Stock Traders Purchase Large Volume of Call Options on Newell Brands (NASDAQ:NWL)

Newell Brands Inc. (NASDAQ:NWL) was the recipient of unusually large options trading activity on Wednesday. Stock traders acquired 4,026 call options on the company. This is an increase of approximately 57% compared to the typical volume of 2,567 call options.

Newell Brands Stock Down 1.2%

Shares of Newell Brands stock traded down $0.07 on Wednesday, hitting $5.20. The company had a trading volume of 2,768,732 shares, compared to its average volume of 7,810,688. The firm has a market capitalization of $2.21 billion, a P/E ratio of -7.75, a P/E/G ratio of 6.34 and a beta of 0.87. The company has a debt-to-equity ratio of 1.94, a current ratio of 1.04 and a quick ratio of 0.51. Newell Brands has a twelve month low of $3.07 and a twelve month high of $6.64. The stock has a 50-day moving average of $4.78 and a 200-day moving average of $4.37.

Newell Brands (NASDAQ:NWL) last released its earnings results on Friday, May 1st. The company reported ($0.05) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.09) by $0.04. The firm had revenue of $1.55 billion during the quarter, compared to analysts’ expectations of $1.51 billion. Newell Brands had a positive return on equity of 8.89% and a negative net margin of 3.91%.The company’s revenue was down 1.1% on a year-over-year basis. During the same quarter in the prior year, the company earned ($0.01) EPS. Newell Brands has set its FY 2026 guidance at 0.560-0.600 EPS and its Q2 2026 guidance at 0.160-0.190 EPS. Research analysts predict that Newell Brands will post 0.57 earnings per share for the current year.

Newell Brands Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, June 15th. Investors of record on Friday, May 29th were given a $0.07 dividend. The ex-dividend date of this dividend was Friday, May 29th. This represents a $0.28 dividend on an annualized basis and a yield of 5.4%. Newell Brands’s dividend payout ratio (DPR) is -41.79%.

Insider Buying and Selling

In related news, insider Melanie Arlene Huet sold 91,000 shares of the stock in a transaction dated Friday, May 8th. The shares were sold at an average price of $4.50, for a total value of $409,500.00. Following the completion of the sale, the insider owned 867 shares in the company, valued at approximately $3,901.50. This trade represents a 99.06% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Bradford R. Turner sold 100,000 shares of the firm’s stock in a transaction that occurred on Friday, May 22nd. The stock was sold at an average price of $3.60, for a total value of $360,000.00. Following the completion of the sale, the insider owned 464,449 shares of the company’s stock, valued at $1,672,016.40. This represents a 17.72% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 202,750 shares of company stock valued at $812,396. Insiders own 1.64% of the company’s stock.

Hedge Funds Weigh In On Newell Brands

Institutional investors have recently added to or reduced their stakes in the company. Prosperity Planning Inc. raised its stake in Newell Brands by 30.6% in the second quarter. Prosperity Planning Inc. now owns 129,776 shares of the company’s stock valued at $797,000 after buying an additional 30,424 shares during the period. GAMMA Investing LLC raised its stake in Newell Brands by 19.8% in the 2nd quarter. GAMMA Investing LLC now owns 11,408 shares of the company’s stock worth $70,000 after purchasing an additional 1,887 shares in the last quarter. Glenmede Trust Co. NA boosted its stake in shares of Newell Brands by 41.8% in the first quarter. Glenmede Trust Co. NA now owns 37,969 shares of the company’s stock valued at $130,000 after buying an additional 11,187 shares during the period. Bank of America Corp DE lifted its position in shares of Newell Brands by 40.0% during the 1st quarter. Bank of America Corp DE now owns 1,122,742 shares of the company’s stock valued at $3,851,000 after acquiring an additional 320,770 shares during the period. Finally, Kentucky Retirement Systems bought a new stake in Newell Brands during the first quarter worth about $769,000. 92.50% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

NWL has been the subject of a number of analyst reports. Morgan Stanley downgraded shares of Newell Brands from an “equal weight” rating to an “underweight” rating and reduced their price objective for the stock from $4.00 to $3.50 in a report on Wednesday, May 20th. Royal Bank Of Canada set a $4.00 target price on Newell Brands in a research note on Thursday, April 9th. Citigroup restated a “neutral” rating on shares of Newell Brands in a research report on Tuesday, July 14th. UBS Group upped their target price on shares of Newell Brands from $4.25 to $4.75 and gave the company a “neutral” rating in a research report on Thursday, July 16th. Finally, Canaccord Genuity Group raised their price target on Newell Brands from $8.00 to $9.00 and gave the stock a “buy” rating in a research report on Thursday, April 16th. Three equities research analysts have rated the stock with a Buy rating, four have given a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat, Newell Brands has a consensus rating of “Hold” and an average target price of $5.38.

Newell Brands Company Profile

Newell Brands Inc, trading on NASDAQ under the ticker NWL, is a global consumer goods company known for its diverse portfolio of household, commercial, and specialty products. Formed through the merger of Newell Rubbermaid and Jarden Corporation in 2016, the company traces its roots back to Newell Manufacturing, which was founded in 1903. Headquartered in Atlanta, Georgia, Newell Brands has built a reputation for widely recognized brands spanning multiple consumer categories.

The company’s business activities are organized across several segments, including writing and creative expression, home solutions, commercial products, and outdoor recreation.