Newell Brands (NASDAQ:NWL) Trading Up 4.4% - Time to Buy?

Key Points

• Newell Brands shares rose 4.4% to $6.14 in mid-day trading, although trading volume was significantly below average.
• Analysts maintain a consensus “Hold” rating with an average price target of $6.66; recent target changes ranged from $5.50 to $6.00, while Morgan Stanley set a $5.75 target.
• The company exceeded quarterly earnings expectations, reporting $0.42 EPS versus $0.20 expected, and declared a quarterly dividend of $0.07, representing a 4.6% annualized yield.

Newell Brands Inc. (NASDAQ:NWL - Get Free Report)'s share price traded up 4.4% during mid-day trading on Friday . The stock traded as high as $6.15 and last traded at $6.14. 633,350 shares traded hands during mid-day trading, a decline of 92% from the average daily volume of 8,028,082 shares. The stock had previously closed at $5.88.

Analysts Set New Price Targets

A number of equities research analysts recently weighed in on NWL shares. UBS Group lifted their price objective on shares of Newell Brands from $4.75 to $5.50 and gave the company a "neutral" rating in a report on Monday, August 3rd. Weiss Ratings upgraded Newell Brands from a "sell (d-)" rating to a "sell (d)" rating in a report on Wednesday. Citigroup lifted their target price on Newell Brands from $5.50 to $6.00 and gave the company a "neutral" rating in a research report on Tuesday, August 4th. Wall Street Zen raised Newell Brands from a "hold" rating to a "buy" rating in a research report on Saturday, August 1st. Finally, Morgan Stanley restated an "underweight" rating and issued a $5.75 price objective on shares of Newell Brands in a report on Thursday, August 6th. One equities research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating, four have issued a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus price target of $6.66.

Newell Brands Price Performance

The firm has a market capitalization of $2.60 billion, a P/E ratio of -11.53, a P/E/G ratio of 1.47 and a beta of 0.88. The stock's fifty day simple moving average is $5.64 and its 200 day simple moving average is $4.63. The company has a debt-to-equity ratio of 1.85, a current ratio of 1.11 and a quick ratio of 0.59.

Newell Brands (NASDAQ:NWL - Get Free Report) last issued its quarterly earnings data on Friday, July 31st. The company reported $0.42 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.20 by $0.22. The firm had revenue of $1.99 billion for the quarter, compared to the consensus estimate of $1.98 billion. Newell Brands had a negative net margin of 3.05% and a positive return on equity of 12.31%. The company's quarterly revenue was up 3.0% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.24 EPS. 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. On average, equities research analysts predict that Newell Brands Inc. will post 0.76 EPS for the current year.

Newell Brands Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, September 15th. Shareholders of record on Monday, August 31st will be issued a $0.07 dividend. This represents a $0.28 annualized dividend and a yield of 4.6%. The ex-dividend date of this dividend is Monday, August 31st. Newell Brands's payout ratio is currently -52.83%.

Insider Activity at Newell Brands

In other news, insider Bradford R. Turner sold 100,000 shares of the firm's stock in a transaction on Thursday, August 6th. The stock was sold at an average price of $6.16, for a total value of $616,000.00. Following the completion of the sale, the insider owned 433,398 shares of the company's stock, valued at $2,669,731.68. This trade represents a 18.75% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Corporate insiders own 1.64% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the business. Quarry LP boosted its holdings in Newell Brands by 139.3% in the fourth quarter. Quarry LP now owns 7,416 shares of the company's stock worth $28,000 after acquiring an additional 4,317 shares in the last quarter. Summit Securities Group LLC acquired a new stake in Newell Brands in the 4th quarter worth approximately $30,000. Citizens Financial Group Inc. RI acquired a new stake in Newell Brands in the 4th quarter worth approximately $39,000. HighPoint Advisor Group LLC purchased a new stake in Newell Brands during the 4th quarter worth approximately $39,000. Finally, 111 Capital acquired a new position in Newell Brands during the 4th quarter valued at approximately $39,000. 92.50% of the stock is owned by institutional investors and hedge funds.

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.

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