Fortune Brands Innovations Inc. (FBIN) experienced a significant pre-market plunge of 15.25% on Friday, following negative developments surrounding the company's financial performance and outlook.

The sharp decline comes after the company reported disappointing fourth-quarter 2025 results, with adjusted earnings per share of $0.86 missing analyst estimates of $1.00. Quarterly revenue of $1.10 billion also fell short of the expected $1.136 billion, with management citing negative impacts from the Chinese market. Furthermore, the company provided cautious guidance for fiscal year 2026, forecasting net sales to be flat to up only 2.0% and expecting EPS in a range below analyst expectations, citing an uncertain external environment and ongoing consumer caution.

Adding to the negative sentiment, Barclays downgraded Fortune Brands Innovations from Overweight to Equal-Weight and significantly reduced its price target from $68 to $55, reflecting concerns about the company's near-term prospects amid the challenging market conditions.