Newell Brands (NASDAQ:NWL) Announces Quarterly Earnings Results

Newell Brands (NASDAQ:NWL) announced its quarterly earnings results on Friday. The company reported $0.20 EPS for the quarter, hitting the consensus estimate of $0.20, FiscalAI reports. The business had revenue of $1.87 billion for the quarter, compared to analysts’ expectations of $1.86 billion. Newell Brands had a negative net margin of 3.05% and a positive return on equity of 12.31%. The business’s quarterly revenue was up 3.7% compared to the same quarter last year. During the same quarter in the previous year, the company earned $0.17 EPS.

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

• Sales growth accelerated: Third-quarter net sales rose 3.7% and core sales increased 3.3%, exceeding guidance and marking Newell’s second consecutive quarter of year-over-year core sales growth. Growth was broad-based across brands, businesses, geographies and market share.
• Margins expanded despite inflation: Normalized gross margin increased 70 basis points to 35.2%, while normalized operating margin rose 90 basis points to 9.8%; normalized EPS increased to $0.20 from $0.17. Productivity savings, higher sales and overhead discipline offset significant cost pressures.
• Full-year sales outlook was raised: Newell now expects 2026 net sales growth of 2%-3% and core sales growth of 1%-2%, while maintaining its normalized operating margin outlook of 10%-10.4% and tightening EPS guidance to $0.74-$0.76. Management expects positive sales growth again in the fourth quarter.
• Inflation remains a substantial headwind: The company raised its estimated 2026 input-cost inflation impact to $220 million, up from an initial $100 million estimate, with pressure from transportation, resins, finished goods, labor and other commodities. Newell expects another $150 million of inflation in 2027 and plans modest, selective pricing actions.
• Cash flow guidance fell due to non-operational items: Full-year operating cash flow is now expected to be approximately $150 million versus a prior $400 million target, primarily because of pension-related accounting treatment and reduced receivables factoring. Management said underlying cash generation remains on track, expects leverage below 4.5 times at year-end and continues to target deleveraging in 2027.

Newell Brands Trading Up 2.0%

Shares of NWL stock traded up $0.10 during trading hours on Friday, reaching $5.18. 13,406,970 shares of the stock were exchanged, compared to its average volume of 4,768,028. Newell Brands has a 12-month low of $3.07 and a 12-month high of $7.13. The company has a current ratio of 1.11, a quick ratio of 0.59 and a debt-to-equity ratio of 1.85. The company’s 50-day moving average price is $5.68 and its 200-day moving average price is $4.83. The firm has a market capitalization of $2.21 billion, a price-to-earnings ratio of -9.77, a price-to-earnings-growth ratio of 1.26 and a beta of 0.88.

Newell Brands Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Tuesday, September 15th. Stockholders of record on Monday, August 31st were issued a $0.07 dividend. This represents a $0.28 annualized dividend and a dividend yield of 5.4%. The ex-dividend date was Monday, August 31st. Newell Brands’s dividend payout ratio (DPR) is -52.83%.

Analyst Upgrades and Downgrades

A number of research firms have recently commented on NWL. Wall Street Zen upgraded Newell Brands from a “buy” rating to a “strong-buy” rating in a research report on Saturday, October 17th. Barclays raised their target price on shares of Newell Brands from $5.00 to $7.00 and gave the company an “overweight” rating in a report on Tuesday, July 21st. Citigroup boosted their price target on shares of Newell Brands from $5.50 to $6.00 and gave the stock a “neutral” rating in a research report on Tuesday, August 4th. Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating and set a $6.00 price target on shares of Newell Brands in a research note on Monday, August 3rd. Finally, UBS Group reiterated a “neutral” rating on shares of Newell Brands in a research report on Thursday, October 22nd. One analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, four have given a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus price target of $6.66.

Insider Buying and Selling

In related news, insider Bradford Turner sold 100,000 shares of the stock in a transaction dated Thursday, August 6th. The shares were sold at an average price of $6.16, for a total value of $616,000.00. Following the sale, the insider directly owned 433,398 shares of the company’s stock, valued at $2,669,731.68. This represents a 18.75% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Insiders own 1.64% of the company’s stock.

Trending Headlines about Newell Brands

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

• Positive Sentiment: Newell reported revenue of $1.87 billion, exceeding the $1.86 billion analyst estimate and increasing 3.7% from the prior-year quarter. Growth was broad-based across the United States and international markets, with four of six business segments and seven of its top 10 brands posting growth. Newell Brands Announces Third Quarter 2026 Results
• Positive Sentiment: Adjusted earnings were $0.20 per share, matching consensus and improving from $0.17 a year earlier. The company cited productivity gains, cost savings and margin expansion as contributors to the quarter’s performance. NWL Q3 Earnings Meet Estimates, Sales Beat on Broad-Based Growth
• Positive Sentiment: Management raised its 2026 sales outlook, reinforcing investor expectations that the company’s growth recovery and restructuring efforts are gaining traction. Newell Brands Q3 2026 Earnings Call Transcript
• Neutral Sentiment: Unusually heavy options activity preceded the results, with traders purchasing 63,054 call options—roughly 40 times typical volume—indicating elevated speculative interest but not guaranteeing sustained gains.
• Neutral Sentiment: RBC Capital Markets maintained a Hold view, suggesting analysts may remain cautious despite the improved operating trends. Newell Brands Gets a Hold from RBC Capital
• Negative Sentiment: Newell swung to a reported net loss as higher inflation more than offset sales gains and cost-saving benefits. The company continues to face profitability pressure, with a negative net margin, even though adjusted EPS met expectations. Newell Brands Swings to Loss Despite Higher Sales

Newell Brands Company Profile

Newell Brands Inc is a global consumer products company that designs, manufactures and markets products used in homes, workplaces and outdoor settings. Its portfolio includes well-known brands such as Rubbermaid, Sharpie, Graco, Coleman, Yankee Candle, Crock-Pot, Mr. Coffee, FoodSaver, Calphalon, Elmer’s and Sistema.

The company’s products span food and home storage, cookware and small kitchen appliances, writing instruments and other learning supplies, baby and parenting products, outdoor and recreation equipment, home fragrance, and commercial products.