Global consumer goods company Newell Brands (NASDAQ:NWL) has been given a neutral recommendation by Citigroup (NYSE:C), setting a one-year price target at $12.75. This indicates a significant potential increase of 77.33% from the company's latest closing price of $7.19, as reported on Thursday.
The company's projected annual revenue is expected to rise by 7.44% to reach $9,182 million. Alongside this, a non-GAAP EPS of $1.50 is anticipated. Newell Brands also announced a quarterly dividend of $0.07 per share, which equates to a dividend yield of 3.89% at the current share price.
Newell Brands' dividend payout ratio stands at -0.37, suggesting that the company is using its savings to maintain dividends. This comes even as an observed decrease in institutional ownership by 8.43% and a reduction in total shares owned by institutions by 4.79% in the last quarter is noted.
InvestingPro data shows that the one-week price total return for Newell Brands stands at 2.41%, while the one-month and three-month returns have been -2.89% and -1.91% respectively. The company's previous close price was at $10,045.47.
On a more positive note, the put/call ratio for NWL stands at 0.41, reflecting a bullish sentiment for the stock, indicating that investors may expect the price to rise in the future.
InvestingPro Tips suggest that despite the poor earnings and cash flow potentially forcing dividend cuts, Newell Brands has maintained dividend payments for 52 consecutive years, demonstrating a commitment to returning value to shareholders. Furthermore, the stock is currently in oversold territory according to the Relative Strength Index (RSI), which could present a buying opportunity for investors.
Additionally, the company's stock has seen a significant decline over the past three months, which aligns with the InvestingPro data. For more insights and tips, you can visit the InvestingPro site here.
In conclusion, while Newell Brands faces some challenges, there are also potential opportunities for investors. A combination of real-time metrics and expert tips from InvestingPro can provide valuable guidance for those considering investing in the company.
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