Spectrum Brands Holdings (SPB) AI Stock Analysis

• Market Cap: $1.81B
• Dividend Yield: 3.15%
• Average Volume (3M): 386.55K
• Price to Earnings (P/E): 18.5
• Beta (1Y): 1.00
• Revenue Growth: -5.21%
• EPS Growth: 1.96%
• Country: US
• Employees: 3,100
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Household & Personal Products
• EPS (TTM): 1.40
• Shares Outstanding: 23,198,788
• 10 Day Avg. Volume: 360,400
• 30 Day Avg. Volume: 386,545
• PEG Ratio: -2.32
• Price to Book (P/B): 0.71
• Price to Sales (P/S): 0.48
• P/FCF Ratio: 8.14
• Enterprise Value/Market Cap: 1.37
• Enterprise Value/Revenue: 0.89
• Enterprise Value/Gross Profit: 2.44
• Enterprise Value/Ebitda: 12.36
• 1Y Price Target: $86.00
• Price Target Upside: 9.97% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): 5.28
• Revenue Forecast (FY): $2.83B

• Rating: 68 Neutral
• Price Target: $82.00 ▲(4.86% Upside)
• Action: Reiterated Date: 02/06/26
• Date: Action: Reiterated 02/06/26

The score is driven primarily by stronger balance-sheet positioning and robust TTM cash generation, partially offset by sharp TTM revenue decline and margin compression. Technically, the uptrend supports the stock but overbought signals raise near-term risk. Valuation is reasonable but not a clear bargain, and the latest earnings call reiterated guidance while highlighting near-term headwinds and dependence on back-half improvement.

Positive Factors

Conservative balance sheet

Very low trailing leverage and a nearly $1.9B equity base materially reduce refinancing and solvency risk, giving management flexibility to fund capex, acquisitions, or shareholder returns. This structural strength supports durability through cyclical demand swings and near-term volatility.

Strong cash generation

Robust trailing free cash flow and high operating cash conversion provide a durable internal funding source for buybacks, working capital, and debt reduction. Consistent positive FCF supports strategic optionality and reduces reliance on external financing over the next several quarters.

Global Pet Care momentum

Sustained growth and market-share gains in Global Pet Care—with high-single-digit organic growth—provide a durable earnings engine that can offset weakness elsewhere. A growing, higher‑margin segment improves portfolio resilience and supports midterm recovery in consolidated results.

Negative Factors

Sharp revenue decline

A meaningful multi-period revenue decline erodes operating leverage and makes margin recovery harder; persistent top-line weakness reduces the cushion for fixed costs and raises execution risk for management's back‑half recovery assumptions over the coming quarters.

Margin compression pressures

Sustained margin pressure—from tariffs, higher trade spend, and lower volumes—compresses profitability and free cash flow potential. Even with pricing actions, continued cost and promotional pressure could keep margins structurally below prior peaks for multiple quarters.

Concentrated segment weakness

Severe H&G decline and notable Home & Personal Care softness concentrate downside in material segments. This uneven recovery increases reliance on Global Pet Care and back‑half timing, creating execution and forecasting risk for consolidated profit stabilization.

Spectrum Brands Holdings Business Overview & Revenue Model

Company Description

Spectrum Brands Holdings, Inc. operates as a branded consumer products company worldwide. It operates through three segments: Home and Personal Care; Global Pet Care; and Home and Garden. The Home and Personal Care segment provides home appliances under the Black & Decker, Russell Hobbs, George Foreman, Toastmaster, Juiceman, Farberware, and Breadman brands; and personal care products under the Remington and LumaBella brands. The Global Pet Care segment provides rawhide chewing, dog and cat clean-up and food, training, health and grooming, small animal food and care, and rawhide-free products under the 8IN1 (8-in-1), Dingo, Nature's Miracle, Wild Harvest, Littermaid, Jungle, Excel, FURminator, IAMS, Eukanuba, Healthy-Hide, DreamBone, SmartBones, ProSense, Perfect Coat, eCOTRITION, Birdola, Good Boy, Meowee!, Wildbird, and Wafcol brands. This segment also offers aquarium kits, stand-alone tanks, and aquatics equipment and consumables under the Tetra, Marineland, Whisper, Instant Ocean, GloFish, OmegaOne, and OmegaSea brands. The Home and Garden segment provides outdoor insect and weed control solutions, and animal repellents under the Spectracide, Garden Safe, Liquid Fence, and EcoLogic brands; household pest control solutions under the Hot Shot, Black Flag, Real-Kill, Ultra Kill, The Ant Trap, and Rid-A-Bug brand names; household surface cleaning, maintenance, and restoration products, including bottled liquids, mops, wipes, and markers under the Rejuvenate brand name; and personal-use pesticides and insect repellent products under the Cutter and Repel brands. The company sells its products through retailers, e-commerce and online retailers, wholesalers, and distributors. Spectrum Brands Holdings, Inc. was incorporated in 2009 and is headquartered in Middleton, Wisconsin.

How the Company Makes Money

Spectrum Brands generates revenue primarily through the sale of its branded consumer products across multiple channels, including retail, e-commerce, and direct-to-consumer sales. The company has key revenue streams from segments such as Home & Garden, which includes lawn and garden products; Global Pet Care, featuring pet food and supplies; and Personal Care, offering grooming and health products. Additionally, Spectrum Brands benefits from strategic partnerships with major retailers and distributors, enhancing its market reach. The company also invests in product innovation and brand development to drive sales and maintain competitive advantage, which contributes to its earnings.

Spectrum Brands Holdings Financial Statement Overview

Summary

Overall financials are mixed but improved: very low current leverage and a solid equity base support stability, while TTM operating and free cash flow are strong. Offsetting this, TTM revenue has declined sharply with margin compression versus FY2024, and historical results/cash flows have been volatile.

Income Statement

Profitability is positive but modest in TTM (Trailing-Twelve-Months), with gross margin around 36.7% and net margin about 3.6%. However, the revenue trend is a key concern: TTM revenue shows a sharp decline (notably worse than the FY2025 annual decline), and operating profitability has compressed versus FY2024 (lower operating and EBITDA margins). Results have also been volatile historically, including a year with negative operating profit.

Balance Sheet

The balance sheet is currently conservative, with very low leverage in TTM (Trailing-Twelve-Months) (debt-to-equity ~0.06) and a solid equity base (~$1.9B) against ~$3.4B in assets. Return on equity is moderate (~5%). The main weakness is the company’s history of much higher leverage in prior years (including debt-to-equity above 1x and even above 2x), which indicates prior balance-sheet risk even though it appears materially improved today.

Cash Flow

Cash generation is a clear strength in TTM (Trailing-Twelve-Months): operating cash flow (~$343M) and free cash flow (~$303M) are strong and meaningfully higher than the FY2025 annual figures, with very large reported free-cash-flow growth. Free cash flow is healthy relative to earnings (free cash flow is ~0.81x net income). The key risk is consistency—cash flows were negative in FY2022–FY2023, showing the business can experience significant swings.

Breakdown	TTM	Sep 2025	Sep 2024	Sep 2023	Sep 2022	Sep 2021
Income Statement
Total Revenue	2.79B	2.81B	2.96B	2.92B	3.13B	3.00B
Gross Profit	1.02B	1.03B	1.11B	924.80M	990.50M	1.04B
EBITDA	201.20M	215.20M	284.90M	-72.00M	104.00M	253.40M
Net Income	104.80M	99.90M	124.80M	1.80B	71.60M	189.60M
Balance Sheet
Total Assets	3.42B	3.38B	3.84B	5.26B	5.78B	5.34B
Cash, Cash Equivalents and Short-Term Investments	126.60M	123.60M	368.90M	1.86B	243.70M	187.90M
Total Debt	809.10M	654.20M	647.80M	1.68B	3.21B	2.56B
Total Liabilities	1.52B	1.47B	1.70B	2.74B	4.51B	3.86B
Stockholders Equity	1.90B	1.91B	2.14B	2.52B	1.26B	1.47B
Cash Flow
Free Cash Flow	302.90M	165.80M	118.60M	-468.70M	-117.80M	244.80M
Operating Cash Flow	343.40M	204.10M	162.60M	-409.70M	-53.80M	288.40M
Investing Cash Flow	-39.90M	-37.70M	1.02B	3.18B	-359.80M	-423.50M
Financing Cash Flow	-361.50M	-401.20M	-1.58B	-2.26B	487.60M	-209.90M

Spectrum Brands Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 78.20
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SPB, the sentiment is Positive. The current price of 78.2 is above the 20-day moving average (MA) of 72.45, above the 50-day MA of 65.89, and above the 200-day MA of 57.54, indicating a bullish trend. The MACD of 4.15 indicates Negative momentum. The RSI at 72.16 is Negative, neither overbought nor oversold. The STOCH value of 78.98 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SPB.

Spectrum Brands Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SPB	68 Neutral	$1.81B	18.48	5.34%	3.15%	-5.21%	1.96%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
NUS	58 Neutral	$408.60M	2.69	22.00%	2.39%	-12.10%	―
EPC	52 Neutral	$1.05B	-26.64	1.62%	3.51%	-1.34%	-73.59%
COTY	51 Neutral	$2.35B	-4.29	-14.50%	―	-5.68%	-358.36%
NWL	49 Neutral	$1.93B	-6.77	-11.09%	7.76%	-5.88%	90.23%
HELE	46 Neutral	$392.00M	-0.49	-63.90%	―	-5.64%	-577.74%