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Q1 Earnings Review: Household Products Stocks Led by Spectrum Brands (NYSE:SPB)


Jabin Bastian /
2024/06/28 4:58 am EDT

Wrapping up Q1 earnings, we look at the numbers and key takeaways for the household products stocks, including Spectrum Brands (NYSE:SPB) and its peers.

Household products stocks are generally stable investments, as many of the industry's products are essential for a comfortable and functional living space. Recently, there's been a growing emphasis on eco-friendly and sustainable offerings, reflecting the evolving consumer preferences for environmentally conscious options. These trends can be double-edged swords that benefit companies who innovate quickly to take advantage of them and hurt companies that don't invest enough to meet consumers where they want to be with regards to trends.

The 10 household products stocks we track reported a solid Q1; on average, revenues were in line with analyst consensus estimates. while next quarter's revenue guidance was in line with consensus. Stocks--especially those trading at higher multiples--had a strong end of 2023, but 2024 has seen periods of volatility. Mixed signals about inflation have led to uncertainty around rate cuts, and while some of the household products stocks have fared somewhat better than others, they collectively declined, with share prices falling 0.7% on average since the previous earnings results.

Best Q1: Spectrum Brands (NYSE:SPB)

A leader in multiple consumer product categories, Spectrum Brands (NYSE:SPB) is a diversified company with a portfolio of trusted brands spanning home appliances, garden care, personal care, and pet care.

Spectrum Brands reported revenues of $718.5 million, down 1.5% year on year, topping analysts' expectations by 1.5%. It was a stunning quarter for the company, with an impressive beat of analysts' earnings estimates.

“We are pleased to report a strong second quarter of fiscal 24, building off the operating momentum we drove in our first quarter.“ said David Maura, Chairman and Chief Executive Officer of Spectrum Brands.

Spectrum Brands Total Revenue

The stock is up 1.2% since the results and currently trades at $85.54.

Is now the time to buy Spectrum Brands? Access our full analysis of the earnings results here, it's free.

Kimberly-Clark (NYSE:KMB)

Originally founded as a Wisconsin paper mill in 1872, Kimberly-Clark (NYSE:KMB) is now a household products powerhouse known for personal care and tissue products.

Kimberly-Clark reported revenues of $5.15 billion, down 0.9% year on year, outperforming analysts' expectations by 1.2%. It was a very strong quarter for the company, with an impressive beat of analysts' organic revenue growth estimates.

Kimberly-Clark Total Revenue

The stock is up 8.1% since the results and currently trades at $139.35.

Is now the time to buy Kimberly-Clark? Access our full analysis of the earnings results here, it's free.

Weakest Q1: Energizer (NYSE:ENR)

Masterminds behind the viral Energizer Bunny mascot, Energizer (NYSE:ENR) is one of the world's largest manufacturers of batteries.

Energizer reported revenues of $663.3 million, down 3% year on year, falling short of analysts' expectations by 0.1%. It was a weak quarter for the company, with a miss of analysts' organic revenue growth estimates.

The stock is up 1.2% since the results and currently trades at $29.8.

Read our full analysis of Energizer's results here.

Colgate-Palmolive (NYSE:CL)

Formed after the 1928 combination between toothpaste maker Colgate and soap maker Palmolive-Peet, Colgate-Palmolive (NYSE:CL) is a consumer products company that focuses on personal, household, and pet products.

Colgate-Palmolive reported revenues of $5.07 billion, up 6.2% year on year, surpassing analysts' expectations by 2.1%. It was a strong quarter for the company, with an impressive beat of analysts' organic revenue growth estimates and a decent beat of analysts' gross margin estimates.

The stock is up 9.6% since the results and currently trades at $97.9.

Read our full, actionable report on Colgate-Palmolive here, it's free.

Procter & Gamble (NYSE:PG)

Founded by candle maker William Procter and soap maker James Gamble, Proctor & Gamble (NYSE:PG) is a consumer products behemoth whose product portfolio spans everything from facial tissues to laundry detergent to feminine care to men’s grooming.

Procter & Gamble reported revenues of $20.2 billion, flat year on year, falling short of analysts' expectations by 1.2%. It was an ok quarter for the company, with a decent beat of analysts' gross margin estimates.

The stock is up 6% since the results and currently trades at $166.6.

Read our full, actionable report on Procter & Gamble here, it's free.

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