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Dow launches major Transform to Outperform restructuring program

Story Highlights
  • Dow launched Transform to Outperform to simplify operations, cut costs and add at least $2 billion in near-term operating EBITDA.
  • The plan includes cutting about 4,500 jobs and spending up to $1.5 billion in one-time costs to boost competitiveness and shareholder returns.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Dow launches major Transform to Outperform restructuring program

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An update from Dow Inc ( (DOW) ) is now available.

On January 29, 2026, Dow Inc. launched its Transform to Outperform initiative, a comprehensive restructuring and efficiency program aimed at adding at least $2 billion in near-term operating EBITDA by radically simplifying its operating model, streamlining end-to-end processes, resetting its cost structure and modernizing customer service, including expanded use of AI and automation to boost growth and productivity. The plan, approved by the board on January 26, 2026, includes a global workforce reduction of about 4,500 roles and total one-time costs estimated at $1.1–1.5 billion, with $600–800 million tied to severance and additional implementation costs through 2027; management positions the move as a response to prolonged industry challenges and a way to raise the competitive benchmark, improve shareholder returns and enhance Dow’s resilience and long-term competitiveness while engaging local stakeholders in line with regional regulations.

The most recent analyst rating on (DOW) stock is a Hold with a $30.00 price target. To see the full list of analyst forecasts on Dow Inc stock, see the DOW Stock Forecast page.

Spark’s Take on DOW Stock

According to Spark, TipRanks’ AI Analyst, DOW is a Neutral.

Dow Inc’s overall stock score is primarily impacted by its financial performance challenges, including declining revenue and profitability, high leverage, and cash flow constraints. Technical analysis indicates a bearish trend, while valuation is mixed with a high dividend yield but negative P/E ratio. The earnings call provides some optimism with strategic initiatives, but ongoing economic uncertainties and pricing pressures remain significant risks.

To see Spark’s full report on DOW stock, click here.

More about Dow Inc

Dow Inc. is a global materials science company that serves customers in high-growth markets such as packaging, infrastructure, mobility and consumer applications. With manufacturing sites in 29 countries and approximately 34,600 employees, Dow leverages its global scale, asset integration and customer-focused innovation to drive profitable growth and support a more sustainable future, generating about $40 billion in sales in 2025.

Average Trading Volume: 11,874,947

Technical Sentiment Signal: Hold

Current Market Cap: $19.77B

See more insights into DOW stock on TipRanks’ Stock Analysis page.

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