Fact Summary
In its Q2 2026 earnings announced on 2026-07-31, Newell Brands reported revenue of $1,994 million (+3% year-over-year, above the consensus of $1,978 million), marking the company's first year-over-year quarterly revenue increase since 2021. Adjusted EPS came in at $0.42, significantly above the consensus of $0.20, with a substantial portion attributable to a tariff refund under IEEPA (approximately $126 million pre-tax) that was later ruled invalid. The company disclosed revised 2026 normalized EPS figures of $0.73-$0.77 (up from a prior midpoint of $0.58), and that same week entered into a new five-year asset-based revolving credit facility of up to $800 million, arranged by a JPMorgan-led bank group.
Price-Change Context Note
On 2026-08-03, the share price rose +13.57% from the prior day (closing at $6.36), reported as a continuation of the rally following the 2026-07-31 earnings announcement. Benzinga reported short interest as a percentage of float at 21.65% as of the earnings date, noting the potential for increased volatility from short covering; however, other sources cited differing figures ranging from 5.53% to 15.47%, so the precise short interest percentage remains unconfirmed.
Business Overview
Newell Brands is a global consumer products company organized into three segments. The Home and Commercial Solutions segment includes Rubbermaid, FoodSaver, Yankee Candle, and Mr. Coffee, among others; the Learning and Development segment includes Sharpie, Paper Mate, Elmer's, and Graco; and the Outdoor and Recreation segment includes Coleman, Contigo, and Marmot.
Q2 2026 Earnings
5-Year Financial Trend
Revenue declined approximately 32% over five years, from $10.59B in FY2021 to $7.20B in FY2025, while gross margin improved from a low of 28.93% in FY2023 to 33.76% in FY2025. Operating income turned negative at -$85M in FY2023 before remaining modestly positive ($39-67M) in FY2024-2025.
Valuation Metrics
TTM (trailing twelve months) revenue of $7.40B, net loss of -$243M · P/E (TTM, GAAP) not applicable due to net loss (N/A) · Source: stockanalysis.com (as of 2026-08-04)
Financial Health
Competitor Comparison
In the home/kitchen space, Helen of Troy (OXO brand) competes directly with Rubbermaid; in food storage containers, Tupperware Brands is a competitor; and in the small appliances category, the company competes with Spectrum Brands Holdings.
Newell Brands: ROIC<WACC, improving trend (2021-2025) Helen of Troy: ROIC<WACC, declining trend (2021-2025)
Source: artificall.com analysis (methodology undisclosed, for reference only) · A quantitative comparison table of competitor P/E and EV/EBITDA as of the same reference date was not obtained.
Ownership & Institutional Holdings
Total institutional ownership of 96.23% (stockanalysis.com, as of 2026-08-04) · BlackRock increased its stake from 11.4% as of 2026-03-31 to 15.0% (63,921,695 shares) as of 2026-06-30 (per SEC Schedule 13G/A filed 2026-07-29) · Form 4 filings by multiple executives on 2026-07-05 were confirmed to reflect routine PSU/RSU vesting acquisitions and tax-withholding dispositions, with no separate discretionary open-market transactions identified.
Risk Factors
- Revenue declined approximately 32% over five years, from $10.59B in FY2021 to $7.20B in FY2025 (whether the Q2 2026 rebound continues requires confirmation in subsequent quarters)
- Three consecutive years of GAAP net losses from 2023-2025, totaling approximately $889M cumulatively
- The $0.28/share dividend is not covered by FY2025 GAAP EPS (-$0.68), relying on operating cash flow
- Following a credit rating downgrade, the company issued $1,250M of 8.500% senior notes on 2026-05-22 to redeem existing 4.200% notes
- A significant portion of the 2026 earnings improvement stems from a one-time tariff refund effect — should be evaluated separately from core business improvement
- Short interest figures conflict across sources, ranging from 5.53% to 21.65%, so a single confirmed figure cannot be determined
Governance
The board of directors consists of 8 members, including independent Board Chair Bridget Ryan Berman, with CEO Christopher H. Peterson serving since 2023 (DEF 14A, filed 2026-03-26). On 2025-11-26, the board approved a restructuring plan including a reduction of approximately 10% (approximately 900 employees) in professional and office staff and the closure of approximately 20 stores (8-K, 2025-12-01).
Macro Environment
- U.S. federal funds rate held steady at 3.50-3.75% (2026-07-29 FOMC), U.S. 10-year Treasury yield approximately 4.69% (2026-08-03)
- U.S. Consumer Confidence Index at 90.8 (July 2026, declining for a third consecutive month) — a negative pressure on discretionary consumer demand
- U.S. CPI year-over-year at 3.5% (June 2026, moderating from 4.2% in May), U.S. Dollar Index (DXY) at approximately 99.8 (7-week low)
- WTI crude oil at $86-87/bbl, benzene spot prices rising for a third consecutive week — cost pressure on plastic resin inputs
- Net cash impact of 2026 China tariffs at $130M; China sourcing share of COGS reduced from 35% to below 10%
Recent Event Timeline
| Date | Event |
|---|---|
| 2025-11-26 | Board approves restructuring plan — approximately 10% (approximately 900 employees) reduction in professional/office staff, closure of approximately 20 stores |
| 2026-05-22 | Issued $1,250M of 8.500% senior notes due 2028 (to redeem existing 4.200% notes) |
| 2026-07-30 | Closed new five-year, up to $800M asset-based revolving credit facility arranged by JPMorgan |
| 2026-07-31 | Q2 2026 earnings announced — revenue $1,994M (+3% YoY), adjusted EPS $0.42, raised 2026 figures |
| 2026-08-03 | Share price +13.57% (closing at $6.36) — continuation of post-earnings rally (secondary source) |
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Fact Highlights
This is not investment advice. FomoLog provides factual summaries and post-hoc price-change context only. Investment decisions and their outcomes are solely the responsibility of the investor.
Generated by FomoLog Agent · Data sources: Korea Exchange · NASDAQ · DART · SEC EDGAR