Newell Brands
Market Cap
US$5.9b
Last Updated
2020/04/08 04:44 UTC
Data Sources
Company Financials +
Executive Summary
Newell Brands Inc. designs, manufactures, sources, and distributes consumer and commercial products worldwide.
Rewards
Risk Analysis
Snowflake Analysis
Established dividend payer and fair value.
Similar Companies
Share Price & News
How has Newell Brands's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: NWL's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
5.7%
NWL
3.0%
US Consumer Durables
2.4%
US Market
1 Year Return
-15.4%
NWL
-24.7%
US Consumer Durables
-10.0%
US Market
Return vs Industry: NWL exceeded the US Consumer Durables industry which returned -30.6% over the past year.
Return vs Market: NWL underperformed the US Market which returned -13.3% over the past year.
Shareholder returns
| NWL | Industry | Market | |
|---|---|---|---|
| 7 Day | 5.7% | 3.0% | 2.4% |
| 30 Day | -4.2% | -30.0% | -11.0% |
| 90 Day | -31.6% | -36.2% | -19.4% |
| 1 Year | -10.4%-15.4% | -23.6%-24.7% | -8.1%-10.0% |
| 3 Year | -67.8%-71.6% | -23.6%-27.1% | 17.3%9.6% |
| 5 Year | -61.2%-66.9% | -18.7%-24.1% | 36.1%21.1% |
Price Volatility Vs. Market
How volatile is Newell Brands's share price compared to the market and industry in the last 5 years?
Simply Wall St News
5 hours ago | Simply Wall St
Here's Why Newell Brands (NASDAQ:NWL) Has A Meaningful Debt Burden2 weeks ago | Simply Wall St
Is There An Opportunity With Newell Brands Inc.'s (NASDAQ:NWL) 48% Undervaluation?4 weeks ago | Simply Wall St
Should You Worry About Newell Brands Inc.’s (NASDAQ:NWL) ROCE?Valuation
Is Newell Brands undervalued compared to its fair value and its price relative to the market?
38.4%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: NWL ($12.82) is trading below our estimate of fair value ($23.11)
Significantly Below Fair Value: NWL is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: NWL is poor value based on its PE Ratio (29.2x) compared to the Consumer Durables industry average (6.6x).
PE vs Market: NWL is poor value based on its PE Ratio (29.2x) compared to the US market (12.5x).
Price to Earnings Growth Ratio
PEG Ratio: NWL is good value based on its PEG Ratio (0.7x)
Price to Book Ratio
PB vs Industry: NWL is overvalued based on its PB Ratio (1.1x) compared to the US Consumer Durables industry average (0.7x).
Next Steps
Future Growth
How is Newell Brands forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?
40.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: NWL's forecast earnings growth (40.4% per year) is above the savings rate (1.7%).
Earnings vs Market: NWL's earnings (40.4% per year) are forecast to grow faster than the US market (13.4% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: NWL's revenue is expected to decline over the next 3 years (-1.1% per year).
High Growth Revenue: NWL's revenue is forecast to decline over the next 3 years (-1.1% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: NWL's Return on Equity is forecast to be low in 3 years time (13.8%).
Next Steps
Past Performance
How has Newell Brands performed over the past 5 years?
-50.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: NWL has a large one-off loss of $1.3B impacting its December 31 2019 financial results.
Growing Profit Margin: NWL became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: NWL has become profitable over the past 5 years, growing earnings by -50.4% per year.
Accelerating Growth: NWL has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: NWL has become profitable in the last year, making it difficult to compare its past year earnings growth to the Consumer Durables industry (10%).
Return on Equity
High ROE: NWL's Return on Equity (3.7%) is considered low.
Next Steps
Financial Health
How is Newell Brands's financial position?
Financial Position Analysis
Short Term Liabilities: NWL's short term assets ($4.1B) exceed its short term liabilities ($3.0B).
Long Term Liabilities: NWL's short term assets ($4.1B) do not cover its long term liabilities ($7.7B).
Debt to Equity History and Analysis
Debt Level: NWL's debt to equity ratio (114.3%) is considered high.
Reducing Debt: NWL's debt to equity ratio has reduced from 134.8% to 114.3% over the past 5 years.
Debt Coverage: NWL's debt is not well covered by operating cash flow (18.3%).
Interest Coverage: NWL's interest payments on its debt are not well covered by EBIT (2.7x coverage).
Balance Sheet
Next Steps
Dividend
What is Newell Brands's current dividend yield, its reliability and sustainability?
7.02%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: NWL's dividend (7.18%) is higher than the bottom 25% of dividend payers in the US market (2.01%).
High Dividend: NWL's dividend (7.18%) is in the top 25% of dividend payers in the US market (5.66%)
Stability and Growth of Payments
Stable Dividend: NWL's dividends per share have been stable in the past 10 years.
Growing Dividend: NWL's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (209.3%), NWL's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: NWL's dividends in 3 years are forecast to be covered by earnings (60.4% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.3yrs
Average management tenure
CEO
Ravi Saligram (62yo)
0.50
Tenure
US$7,569,502
Compensation
Mr. Ravichandra K. Saligram, also known as Ravi, has been Chief Executive Officer, President and Director of Newell Brands Inc. since October 2, 2019. Mr. Saligram was the Chief Executive Officer and Non-I ...
CEO Compensation Analysis
Compensation vs Market: Ravi's total compensation ($USD7.57M) is about average for companies of similar size in the US market ($USD7.61M).
Compensation vs Earnings: Insufficient data to compare Ravi's compensation with company performance.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 0.50yr | US$7.57m | 0.0078% $458.3k | |
| CFO & President of Business Operations | 1.33yrs | US$7.73m | 0.011% $646.7k | |
| Chief Legal & Administrative Officer and Corporate Secretary | 2.67yrs | US$3.82m | 0.0098% $574.5k | |
| President of the Learning & Development Segment | 1.17yrs | US$2.27m | 0.0083% $488.8k | |
| Chief Accounting Officer | 1.08yrs | no data | 0.00056% $32.9k | |
| Senior Vice President of Investor Relations & Corporate Communications | 12.08yrs | no data | no data | |
| Chief Human Resources Officer | 0.50yr | no data | no data | |
| Senior VP of Finance | no data | no data | no data | |
| Senior Vice President of Design & Ideation | no data | no data | no data | |
| Business Unit CEO of Appliances & Cookware | 2.25yrs | no data | no data |
1.3yrs
Average Tenure
51yo
Average Age
Experienced Management: NWL's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 0.50yr | US$7.57m | 0.0078% $458.3k | |
| Independent Director | 1.92yrs | US$265.76k | no data | |
| Independent Director | 2.17yrs | US$283.05k | 0.0080% $471.2k | |
| Independent Non-Executive Chairman of the Board | 2.08yrs | US$451.60k | 0.011% $661.4k | |
| Independent Director | 13.25yrs | US$285.06k | 0.016% $945.4k | |
| Independent Director | 2yrs | US$268.91k | 0.0013% $78.1k | |
| Independent Director | 14.08yrs | US$289.06k | 0.013% $772.3k | |
| Independent Director | 2.08yrs | US$265.91k | 0.34% $20.2m | |
| Independent Director | 2.17yrs | US$269.00k | 0.0015% $90.4k | |
| Independent Director | 2.08yrs | US$281.35k | 0.011% $654.9k |
2.1yrs
Average Tenure
61.5yo
Average Age
Experienced Board: NWL's board of directors are not considered experienced ( 2.1 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: NWL insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Newell Brands Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Newell Brands Inc.
- Ticker: NWL
- Exchange: NasdaqGS
- Founded: 1903
- Industry: Housewares and Specialties
- Sector: Consumer Durables
- Market Cap: US$5.868b
- Shares outstanding: 447.97m
- Website: https://www.newellbrands.com
Number of Employees
Location
- Newell Brands Inc.
- 6655 Peachtree Dunwoody Road
- Atlanta
- Georgia
- 30328
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| NWL | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | May 1972 |
| NWL | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | May 1972 |
| NWL * | BMV (Bolsa Mexicana de Valores) | Yes | Common Stock | MX | MXN | May 1972 |
| 0K7J | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | May 1972 |
| N1WL34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH REPR 1 COM | BR | BRL | Dec 2019 |
Biography
Newell Brands Inc. designs, manufactures, sources, and distributes consumer and commercial products worldwide. The company operates through four segments: Appliances and Cookware, Food and Commercial, Home and Outdoor Living, and Learning and Development. The Appliances and Cookware segment offers household products, including kitchen appliances, gourmet cookware, bakeware, and cutlery under the Calphalon, Crock-Pot, Mr. Coffee, Oster, and Sunbeam brands. The Food and Commercial segment offers food storage and home storage products, and fresh preserving products, vacuum sealing products, commercial cleaning and maintenance solutions, hygiene systems, and material handling solutions under the Ball, FoodSaver, Rubbermaid, Sistema, Rubbermaid Commercial Products, Mapa, Quickie, and Spontex brands. The Home and Outdoor Living segment offers products for outdoor and outdoor-related activities, home fragrance, and connected home and security products under the Chesapeake Bay Candle, Coleman, Contigo, ExOfficio, First Alert, Marmot, WoodWick, and Yankee Candle brands. The Learning and Development segment offers writing instruments, including markers and highlighters, pens, and pencils; art products; activity-based adhesive and cutting products; labeling solutions; and baby gear and infant care products under the Aprica, Baby Jogger, Dymo, Elmer’s, EXPO, Graco, Mr. Sketch, NUK, Paper Mate, Parker, Prismacolor, Sharpie, Tigex Waterman, and X-Acto brands. It markets its products to clubs, department stores, drug/grocery stores, mass merchants, specialty retailers, distributors and e-commerce companies, home centers, sporting goods retailers, warehouse clubs, office superstores and supply stores, contract stationers, and travel retail, as well as sells directly to consumers via on-line. Newell Brands Inc. was formerly known as Newell Rubbermaid Inc. and changed its name to Newell Brands Inc. in April 2016. The company was founded in 1903 and is based in Atlanta, Georgia.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/08 04:44 |
| End of Day Share Price | 2020/04/07 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.