Reynolds Consumer Products (NASDAQ:REYN) Issues Earnings Results

Key Points

• Reynolds beat Q1 expectations with $0.28 EPS vs. $0.25 est. and $877M revenue (up 7.2% YoY), and set FY‑2026 adjusted EPS guidance of $1.57–$1.63 with Q2 guidance of $0.39–$0.43.
• Management warned of an approximately $200 million annualized commodity headwind (aluminum, polyethylene and other resins) and plans to offset it with pricing, productivity and cost actions concentrated in the second half, while flagging near‑term promotional and private‑label pressures in some categories.
• The company declared a $0.23 quarterly dividend (4.2% yield, ~63.9% payout ratio) and the stock traded up about 3.6%; a director also purchased 4,705 shares in March.

Reynolds Consumer Products (NASDAQ:REYN - Get Free Report) issued its quarterly earnings results on Wednesday. The company reported $0.28 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.25 by $0.03, FiscalAI reports. The company had revenue of $877.00 million for the quarter, compared to analysts' expectations of $822.42 million. Reynolds Consumer Products had a return on equity of 15.86% and a net margin of 8.09%.The firm's revenue for the quarter was up 7.2% on a year-over-year basis. During the same period last year, the firm earned $0.23 EPS. Reynolds Consumer Products updated its FY 2026 guidance to 1.570-1.630 EPS and its Q2 2026 guidance to 0.390-0.43 EPS.

Here are the key takeaways from Reynolds Consumer Products' conference call:

• Reynolds delivered a strong Q1 with 7% revenue growth, share gains across most brands, double-digit e-commerce growth, and profitability improvement in three of four segments.
• Management warned of a roughly $200 million annualized commodity headwind (aluminum, polyethylene, other resins) and plans to offset it with pricing, productivity, and cost measures concentrated in the second half.
• The company reiterated full-year 2026 guidance (net revenue -3% to +1%, Adjusted EBITDA $660–$675M, Adjusted EPS $1.57–$1.63) and reported net leverage of 2.1x, signaling financial flexibility despite uncertainty.
• A strategic segment realignment and new product innovation (e.g., Reynolds Countertop Prep Paper, embossed foil) are already showing early benefits and are intended to sharpen go‑to‑market focus and expand addressable markets.
• Intensified promotion and private‑label activity, especially in waste bags (escalating in April), pressured the category; management says it held pricing architecture but noted near‑term competitive headwinds and retailer dual‑sourcing.

Reynolds Consumer Products Stock Up 3.6%

NASDAQ:REYN traded up $0.78 during trading hours on Wednesday, hitting $22.07. 2,089,124 shares of the stock traded hands, compared to its average volume of 1,074,064. The firm has a 50 day moving average price of $21.87 and a 200 day moving average price of $23.16. The firm has a market cap of $4.65 billion, a price-to-earnings ratio of 15.29 and a beta of 0.57. Reynolds Consumer Products has a fifty-two week low of $20.44 and a fifty-two week high of $26.25. The company has a current ratio of 1.93, a quick ratio of 0.92 and a debt-to-equity ratio of 0.70.

Reynolds Consumer Products Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, May 29th. Shareholders of record on Friday, May 15th will be paid a dividend of $0.23 per share. This represents a $0.92 annualized dividend and a yield of 4.2%. The ex-dividend date of this dividend is Friday, May 15th. Reynolds Consumer Products's payout ratio is 63.89%.

Insider Buying and Selling at Reynolds Consumer Products

In other Reynolds Consumer Products news, Director Rolf Stangl purchased 4,705 shares of the company's stock in a transaction that occurred on Wednesday, March 18th. The shares were purchased at an average cost of $21.06 per share, with a total value of $99,087.30. Following the completion of the transaction, the director owned 39,537 shares of the company's stock, valued at approximately $832,649.22. This represents a 13.51% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through this link. Corporate insiders own 0.37% of the company's stock.

Hedge Funds Weigh In On Reynolds Consumer Products

Institutional investors and hedge funds have recently bought and sold shares of the business. Royal Bank of Canada raised its holdings in shares of Reynolds Consumer Products by 74.6% during the 4th quarter. Royal Bank of Canada now owns 2,163 shares of the company's stock valued at $50,000 after purchasing an additional 924 shares in the last quarter. PNC Financial Services Group Inc. lifted its position in shares of Reynolds Consumer Products by 32.5% in the fourth quarter. PNC Financial Services Group Inc. now owns 2,873 shares of the company's stock worth $66,000 after buying an additional 704 shares during the last quarter. Kestra Advisory Services LLC acquired a new stake in shares of Reynolds Consumer Products in the fourth quarter worth about $76,000. Tower Research Capital LLC TRC boosted its stake in shares of Reynolds Consumer Products by 764.6% during the 2nd quarter. Tower Research Capital LLC TRC now owns 3,666 shares of the company's stock worth $79,000 after acquiring an additional 3,242 shares in the last quarter. Finally, Wells Fargo & Company MN boosted its stake in shares of Reynolds Consumer Products by 34.4% during the 4th quarter. Wells Fargo & Company MN now owns 3,466 shares of the company's stock worth $79,000 after acquiring an additional 887 shares in the last quarter. Hedge funds and other institutional investors own 26.81% of the company's stock.

Analysts Set New Price Targets

Several equities research analysts have commented on REYN shares. Canaccord Genuity Group dropped their price target on shares of Reynolds Consumer Products from $27.00 to $24.00 and set a "hold" rating on the stock in a research report on Monday, January 26th. Weiss Ratings reaffirmed a "hold (c)" rating on shares of Reynolds Consumer Products in a research note on Monday, April 27th. UBS Group cut their target price on shares of Reynolds Consumer Products from $26.00 to $23.00 and set a "neutral" rating for the company in a research note on Tuesday, April 7th. Zacks Research upgraded shares of Reynolds Consumer Products from a "strong sell" rating to a "hold" rating in a research report on Monday, April 6th. Finally, Royal Bank Of Canada set a $24.00 price objective on Reynolds Consumer Products and gave the company a "sector perform" rating in a research report on Thursday, April 9th. Seven research analysts have rated the stock with a Hold rating, According to MarketBeat.com, the stock currently has a consensus rating of "Hold" and a consensus price target of $23.60.

Reynolds Consumer Products Company Profile

Reynolds Consumer Products, Inc NASDAQ: REYN is a leading North American manufacturer and marketer of household consumer products. The company specializes in food storage and cooking solutions, including aluminum foil, plastic wrap, food storage containers and disposable tableware. Its core portfolio features well-known brands such as Reynolds Wrap aluminum foil, Hefty storage containers and trash bags, and Fastfold paper plates.

The company operates through a network of manufacturing and distribution facilities across North America, Latin America, Europe and the Asia Pacific region.

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