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Greif Class A Posts Strong Q1 Profit Rebound, Buybacks

Story Highlights
  • Greif’s fiscal Q1 2026 earnings jumped sharply on cost cuts, with Adjusted EBITDA up 24%.
  • Debt and leverage fell dramatically after divestitures, while Greif accelerated and expanded share repurchases and reaffirmed guidance.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Greif Class A Posts Strong Q1 Profit Rebound, Buybacks

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Greif Class A ( (GEF) ) has provided an update.

On January 27, 2026, Greif reported fiscal first-quarter 2026 results for the period ended December 31, 2025, showing a sharp rebound in profitability from continuing operations following the August 31, 2025 divestiture of its containerboard business. Net income surged to $176.6 million, or $3.00 per diluted Class A share, while net income excluding adjustments rose 146.3% to $26.6 million and Adjusted EBITDA grew 24.0% to $122.5 million, driven largely by substantial cost optimization in manufacturing and SG&A that reached a $65 million run rate toward a $120 million target. Although operating cash flow and adjusted free cash flow turned negative partly because prior-year figures included the now-divested containerboard business, the company used proceeds from the containerboard and timberlands sales to cut total debt to $944.0 million, reduce net debt to $700.5 million, and lower its leverage ratio from 3.6x to 1.2x. Greif also executed approximately $130 million in share repurchases in the quarter and secured board authorization for an additional $300 million of future repurchases, underscoring a more shareholder-focused capital allocation strategy, and reaffirmed the low end of its full-year 2026 guidance for Adjusted EBITDA and Adjusted Free Cash Flow, signaling management’s confidence in continued margin and earnings resilience despite muted demand and lower volumes across several segments.

The most recent analyst rating on (GEF) stock is a Hold with a $79.00 price target. To see the full list of analyst forecasts on Greif Class A stock, see the GEF Stock Forecast page.

Spark’s Take on GEF Stock

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

The score is held back mainly by weak TTM cash flow and questions around earnings quality despite improved profitability and deleveraging. Offsetting that, technicals are strong with a clear uptrend, and the latest earnings call reinforced confidence via reaffirmed FY2026 guidance, margin improvement, and capital-return capacity. Valuation and dividend are supportive but not compelling enough to outweigh cash-flow risk.

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

More about Greif Class A

Greif, Inc., based in Delaware, Ohio, is a global leader in industrial packaging products and services, operating through segments including Customized Polymer Solutions, Durable Metal Solutions, Sustainable Fiber Solutions and Innovative Closure Solutions. The company focuses on manufacturing and supplying a broad range of packaging and related solutions to industrial customers worldwide, with recent portfolio shifts including the divestiture of its containerboard business and a reorganization of segment reporting to emphasize fiber, metal, polymer and closure offerings.

Average Trading Volume: 238,702

Technical Sentiment Signal: Buy

Current Market Cap: $3.6B

For detailed information about GEF stock, go to TipRanks’ Stock Analysis page.

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