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NWL

Newell BrandsNasdaqGS:NWL Stock Report

Market Cap

US$10.1b

7D

-4.6%

1Y

41.4%

Updated

25 Sep, 2021

Data

Company Financials +
NWL fundamental analysis
Snowflake Score
Valuation2/6
Future Growth1/6
Past Performance3/6
Financial Health3/6
Dividends6/6

NWL Overview

Newell Brands Inc. designs, manufactures, sources, and distributes consumer and commercial products worldwide.

Newell Brands Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Newell Brands
Historical stock prices
Current Share PriceUS$23.67
52 Week HighUS$16.57
52 Week LowUS$30.10
Beta0.94
1 Month Change-6.11%
3 Month Change-11.08%
1 Year Change41.40%
3 Year Change16.60%
5 Year Change-55.05%
Change since IPO97.25%

Recent News & Updates

Sep 13
Is It Too Late To Consider Buying Newell Brands Inc. (NASDAQ:NWL)?

Is It Too Late To Consider Buying Newell Brands Inc. (NASDAQ:NWL)?

Today we're going to take a look at the well-established Newell Brands Inc. ( NASDAQ:NWL ). The company's stock...

Sep 10

Newell Brands: A Restructuring Story Worth A Bet

Newell Brands began in 2019 a company restructuring with the aim to increase top-line growth, improve operating margins, accelerate cash conversion and strengthen the portfolio. The most visible result of the company's restructuring has been so far the better-than-expected increase of revenue. Improving operating margins is the missing piece to a full success story. The decline of the net debt/EBITDA ratio below 3x by 2021x could lead the Company to implement a buyback program or to raise the dividend. Combining a DCF model and a multiple analysis, we derive a USD31/share target price on the stock, which represents a 22% upside potential.

Aug 03
Does Newell Brands (NASDAQ:NWL) Have A Healthy Balance Sheet?

Does Newell Brands (NASDAQ:NWL) Have A Healthy Balance Sheet?

The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...

Shareholder Returns

NWLUS Consumer DurablesUS Market
7D-4.6%-0.9%0.1%
1Y41.4%37.9%35.3%

Return vs Industry: NWL exceeded the US Consumer Durables industry which returned 37.9% over the past year.

Return vs Market: NWL exceeded the US Market which returned 35.3% over the past year.

Price Volatility

Is NWL's price volatile compared to industry and market?
NWL volatility
NWL Beta0.94
Industry Beta1.45
Market Beta1

Stable Share Price: NWL is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: NWL's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
190331,000Ravi Saligramhttps://www.newellbrands.com

Newell Brands Inc. designs, manufactures, sources, and distributes consumer and commercial products worldwide. Its 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 company’s Commercial Solutions segment provides commercial cleaning and maintenance solutions; closet and garage organization; hygiene systems and material handling solutions; and home and security, and smoke and carbon monoxide alarms products under the BRK, First Alert, Mapa, Quickie, Rubbermaid, Rubbermaid Commercial Products, and Spontex brands.

Newell Brands Fundamentals Summary

How do Newell Brands's earnings and revenue compare to its market cap?
NWL fundamental statistics
Market CapUS$10.07b
Earnings (TTM)US$717.00m
Revenue (TTM)US$10.39b

14.0x

P/E Ratio

1.0x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
NWL income statement (TTM)
RevenueUS$10.39b
Cost of RevenueUS$6.97b
Gross ProfitUS$3.42b
ExpensesUS$2.70b
EarningsUS$717.00m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)1.69
Gross Margin32.88%
Net Profit Margin6.90%
Debt/Equity Ratio138.8%

How did NWL perform over the long term?

See historical performance and comparison

Dividends

3.9%

Current Dividend Yield

54%

Payout Ratio

Valuation

Is Newell Brands undervalued compared to its fair value and its price relative to the market?

13.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: NWL ($23.67) is trading below our estimate of fair value ($27.45)

Significantly Below Fair Value: NWL is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: NWL is poor value based on its PE Ratio (14x) compared to the US Consumer Durables industry average (11.1x).

PE vs Market: NWL is good value based on its PE Ratio (14x) compared to the US market (17.9x).


Price to Earnings Growth Ratio

PEG Ratio: NWL is poor value based on its PEG Ratio (1.8x)


Price to Book Ratio

PB vs Industry: NWL is overvalued based on its PB Ratio (2.5x) compared to the US Consumer Durables industry average (2.1x).


Future Growth

How is Newell Brands forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

7.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: NWL's forecast earnings growth (7.8% per year) is above the savings rate (2%).

Earnings vs Market: NWL's earnings (7.8% per year) are forecast to grow slower than the US market (14.8% per year).

High Growth Earnings: NWL's earnings are forecast to grow, but not significantly.

Revenue vs Market: NWL's revenue (1.6% per year) is forecast to grow slower than the US market (9.8% per year).

High Growth Revenue: NWL's revenue (1.6% per year) is forecast to grow slower than 20% 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 (18.9%).


Past Performance

How has Newell Brands performed over the past 5 years?

-16.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NWL has high quality earnings.

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 -16.8% 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 (77.1%).


Return on Equity

High ROE: NWL's Return on Equity (17.9%) is considered low.


Financial Health

How is Newell Brands's financial position?


Financial Position Analysis

Short Term Liabilities: NWL's short term assets ($4.7B) exceed its short term liabilities ($3.8B).

Long Term Liabilities: NWL's short term assets ($4.7B) do not cover its long term liabilities ($6.8B).


Debt to Equity History and Analysis

Debt Level: NWL's debt to equity ratio (138.8%) is considered high.

Reducing Debt: NWL's debt to equity ratio has increased from 114.7% to 138.8% over the past 5 years.

Debt Coverage: NWL's debt is well covered by operating cash flow (24.7%).

Interest Coverage: NWL's interest payments on its debt are well covered by EBIT (4.1x coverage).


Balance Sheet


Dividend

What is Newell Brands's current dividend yield, its reliability and sustainability?

3.89%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: NWL's dividend (3.89%) is higher than the bottom 25% of dividend payers in the US market (1.33%).

High Dividend: NWL's dividend (3.89%) is in the top 25% of dividend payers in the US market (3.6%)


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 reasonable payout ratio (54.5%), NWL's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: NWL's dividends in 3 years are forecast to be well covered by earnings (46.8% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.6yrs

Average management tenure


CEO

Ravi Saligram (64 yo)

1.92yrs

Tenure

US$9,804,500

Compensation

Mr. Ravichandra K. Saligram, also known as Ravi, has been Chief Executive Officer, President and Director of Newell Brands Inc. since October 02, 2019. Mr. Saligram was the Chief Executive Officer and Non-...


CEO Compensation Analysis

Compensation vs Market: Ravi's total compensation ($USD9.80M) is about average for companies of similar size in the US market ($USD11.36M).

Compensation vs Earnings: Ravi's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: NWL's management team is considered experienced (2.6 years average tenure).


Board Members

Experienced Board: NWL's board of directors are considered experienced (3.4 years average tenure).


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 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$10.069b
  • Shares outstanding: 425.40m
  • Website: https://www.newellbrands.com

Number of Employees


Location

  • Newell Brands Inc.
  • 6655 Peachtree Dunwoody Road
  • Atlanta
  • Georgia
  • 30328
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/25 22:15
End of Day Share Price2021/09/24 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.