptions without materially increasing leverage.

Vertical integration and product innovation

Owning mineral sourcing and processing plus recent EPA‑approved and health‑monitoring litter launches, lightweight co‑pack contracts, and distribution gains deepen margins and create durable revenue streams across consumer and agriculture channels.

Negative Factors

Customer concentration risk (Amlan)

The loss of a major Amlan account exposes a structural concentration risk: large account swings can materially move segment revenue and margins. Until customer bases are broader, earnings remain vulnerable to single‑account dynamics across specialty segments.

Sustained manufacturing & labor cost pressure

Rising per‑ton manufacturing costs and higher labor/benefit expenses create a persistent margin headwind. If cost inflation persists, the company must extract productivity or raise prices to preserve recent profitability improvements, challenging margin sustainability.

Policy-driven demand risk in fluids purification

Regulatory shifts affecting renewable diesel economics have trimmed volumes for fluids purification customers. Because this segment depends on external policy and feedstock dynamics, revenue and utilization could remain volatile until regulatory clarity and feedstock supply normalize.

Oil-Dri Of America Business Overview & Revenue Model

Company Description

Oil-Dri Corporation of America, together with its subsidiaries, develops, manufactures, and markets sorbent products in the United States and internationally. It operates in two segments, Retail and Wholesale Products Group; and Business to Business Products Group. The company provides agricultural and horticultural products, including mineral-based absorbent products that serve as chemical carriers, drying agents, and growing media under the Agsorb, Verge, and Flo-Fre brand names. It also offers animal health and nutrition products for the livestock industry under the Amlan, Calibrin, Varium, Neoprime, MD-09, and Pel-Unite and Pel-Unite Plus brand names; and bleaching clay and purification aid products for bleaching, purification, and filtration applications under the Pure-Flo, Perform, Select, and Ultra-Clear brand names. In addition, the company provides cat litter products, such as scoopable and non-clumping litters under the Cat's Pride and Jonny Cat brand names; industrial and automotive sorbent products from clay, polypropylene, and recycled materials that absorb oil, acid, paint, ink, water, and other liquids under the Oil-Dri brand name; and sports products for use on baseball, softball, football, and soccer fields under the Pro's Choice brand name. Its customers include mass merchandisers, wholesale clubs, drugstore chains, pet specialty retail outlets, dollar stores, retail grocery stores, distributors of industrial cleanup and automotive products, environmental service companies, and sports field product and sports turf material users; processors and refiners of edible oils, petroleum-based oils, and biodiesel fuel; manufacturers of animal feed and agricultural chemicals; distributors of animal health and nutrition products; and marketers of consumer products. Oil-Dri Corporation of America was founded in 1941 and is based in Chicago, Illinois.

How the Company Makes Money

ODC makes money primarily by producing and selling mineral-based sorbent products and related materials to retailers, distributors, and commercial/industrial customers. Key revenue streams include: (1) Pet Care: Sales of branded and private-label cat litter and other pet-related sorbent products, typically sold through mass retailers, pet specialty channels, e-commerce, and wholesale distribution; revenue is driven by unit volume and product mix (e.g., premium vs. value offerings) and by private-label manufacturing arrangements where ODC supplies product for a retailer’s brand. (2) Animal Health & Nutrition: Sales of mineral-based additives and carriers used in livestock/poultry production and animal health applications (e.g., feed additives, flow agents, toxin-binding and moisture-control products, and carriers for animal health ingredients). These products are sold to feed manufacturers, integrators, and agricultural distributors; revenue is tied to agricultural demand and customer formulation needs. (3) Industrial & Automotive Absorbents: Sales of industrial sorbents used for spill cleanup, floor-dry, and general absorption in factories, warehouses, maintenance operations, and automotive service environments, typically distributed through industrial supply channels and distributors; earnings depend on industrial activity levels and distribution reach. (4) Fluids Purification/Filtration: Sales of mineral-based purification media used to filter, clarify, or refine edible oils, fuels, lubricants, and other fluids; customers may include processors and industrial users that require purification aids, with revenue influenced by processing volumes and customers’ filtration requirements. Across these streams, ODC’s earnings are supported by vertical integration in mineral sourcing and processing (owning/operating mineral reserves and production facilities), product differentiation through performance characteristics, and channel relationships with large retailers and distributors. Specific details on individual customer partnerships or contract terms are null.

Oil-Dri Of America Financial Statement Overview

Summary

Strong multi-year profitability improvement with sustained ~10–11% net margins, solid ~18–20% ROE, and low leverage (debt-to-equity ~0.15). Operating cash flow is strong and supports earnings, but free cash flow has been volatile and declined in the latest TTM period, and TTM operating profitability has cooled versus the 2025 annual period.

Income Statement

Results show a clear multi-year profitability step-up: revenue rose from $305M (2021) to $486M (2025 annual), and margins expanded meaningfully versus 2021–2022 (net margin improved from ~3% in 2021 and ~2% in 2022 to ~10–11% in 2024–2026). TTM (Trailing-Twelve-Months) revenue growth remains solid at ~17%, and net income is stable around ~$51M in 2025 annual and TTM. The main weakness is some recent softening versus the 2025 annual period (TTM revenue slightly lower and operating profitability lower), suggesting momentum has cooled from peak levels.

Balance Sheet

Leverage looks conservative and has improved: debt-to-equity is low in TTM (Trailing-Twelve-Months) at ~0.15, down from ~0.34 in 2024 annual, while equity has grown steadily (from ~$160M in 2021 to ~$272M TTM). Returns on equity are strong and consistent (~18–20% in 2023–TTM), indicating good earnings power relative to the capital base. A watch item is that total debt has fluctuated over time (rising into 2024–2025 before falling TTM), though current balance sheet risk appears manageable.

Cash Flow

Cash generation is generally healthy in recent years: operating cash flow is strong in TTM (Trailing-Twelve-Months) at ~$76M and has covered net income well (about 1.5x), supporting earnings quality. Free cash flow is positive and sizable (~$47M TTM), but it has become less consistent—TTM free cash flow declined (negative growth), and the company previously had negative free cash flow in 2021–2022. Overall, cash flow has improved materially since 2022, but the recent dip in free cash flow tempers the score.

Breakdown	TTM	Jul 2025	Jul 2024	Jul 2023	Jul 2022	Jul 2021
Income Statement
Total Revenue	478.94M	485.57M	437.59M	413.02M	348.59M	304.98M
Gross Profit	135.65M	143.08M	125.09M	103.23M	62.52M	65.24M
EBITDA	86.32M	90.69M	70.74M	51.67M	20.41M	28.27M
Net Income	51.54M	51.42M	37.26M	28.03M	5.67M	10.62M
Balance Sheet
Total Assets	388.13M	391.68M	354.61M	286.24M	249.61M	227.57M
Cash, Cash Equivalents and Short-Term Investments	46.93M	50.46M	24.48M	31.75M	16.30M	24.59M
Total Debt	55.38M	55.18M	70.72M	42.51M	44.73M	18.94M
Total Liabilities	115.68M	132.62M	144.02M	109.16M	99.26M	68.33M
Stockholders Equity	272.45M	259.06M	210.59M	177.08M	150.72M	159.54M
Cash Flow
Free Cash Flow	46.72M	47.62M	28.31M	25.40M	-12.99M	-5.20M
Operating Cash Flow	76.29M	80.18M	60.31M	49.76M	9.84M	13.64M
Investing Cash Flow	-29.42M	-32.53M	-76.12M	-24.57M	-22.81M	-18.83M
Financing Cash Flow	-22.63M	-21.74M	8.33M	-9.52M	4.70M	-11.32M

Oil-Dri Of America Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 54.93
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ODC, the sentiment is Neutral. The current price of 54.93 is below the 20-day moving average (MA) of 65.01, below the 50-day MA of 60.44, and below the 200-day MA of 58.09, indicating a neutral trend. The MACD of 0.78 indicates Positive momentum. The RSI at 44.62 is Neutral, neither overbought nor oversold. The STOCH value of 30.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for ODC.

Oil-Dri Of America Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
REX	78 Outperform	$1.32B	11.38	9.11%	―	-3.10%	-22.31%
ODC	76 Outperform	$836.97M	15.57	19.73%	1.41%	5.29%	17.29%
IOSP	73 Outperform	$1.69B	16.33	9.01%	2.19%	-4.49%	-100.80%
MTX	63 Neutral	$2.15B	12.77	-1.11%	0.74%	-2.53%	-100.23%
ECVT	63 Neutral	$1.31B	-15.78	-4.15%	―	7.75%	-302.73%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
SCL	61 Neutral	$1.06B	23.10	3.80%	3.33%	5.35%	-1.43%

Oil-Dri Of America Corporate Events

Oil-Dri Declares Quarterly Dividend, Extends Growth Streak

Oil-Dri Corporation of America is a leading manufacturer and supplier of specialty sorbent products serving the pet care, animal health and nutrition, fluids purification, agricultural ingredients, sports field, industrial and automotive markets. The vertically integrated company, with more than 80 years of experience, manages its operations from research and development through supply chain, marketing and sales, focusing on creating value from sorbent minerals.

Oil-Dri Corporation of America announced on March 12, 2026, that its board had declared quarterly cash dividends of $0.205 per share for Common Stock and $0.153 per share for Class B Stock at a regular meeting held on March 11, 2026. The dividends, payable on May 22, 2026, to shareholders of record as of May 8, 2026, extend a track record of uninterrupted annual cash dividend payments since 1974 and 22 consecutive years of dividend increases, underscoring the company’s consistent shareholder-return policy and financial stability.

The company also said it will release its third-quarter fiscal 2026 results after the close of the U.S. stock market on June 8, 2026. An accompanying earnings discussion is scheduled for a live webcast on June 9, 2026, signaling ongoing engagement with investors and analysts around its operating performance and outlook.

The most recent analyst rating on (ODC) stock is a Buy with a $72.00 price target. To see the full list of analyst forecasts on Oil-Dri Of America stock, see the ODC Stock Forecast page.