Newell Brands Reports Strong Q1 Results, Raises Guidance
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 hour ago
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Should l Buy NWL?
Source: Fool
- Strong Performance: Newell Brands reported Q1 net sales of $1.55 billion, a 1% decline year-over-year, but narrowed its net loss to $33 million ($0.08 per share), exceeding analyst expectations and demonstrating resilience in challenging conditions.
- Sales and Productivity: Despite facing lower sales volumes and inflationary pressures, Newell mitigated these challenges through improved productivity and pricing actions, indicating effective strategies in cost control and market adaptability.
- Guidance Upgrade: Management raised its full-year net sales forecast to flat to 2% growth, up from a previous estimate of a 1% decline to a 1% increase, reflecting confidence and a positive outlook for future market conditions.
- Earnings Outlook Improvement: The company increased the lower end of its normalized EPS guidance to $0.56 to $0.60, showcasing management's optimism about profitability, although analysts remain cautious about rating the stock as a buy.
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Analyst Views on NWL
Wall Street analysts forecast NWL stock price to rise
9 Analyst Rating
4 Buy
5 Hold
0 Sell
Moderate Buy
Current: 4.080
Low
3.75
Averages
4.81
High
7.00
Current: 4.080
Low
3.75
Averages
4.81
High
7.00
About NWL
Newell Brands Inc. is a global consumer goods company. The Company operates in three segments: Home and Commercial Solutions, Learning and Development, and Outdoor and Recreation. The products offered under the Home and Commercial Solutions segment include commercial cleaning and maintenance solutions; closet and garage organization; hygiene systems and material handling solutions; household products, including kitchen appliances; food and home storage products; vacuum sealing products; gourmet cookware, bakeware and cutlery and home fragrance products. The Learning and Development segment offers products in baby gear and infant care products; writing instruments, including markers and highlighters, pens and pencils; art products; activity-based products and labeling solutions. The Outdoor and Recreation segment offers products for outdoor and outdoor-related activities. Its brands include Rubbermaid, Sharpie, Graco, Coleman, Yankee Candle, Yankee Candle, and Paper Mate, among others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Newell Brands Reports Strong Q1 Results, Raises Guidance
- Strong Performance: Newell Brands reported Q1 net sales of $1.55 billion, a 1% decline year-over-year, but narrowed its net loss to $33 million ($0.08 per share), exceeding analyst expectations and demonstrating resilience in challenging conditions.
- Sales and Productivity: Despite facing lower sales volumes and inflationary pressures, Newell mitigated these challenges through improved productivity and pricing actions, indicating effective strategies in cost control and market adaptability.
- Guidance Upgrade: Management raised its full-year net sales forecast to flat to 2% growth, up from a previous estimate of a 1% decline to a 1% increase, reflecting confidence and a positive outlook for future market conditions.
- Earnings Outlook Improvement: The company increased the lower end of its normalized EPS guidance to $0.56 to $0.60, showcasing management's optimism about profitability, although analysts remain cautious about rating the stock as a buy.
See More
NEWELL BRANDS REPORTS FIRST QUARTER 2026 FINANCIAL RESULTS
- Company Announcement: Newell Brands has announced its financial results for the first quarter of 2026.
- Performance Overview: The results indicate key performance metrics and insights into the company's financial health during this period.
See More
Consumer Stocks Show Mixed Performance
- Market Volatility: On Friday afternoon, consumer stocks exhibited mixed performance, reflecting divergent market views on economic prospects, which could impact investor confidence and consumer spending.
- Sector Differentiation: While overall consumer stocks showed volatility, certain sub-sectors like consumer goods and staples may be favored for their stability, indicating a preference for defensive assets among investors.
- Economic Data Impact: Recent economic data releases could lead to fluctuations in market sentiment, prompting investors to closely monitor upcoming economic indicators to assess future consumption trends.
- Investment Strategy Reevaluation: Against the backdrop of mixed consumer stock performance, investors may reassess their portfolios, seeking more defensive investment options in an uncertain market environment.
See More
Newell Brands Q1 2026 Earnings Exceed Expectations
- Performance Exceeds Expectations: Newell Brands reported Q1 2026 core sales growth above expectations across all three segments, particularly with the Learning & Development segment returning to growth, indicating effective execution in innovation and marketing strategies.
- Increased Cost Pressures: While normalized gross margin improved to 33.2%, the company faces approximately $50 million in commodity and transportation inflation, highlighting ongoing challenges in cost management under the current trade policy environment.
- Upgraded Full-Year Outlook: The company raised its 2026 net sales expectations to flat to positive 2%, with core sales now projected between negative 1% and positive 1%, reflecting management's confidence in improving market demand.
- Cash Flow and Leverage: Q1 operating cash flow was an outflow of $233 million, with a net leverage ratio of approximately 5.4x, demonstrating the company's ongoing efforts in cash generation and deleveraging despite high interest expenses and restructuring costs.
See More
NEWELL BRANDS STOCK RISES 6% FOLLOWING INCREASE IN ANNUAL SALES PROJECTION
- Company Performance: Newell Brands shares increased by 6% following positive annual sales forecasts.
- Sales Forecast: The company has raised its expectations for future sales, indicating strong market performance.
See More
Newell Brands Q1 2026 Earnings Report Analysis
- Earnings Highlights: Newell Brands reported a Q1 GAAP EPS of -$0.08, beating expectations by $0.03, yet revenue of $1.5 billion fell short by $10 million, indicating ongoing challenges in the market.
- Q2 Outlook: The company projects net sales for Q2 2026 to be flat to up 2%, with core sales also expected to be flat to up 2%, reflecting efforts to stabilize revenue amidst market pressures.
- Full Year Outlook Update: The updated full-year 2026 outlook indicates net sales are expected to be flat to up 2%, while core sales have been adjusted to a decline of 1% to an increase of 1%, highlighting the impact of macroeconomic uncertainties on performance.
- Cash Flow Maintenance: Newell Brands maintains its operating cash flow outlook for 2026 in the range of $350 million to $400 million, suggesting a degree of cash flow stability to support operations and investments despite the challenges faced.
See More
Newell Brands Reports Strong Q1 Results, Raises Guidance
- Strong Performance: Newell Brands reported Q1 net sales of $1.55 billion, a 1% decline year-over-year, but narrowed its net loss to $33 million ($0.08 per share), exceeding analyst expectations and demonstrating resilience in challenging conditions.
- Sales and Productivity: Despite facing lower sales volumes and inflationary pressures, Newell mitigated these challenges through improved productivity and pricing actions, indicating effective strategies in cost control and market adaptability.
- Guidance Upgrade: Management raised its full-year net sales forecast to flat to 2% growth, up from a previous estimate of a 1% decline to a 1% increase, reflecting confidence and a positive outlook for future market conditions.
- Earnings Outlook Improvement: The company increased the lower end of its normalized EPS guidance to $0.56 to $0.60, showcasing management's optimism about profitability, although analysts remain cautious about rating the stock as a buy.
See More
NEWELL BRANDS REPORTS FIRST QUARTER 2026 FINANCIAL RESULTS
- Company Announcement: Newell Brands has announced its financial results for the first quarter of 2026.
- Performance Overview: The results indicate key performance metrics and insights into the company's financial health during this period.
See More
Consumer Stocks Show Mixed Performance
- Market Volatility: On Friday afternoon, consumer stocks exhibited mixed performance, reflecting divergent market views on economic prospects, which could impact investor confidence and consumer spending.
- Sector Differentiation: While overall consumer stocks showed volatility, certain sub-sectors like consumer goods and staples may be favored for their stability, indicating a preference for defensive assets among investors.
- Economic Data Impact: Recent economic data releases could lead to fluctuations in market sentiment, prompting investors to closely monitor upcoming economic indicators to assess future consumption trends.
- Investment Strategy Reevaluation: Against the backdrop of mixed consumer stock performance, investors may reassess their portfolios, seeking more defensive investment options in an uncertain market environment.
See More
Newell Brands Q1 2026 Earnings Exceed Expectations
- Performance Exceeds Expectations: Newell Brands reported Q1 2026 core sales growth above expectations across all three segments, particularly with the Learning & Development segment returning to growth, indicating effective execution in innovation and marketing strategies.
- Increased Cost Pressures: While normalized gross margin improved to 33.2%, the company faces approximately $50 million in commodity and transportation inflation, highlighting ongoing challenges in cost management under the current trade policy environment.
- Upgraded Full-Year Outlook: The company raised its 2026 net sales expectations to flat to positive 2%, with core sales now projected between negative 1% and positive 1%, reflecting management's confidence in improving market demand.
- Cash Flow and Leverage: Q1 operating cash flow was an outflow of $233 million, with a net leverage ratio of approximately 5.4x, demonstrating the company's ongoing efforts in cash generation and deleveraging despite high interest expenses and restructuring costs.
See More
NEWELL BRANDS STOCK RISES 6% FOLLOWING INCREASE IN ANNUAL SALES PROJECTION
- Company Performance: Newell Brands shares increased by 6% following positive annual sales forecasts.
- Sales Forecast: The company has raised its expectations for future sales, indicating strong market performance.
See More
Newell Brands Q1 2026 Earnings Report Analysis
- Earnings Highlights: Newell Brands reported a Q1 GAAP EPS of -$0.08, beating expectations by $0.03, yet revenue of $1.5 billion fell short by $10 million, indicating ongoing challenges in the market.
- Q2 Outlook: The company projects net sales for Q2 2026 to be flat to up 2%, with core sales also expected to be flat to up 2%, reflecting efforts to stabilize revenue amidst market pressures.
- Full Year Outlook Update: The updated full-year 2026 outlook indicates net sales are expected to be flat to up 2%, while core sales have been adjusted to a decline of 1% to an increase of 1%, highlighting the impact of macroeconomic uncertainties on performance.
- Cash Flow Maintenance: Newell Brands maintains its operating cash flow outlook for 2026 in the range of $350 million to $400 million, suggesting a degree of cash flow stability to support operations and investments despite the challenges faced.
See More
