Short Squeeze And Earnings: Why Newell Brands Stock Spiked Friday

Newell Brands Inc. (NASDAQ: NWL ) stock climbed Friday after the consumer products company reported better-than-expected second-quarter results, raised its full-year 2026 guidance and issued third-quarter sales guidance that topped Wall Street estimates. High short interest—standing at 21.65% of the float —likely catalyzed a short squeeze, amplifying the stock’s nearly 15% surge. Earnings Beat Driven By Tariff Recoveries Second-quarter net sales increased 3% year over year to $1.994 billion, exceeding analysts’ consensus estimate of $1.978 billion. Core sales rose 2.3%. Adjusted earnings came in at 42 cents per share, more than double the consensus estimate of 20 cents. Normalized operating margin expanded to 16.2% from 10.7% a year earlier, while normalized EBITDA increased to $406 million from $280 million. The company said results included approximately $126 million in...