What Newell Brands (NWL)'s Sharpie Production Reshoring Means for Shareholders

• In recent weeks, Newell Brands completed a major operational shift by moving most Sharpie pen production to its Tennessee facility, directing nearly US$2 billion in investment and extensive workforce training to manufacture the iconic marker domestically.
• This reshoring effort highlights how Newell Brands is seeking to boost cost efficiency and supply chain resilience for high-volume household goods in the U.S.
• We’ll now examine how Newell’s large-scale domestic manufacturing investment may influence the company’s long-term investment narrative.

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Newell Brands Investment Narrative Recap

At the core of the Newell Brands investment case is the belief that significant operational changes, like bringing most Sharpie manufacturing to Tennessee with nearly US$2 billion invested, will ultimately drive greater cost efficiency and supply chain control. While this reshoring effort underscores Newell’s commitment to transformation, it has not yet proven to be a material catalyst for reversing short-term sales declines, nor does it address the most immediate risk of ongoing revenue pressure amid challenging consumer categories.

Among recent announcements, Newell Brands confirmed its upcoming Q3 2025 earnings release for October 31, which will be closely watched given the company’s ongoing sales declines and recent manufacturing initiatives. The earnings call may provide further context on whether efforts like domestic production can offset current headwinds and provide near-term momentum for the company’s turnaround.

Yet, in contrast to these operational milestones, investors should not overlook lingering questions around...

Read the full narrative on Newell Brands (it's free!)

Newell Brands' narrative projects $7.6 billion in revenue and $482.4 million in earnings by 2028. This requires 1.0% yearly revenue growth and a $725.4 million earnings increase from -$243.0 million.

Uncover how Newell Brands' forecasts yield a $6.82 fair value, a 32% upside to its current price.

Exploring Other Perspectives

Five fair value estimates from the Simply Wall St Community range from US$6.83 to US$12.14, showing broad disagreement on Newell’s outlook. With ongoing revenue declines as a headline risk, you can weigh these varied perspectives and consider how consensus on future growth remains uncertain.

Explore 5 other fair value estimates on Newell Brands - why the stock might be worth just $6.82!

Build Your Own Newell Brands Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Newell Brands research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Newell Brands research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Newell Brands' overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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