Newell Brands (NASDAQ:NWL) Shares Gap Up After Earnings Beat

Newell Brands Inc. (NASDAQ:NWL)’s stock price gapped up prior to trading on Monday after the company announced better than expected quarterly earnings. The stock had previously closed at $5.60, but opened at $5.91. Newell Brands shares last traded at $6.3270, with a volume of 2,047,713 shares changing hands.

The company reported $0.42 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.20 by $0.22. Newell Brands had a negative net margin of 3.05% and a positive return on equity of 12.31%. The company had revenue of $1.99 billion during the quarter, compared to analysts’ expectations of $1.98 billion. During the same period last year, the company posted $0.24 EPS. Newell Brands’s revenue was up 3.0% on a year-over-year basis. Newell Brands has set its Q3 2026 guidance at 0.180-0.200 EPS and its FY 2026 guidance at 0.730-0.770 EPS.

Newell Brands Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, June 15th. Stockholders of record on Friday, May 29th were issued a dividend of $0.07 per share. This represents a $0.28 annualized dividend and a dividend yield of 4.4%. The ex-dividend date was Friday, May 29th. Newell Brands’s dividend payout ratio (DPR) is presently -52.83%.

Wall Street Analyst Weigh In

Several research firms recently weighed in on NWL. Weiss Ratings restated a “sell (d-)” rating on shares of Newell Brands in a research note on Friday, May 15th. Citigroup reiterated a “neutral” rating on shares of Newell Brands in a research note on Tuesday, July 14th. JPMorgan Chase & Co. boosted their target price on Newell Brands from $5.00 to $7.00 and gave the stock an “overweight” rating in a report on Thursday, July 16th. Morgan Stanley cut Newell Brands from an “equal weight” rating to an “underweight” rating and cut their target price for the stock from $4.00 to $3.50 in a research note on Wednesday, May 20th. Finally, Barclays raised their price target on Newell Brands from $5.00 to $7.00 and gave the company an “overweight” rating in a report on Tuesday, July 21st. Three research analysts have rated the stock with a Buy rating, four have given a Hold rating and two have issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company currently has an average rating of “Hold” and a consensus target price of $5.62.

Insider Buying and Selling

In related news, insider Kristine Kay Malkoski sold 10,850 shares of Newell Brands stock in a transaction dated Wednesday, May 27th. The stock was sold at an average price of $3.65, for a total value of $39,602.50. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Melanie Arlene Huet sold 91,000 shares of the company’s stock in a transaction dated 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 owned 867 shares in the company, valued at $3,901.50. This represents a 99.06% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders sold 202,750 shares of company stock worth $812,396. 1.64% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Quarry LP grew its position in Newell Brands by 139.3% in the 4th quarter. Quarry LP now owns 7,416 shares of the company’s stock worth $28,000 after purchasing an additional 4,317 shares during the period. Summit Securities Group LLC bought a new position in shares of Newell Brands during the 4th quarter valued at $30,000. Vise Technologies Inc. purchased a new position in shares of Newell Brands in the 3rd quarter worth $54,000. HighPoint Advisor Group LLC purchased a new position in shares of Newell Brands in the 4th quarter worth $39,000. Finally, CreativeOne Wealth LLC purchased a new position in shares of Newell Brands in the 3rd quarter worth $54,000. Institutional investors own 92.50% of the company’s stock.

Newell Brands Stock Up 12.9%

The company has a quick ratio of 0.59, a current ratio of 1.11 and a debt-to-equity ratio of 1.85. The company has a market cap of $2.69 billion, a P/E ratio of -11.95, a price-to-earnings-growth ratio of 6.86 and a beta of 0.87. The company has a fifty day moving average of $4.88 and a 200 day moving average of $4.40.

About Newell Brands

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.