Newell Brands Reports First Sales Growth in Years, Stock Surges
After losing about 74% of its value over five years, Newell Brands (NWL) reported a significant turnaround with the first year-over-year increase in both net sales and core sales since 2021. The company's second-quarter results exceeded expectations, leading to an immediate stock jump of around 15%. Analysts had largely written off NWL as a value trap before this report. Newell Brands posted Q2 net sales of $1.994 billion—up 3% year-over-year and ahead of forecasts—and adjusted earnings per share (EPS) came in at 42 cents, more than double the expected 19 cents. A key driver was a one-time tariff relief benefit that added about 21 cents to EPS. Even excluding this gain, underlying performance still beat guidance. The company raised its full-year outlook for adjusted earnings and net sales growth, signaling confidence in continued improvement. Five of six business units saw core sales increases, with the U.S., Newell’s largest market, growing by about 5%. The Learning & Development segment led this recovery due to new product launches.
Tickers: $NWL