Newell Brands (NWL) posted "mixed" Q4 results but remains "cautiously optimistic" about fiscal 2026, citing improving underlying business momentum despite ongoing tariff and macroeconomic headwinds, RBC Capital Markets said in a report Monday.

All business units posted "stronger sequential demand" in the quarter, with consumer point-of-sale data improving across nearly the entire portfolio, the report noted, adding that distribution momentum also improved, supporting continued share gains in parts of the business.

While demand across all business units strengthened toward the end of 2025, the company expects its core retail categories to decline by roughly 2% in the coming year. The company's management remains optimistic it can gain market share through a slate of 25 new product innovations and expanded shelf space at major retailers, RBC noted.

Newell issued fiscal 2026 guidance calling for net sales of down 1% to up 1%, core sales of down 2% to flat, operating margins of 8.6% to 9.2%, earnings per share of $0.54 to $0.60 and operating cash flow of $350 million to $400 million. The firm said it views this guidance

as "fairly constructive overall," but looking for further proof points to have faith.

RBC maintained a sector perform rating on Newell Brands, with a price target of $4.50.

Shares of the company were down more than 1% in recent Monday trading.

Price: 4.50, Change: -0.13, Percent Change: -2.81