Wall Street is overwhelmingly bullish on the stocks in this article, with price targets suggesting significant upside potential.
However, it’s worth remembering that analysts rarely issue sell ratings, partly because their firms often seek other business from the same companies they cover.
Consumer staples are considered safe havens in turbulent markets due to their inelastic demand profiles. But they’re also double-edged swords as they often lag in booming conditions, and this pattern has persisted recently.
Over the past six months, the industry has recorded a loss of 4.8%, a far cry from the S&P 500’s 5.4% ascent.
Household products company WD-40 (NASDAQ:WDFC) missed Wall Street’s revenue expectations in Q2 CY2025 as sales only rose 1.2% year on year to $156.9 million. The company’s full-year revenue guidance of $610 million at the midpoint came in 2.7% below analysts’ estimates. Its GAAP profit of $1.54 per share was 10% above analysts’ consensus estimates.
Generating cash is essential for any business, but not all cash-rich companies are great investments.
Some produce plenty of cash but fail to allocate it effectively, leading to missed opportunities.
Small-cap stocks in the Russell 2000 (^RUT) can be a goldmine for investors looking beyond the usual large-cap names.
But with less stability and fewer resources than their bigger counterparts, these companies face steeper challenges in scaling their businesses.
Regarded as defensive investments, consumer staples stocks are generally safe bets in choppy markets. Unfortunately, the sector hasn’t provided much protection lately as it pulled back by 12.2% over the past six months. This drop was worse than the S&P 500’s 4.7% fall.
Wall Street is overwhelmingly bullish on the stocks in this article, with price targets suggesting significant upside potential.
However, it’s worth remembering that analysts rarely issue sell ratings, partly because their firms often seek other business from the same companies they cover.
Household products company Kimberly-Clark (NYSE:KMB)
will be announcing earnings results tomorrow before market hours. Here’s what investors should know.
Household products company WD-40 (NASDAQ:WDFC) missed Wall Street’s revenue expectations in Q1 CY2025, but sales rose 5% year on year to $146.1 million. The company’s full-year revenue guidance of $615 million at the midpoint came in 1.9% below analysts’ estimates. Its GAAP profit of $2.19 per share was 54.2% above analysts’ consensus estimates.
WD-40 has followed the market’s trajectory closely. The stock is down 6.2% to $241.80 per share over the past six months while the S&P 500 has lost 1.4%. This may have investors wondering how to approach the situation.
