Skip to content

Bill Gates just dumped $200 million of this stock

Bill Gates just dumped $200 million of this stock

Beyond his renown as Microsoft’s (NASDAQ: MSFT) co-founder, Bill Gates is recognized as a savvy investor who keeps his capital actively mobilized.

Through the Bill & Melinda Gates Foundation Trust, the billionaire maintains positions in 23 stocks. The portfolio is highly concentrated — with Microsoft, Berkshire Hathaway (NYSE: BRK.B), Waste Management (NYSE: WM), and Canadian National Railway (NYSE: CNI) making up the bulk of his holdings, accounting for a total of 84%.

One of Gates’ long-standing investments is Ecolab (NYSE: ECL), a position he first established in 2010 and has steadily increased over the years.

Now, an SEC Form 4 filing released on November 4 reveals that the foundation has sold off roughly $200 million in ECL stock. While Gates still maintains a large stake, this has led to questions regarding Ecolab’s long term prospects. 

At press time, Ecolab stock was trading at $244.49 — having seen a year-to-date (YTD) price increase of 23.36%, although shares have shed 4.78% over the course of the last week.

ECL stock price YTD and weekly charts. Source: Finbold
ECL stock price YTD and weekly charts. Source: Finbold

Gates sold more than $200 million in ECL stock after earnings

On October 29, the water purification business released its Q3 2024 earnings report. Earnings-per-share (EPS) came in at $1.83, slightly above analyst estimates of $1.82, while revenue fell short at $3.99 billion compared to average forecasts of $4.03 billion. 

The company also increased full-year EPS guidance, up from a prior range of $6.50 – $6.70 to $6.60 – $6.70.

Just two days later, Gates started selling ECL stock. A total of 13 transactions were executed from October 31 to November 4. The prices at which the securities were sold ranged from $243.14 to $249.86. Altogether, Gates sold 796,813 ECL shares — for a combined worth of approximately $193,625,559.

Form 4 filing detailing Gates' sale of Ecolab shares. Source: SEC
Form 4 filing detailing Gates’ sale of Ecolab shares. Source: SEC

While the dollar amount might appear significant at first glance, at present the Microsoft co-founder still holds 30,388,741 Ecolab shares.

Have Ecolab stock’s future prospects changed?

At press time, there are no significant bullish factors that could serve as an explanation behind the sale. It should be noted that Gates still maintains a sizable position and that this is most likely an instance of profit-taking — as ECL stock is trading near all-time high (ATH) levels.

Wall Street equity analysts remain optimistic on the whole — the business remains a consensus ‘Buy’ with an average price target of $278.68, which would represent a 13.98% upside.

ECL stock analyst ratings and average price target. Source: TradingView
ECL stock analyst ratings and average price target. Source: TradingView

For now, at least, it appears that there is no cause for concern — however, if the Microsoft co-founder were to continue to reduce his holdings in ECL, that could indicate worries on his part regarding long-term outlooks.

Featured Image:
Alexandros Michailidis, Brussels, Belgium — October 13, 2023. Digital Image. Shutterstock.

Best Crypto Exchange for Intermediate Traders and Investors

  • Invest in cryptocurrencies and 3,000+ other assets including stocks and precious metals.

  • 0% commission on stocks - buy in bulk or just a fraction from as little as $10. Other fees apply. For more information, visit etoro.com/trading/fees.

  • Copy top-performing traders in real time, automatically.

  • eToro USA is registered with FINRA for securities trading.

30+ million Users
Securities trading offered by eToro USA Securities, Inc. (“the BD”), member of FINRA and SIPC. Cryptocurrency offered by eToro USA LLC (“the MSB”) (NMLS: 1769299) and is not FDIC or SIPC insured. Investing involves risk, and content is provided for educational purposes only, does not imply a recommendation, and is not a guarantee of future performance. Finbold.com is not an affiliate and may be compensated if you access certain products or services offered by the MSB and/or the BD

Read Next:

Finance Digest

By subscribing you agree with Finbold T&C’s & Privacy Policy

Related posts

Sign Up

or

By submitting my information, I agree to the Privacy Policy and Terms of Service.

Already have an account? Sign In

Services

IMPORTANT NOTICE

Finbold is a news and information website. This Site may contain sponsored content, advertisements, and third-party materials, for which Finbold expressly disclaims any liability.

RISK WARNING: Cryptocurrencies are high-risk investments and you should not expect to be protected if something goes wrong. Don’t invest unless you’re prepared to lose all the money you invest. (Click here to learn more about cryptocurrency risks.)

By accessing this Site, you acknowledge that you understand these risks and that Finbold bears no responsibility for any losses, damages, or consequences resulting from your use of the Site or reliance on its content. Click here to learn more.