Newell Brands (NASDAQ:NWL) Stock Price Up 6.4% - Should You Buy?

Key Points

• Newell Brands shares rose 6.4% on Thursday, trading as high as $5.60 after closing at $5.16, though volume was well below average.
• Analyst sentiment remains cautious: the stock has a consensus Hold rating with a $4.88 target price, and several firms recently cut targets or downgraded the shares.
• The company recently beat quarterly earnings expectations with EPS of -$0.05 versus -$0.09 expected, and it continues paying a dividend that yields about 5.1% annually.

Newell Brands Inc. (NASDAQ:NWL - Get Free Report)'s stock price shot up 6.4% during trading on Thursday . The company traded as high as $5.60 and last traded at $5.4890. 856,943 shares were traded during mid-day trading, a decline of 89% from the average session volume of 7,830,300 shares. The stock had previously closed at $5.16.

Wall Street Analysts Forecast Growth

A number of research firms recently weighed in on NWL. Weiss Ratings reissued a "sell (d-)" rating on shares of Newell Brands in a report on Friday, May 15th. Barclays lowered their price target on Newell Brands from $6.00 to $5.00 and set an "overweight" rating for the company in a report on Tuesday, April 14th. Royal Bank Of Canada set a $4.00 target price on shares of Newell Brands in a report on Thursday, April 9th. UBS Group restated a "neutral" rating and issued a $4.75 price target on shares of Newell Brands in a report on Thursday. Finally, Morgan Stanley lowered shares of Newell Brands from an "equal weight" rating to an "underweight" rating and cut their price objective for the company from $4.00 to $3.50 in a report on Wednesday, May 20th. Three analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Hold" and a consensus target price of $4.88.

Newell Brands Stock Performance

The stock has a market capitalization of $2.33 billion, a price-to-earnings ratio of -8.17, a P/E/G ratio of 6.17 and a beta of 0.87. The company has a current ratio of 1.04, a quick ratio of 0.51 and a debt-to-equity ratio of 1.94. The firm has a 50-day moving average of $4.56 and a 200-day moving average of $4.28.

Newell Brands (NASDAQ:NWL - Get Free Report) last released its earnings results on Friday, May 1st. The company reported ($0.05) EPS for the quarter, topping analysts' consensus estimates of ($0.09) by $0.04. Newell Brands had a positive return on equity of 8.89% and a negative net margin of 3.91%.The firm had revenue of $1.55 billion during the quarter, compared to the consensus estimate of $1.51 billion. During the same quarter in the previous year, the company posted ($0.01) earnings per share. The company's revenue was down 1.1% compared to the same quarter last year. Newell Brands has set its FY 2026 guidance at 0.560-0.600 EPS and its Q2 2026 guidance at 0.160-0.190 EPS. As a group, sell-side analysts predict that Newell Brands Inc. will post 0.57 earnings per share for the current year.

Newell Brands Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Monday, June 15th. Shareholders of record on Friday, May 29th were issued a $0.07 dividend. The ex-dividend date of this dividend was Friday, May 29th. This represents a $0.28 dividend on an annualized basis and a yield of 5.1%. Newell Brands's payout ratio is presently -41.79%.

Insider Buying and Selling

In other news, insider Kristine Kay Malkoski sold 10,850 shares of the company's stock in a transaction that occurred on Wednesday, May 27th. The stock was sold at an average price of $3.65, for a total transaction of $39,602.50. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Melanie Arlene Huet sold 91,000 shares of the stock in a transaction 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. The trade was a 99.06% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 202,750 shares of company stock valued at $812,396. Corporate insiders own 1.64% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Intech Investment Management LLC lifted its stake in shares of Newell Brands by 510.3% in the fourth quarter. Intech Investment Management LLC now owns 483,491 shares of the company's stock worth $1,799,000 after buying an additional 404,269 shares in the last quarter. Louisiana State Employees Retirement System purchased a new stake in shares of Newell Brands during the 1st quarter valued at approximately $638,000. Pzena Investment Management LLC lifted its stake in shares of Newell Brands by 5.0% in the 4th quarter. Pzena Investment Management LLC now owns 50,019,553 shares of the company's stock valued at $186,073,000 after purchasing an additional 2,375,782 shares during the last quarter. CastleKnight Management LP lifted its position in Newell Brands by 397.9% in the fourth quarter. CastleKnight Management LP now owns 864,914 shares of the company's stock valued at $3,217,000 after buying an additional 691,214 shares during the last quarter. Finally, M&T Bank Corp lifted its holdings in shares of Newell Brands by 2,437.3% in the 4th quarter. M&T Bank Corp now owns 338,051 shares of the company's stock worth $1,258,000 after acquiring an additional 324,728 shares during the last quarter. Hedge funds and other 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.