Newell Brands (NASDAQ:NWL) Issues Quarterly Earnings Results, Beats Estimates By $0.23 EPS

Newell Brands (NASDAQ:NWL) announced its quarterly earnings data on Friday. The company reported $0.42 earnings per share for the quarter, beating analysts’ consensus estimates of $0.19 by $0.23, FiscalAI reports. The company had revenue of $1.99 billion during the quarter, compared to analyst estimates of $1.98 billion. Newell Brands had a negative net margin of 3.91% and a positive return on equity of 8.89%. The firm’s revenue for the quarter was up 3.0% on a year-over-year basis. During the same quarter last year, the business posted $0.24 EPS. Newell Brands updated its Q3 2026 guidance to 0.180-0.200 EPS and its FY 2026 guidance to 0.730-0.770 EPS.

Here are the key takeaways from Newell Brands’ conference call:

• Newell returned to growth for the first time in more than four years, with Q2 net sales up 3% and core sales up 2.3%, exceeding guidance. Five of six business units grew, led by Learning & Development and Outdoor & Recreation.
• U.S. distribution increased at a mid-single-digit rate, while consumer point-of-sale trends and market share improved for brands including Graco, Sharpie, Expo, and Coleman. Management said innovation, higher advertising investment, and stronger retail execution are driving the gains.
• The company raised its full-year outlook to 1%–2% net sales growth, flat to 1% core sales growth, 10%–10.4% normalized operating margin, and $0.73–$0.77 normalized EPS. Operating cash flow guidance was also increased to approximately $400 million, with year-end leverage expected below 4.5 times.
• Inflation expectations doubled to approximately $200 million for 2026, while net tariff-related P&L costs are projected at $127 million. Management said productivity savings and selective pricing are offsetting the pressure, but broad-based pricing actions may be needed if costs worsen.
• Q2 profitability benefited materially from nearly $100 million of recoveries related to tariffs expensed in 2025, plus $26 million tied to first-quarter 2026 tariffs. Excluding these recoveries, management said results still exceeded guidance, but the prior-year recovery is not expected to recur in 2027.

Newell Brands Stock Up 8.9%

Shares of NASDAQ:NWL traded up $0.46 during trading hours on Friday, hitting $5.60. The company’s stock had a trading volume of 44,332,732 shares, compared to its average volume of 8,096,968. The firm’s fifty day moving average price is $4.84 and its 200 day moving average price is $4.39. Newell Brands has a 52 week low of $3.07 and a 52 week high of $7.13. The company has a market capitalization of $2.38 billion, a price-to-earnings ratio of -8.36, a P/E/G ratio of 6.35 and a beta of 0.87. The company has a debt-to-equity ratio of 1.94, a current ratio of 1.04 and a quick ratio of 0.51.

Newell Brands Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Monday, June 15th. Stockholders of record on Friday, May 29th were issued a $0.07 dividend. The ex-dividend date was Friday, May 29th. This represents a $0.28 annualized dividend and a dividend yield of 5.0%. Newell Brands’s payout ratio is currently -41.79%.

Analyst Upgrades and Downgrades

A number of equities analysts have recently commented on NWL shares. UBS Group raised their target price on shares of Newell Brands from $4.25 to $4.75 and gave the stock a “neutral” rating in a research report on Thursday, July 16th. Royal Bank Of Canada set a $4.00 price target on Newell Brands in a report on Thursday, April 9th. Citigroup reissued a “neutral” rating on shares of Newell Brands in a research note on Tuesday, July 14th. JPMorgan Chase & Co. raised their price objective on Newell Brands from $5.00 to $7.00 and gave the stock an “overweight” rating in a report on Thursday, July 16th. Finally, Canaccord Genuity Group lifted their target price on Newell Brands from $8.00 to $9.00 and gave the company a “buy” rating in a research report on Thursday, April 16th. Three equities research analysts have rated the stock with a Buy rating, four have issued a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat, Newell Brands has an average rating of “Hold” and an average price target of $5.38.

Key Stories Impacting Newell Brands

Here are the key news stories impacting Newell Brands this week:

• Positive Sentiment: Q2 earnings beat expectations: Newell reported adjusted earnings of $0.42 per share, well above the $0.19 analyst consensus and up from $0.24 a year earlier. Revenue rose 3% year over year to $1.99 billion, slightly exceeding estimates. Newell Brands Q2 earnings and revenues top estimates
• Positive Sentiment: Profitability benefited from multiple factors: Sales growth, margin expansion and recoveries related to tariffs supported the earnings outperformance. Management said both net sales and core sales returned to year-over-year growth, aided by product innovation and increased advertising and promotional support. Newell Brands Q2 earnings beat on sales growth and tariff recoveries
• Positive Sentiment: Full-year outlook was raised: Newell increased its 2026 normalized EPS forecast to $0.73-$0.77 from $0.56-$0.60 previously, above the roughly $0.57 analyst consensus. Full-year revenue guidance remained near $7.3 billion. Newell Brands lifts full-year profit view
• Neutral Sentiment: Analyst stance remains cautious: Newell retains a consensus “Hold” rating, suggesting investors may want additional evidence that the improved results can be sustained.
• Neutral Sentiment: Unusually high options activity indicates elevated investor interest and potential volatility following the earnings release, but does not establish a clear directional signal.
• Negative Sentiment: Q3 guidance was mixed: The company forecast adjusted EPS of $0.18-$0.20, with the midpoint roughly in line with consensus but the range extending below estimates. Revenue guidance of $1.8-$1.9 billion also suggests limited near-term growth momentum.

Insider Activity

In other news, insider Melanie Arlene Huet sold 91,000 shares of the stock in a transaction that occurred on Friday, May 8th. The shares were sold at an average price of $4.50, for a total transaction of $409,500.00. Following the transaction, the insider directly owned 867 shares in the company, valued at approximately $3,901.50. This trade represents a 99.06% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider Kristine Kay Malkoski sold 10,850 shares of Newell Brands stock in a transaction that occurred on Wednesday, May 27th. The shares were sold at an average price of $3.65, for a total transaction of $39,602.50. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders have sold 202,750 shares of company stock worth $812,396. Corporate insiders own 1.64% of the company’s stock.

Institutional Trading of Newell Brands

Several hedge funds and other institutional investors have recently bought and sold shares of NWL. Osaic Holdings Inc. lifted its stake in shares of Newell Brands by 19.6% during the 2nd quarter. Osaic Holdings Inc. now owns 14,104 shares of the company’s stock worth $76,000 after purchasing an additional 2,308 shares during the last quarter. Orion Porfolio Solutions LLC bought a new stake in Newell Brands during the second quarter valued at about $74,000. RPO LLC purchased a new position in Newell Brands in the fourth quarter valued at about $65,000. CreativeOne Wealth LLC purchased a new position in Newell Brands in the third quarter valued at about $54,000. Finally, Vise Technologies Inc. purchased a new stake in shares of Newell Brands during the third quarter valued at about $54,000. Institutional investors own 92.50% of the company’s stock.

Newell Brands Company Profile

Newell Brands Inc, trading on NASDAQ under the ticker NWL, is a global consumer goods company known for its diverse portfolio of household, commercial, and specialty products. Formed through the merger of Newell Rubbermaid and Jarden Corporation in 2016, the company traces its roots back to Newell Manufacturing, which was founded in 1903. Headquartered in Atlanta, Georgia, Newell Brands has built a reputation for widely recognized brands spanning multiple consumer categories.

The company’s business activities are organized across several segments, including writing and creative expression, home solutions, commercial products, and outdoor recreation.