Stanley Black & Decker (SWK)
NYSE:SWK
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Stanley Black & Decker
(NYSE:SWK)
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Rating:55Neutral
Price Target:
$70.00
▼(-3.03% Downside)
Action:ReiteratedDate:04/07/26
The score is anchored by improving fundamentals—especially stronger free cash flow and an improving leverage profile—supported by constructive 2026 guidance for EPS, margins, and cash generation. These positives are tempered by a weak technical setup (below key moving averages with negative MACD) and ongoing top-line/volume uncertainty, while valuation is mixed with a high P/E partially offset by an above-average dividend yield.
Positive Factors
Strong brand portfolio and recurring consumables
Stanley Black & Decker’s portfolio of professional and consumer brands creates durable revenue streams: cordless platform attach rates, consumables and accessories drive repeat purchases and higher lifetime value, supporting steady aftermarket revenue and resilience versus one‑time tool sales.
Negative Factors
Multi-year revenue decline
A prolonged top‑line contraction signals demand and portfolio challenges. Reduced scale impairs fixed‑cost absorption and growth optionality, making profit recovery more dependent on margin initiatives and exposing the company to slower rebounds in professional and consumer end markets.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong brand portfolio and recurring consumables
Stanley Black & Decker’s portfolio of professional and consumer brands creates durable revenue streams: cordless platform attach rates, consumables and accessories drive repeat purchases and higher lifetime value, supporting steady aftermarket revenue and resilience versus one‑time tool sales.
Read all positive factors
Stanley Black & Decker (SWK) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$11.21B
Dividend Yield4.42%
Average Volume (3M)1.73M
Price to Earnings (P/E)28.8
Beta (1Y)1.30
Revenue Growth-1.40%
EPS GrowthN/A
CountryUS
Employees48,000
SectorIndustrials
Sector Strength72
IndustryManufacturing - Tools & Accessories
Share Statistics
EPS (TTM)1.41
Shares Outstanding155,286,420
10 Day Avg. Volume1,664,553
30 Day Avg. Volume1,729,878
Financial Highlights & Ratios
PEG Ratio0.82
Price to Book (P/B)1.28
Price to Sales (P/S)0.77
P/FCF Ratio16.84
Enterprise Value/Market Cap1.50
Enterprise Value/Revenue1.11
Enterprise Value/Gross Profit3.72
Enterprise Value/Ebitda12.08
Forecast
1Y Price Target
$88.00Price Target Upside21.90% Upside
Rating ConsensusHold
Number of Analyst Covering8
EPS Forecast (FY)5.32
Revenue Forecast (FY)$15.22B
Stanley Black & Decker Business Overview & Revenue Model
Company Description
Stanley Black & Decker, Inc. engages in the tools and storage and industrial businesses in the United States, Canada, rest of Americas, France, rest of Europe, and Asia. Its Tools & Storage segment offers professional products, including professio...
How the Company Makes Money
Stanley Black & Decker primarily makes money by selling physical products across two main operating segments: (1) Tools & Outdoor and (2) Industrial. In Tools & Outdoor, revenue is generated from the sale of power tools (corded and cordless), hand...
Stanley Black & Decker Key Performance Indicators (KPIs)
Any
Profit by Segment
Details the profit contribution of each segment, providing insight into which parts of the business are most financially rewarding.
Details the profit contribution of each segment, providing insight into which parts of the business are most financially rewarding.
Data provided by:
The Fly
The FlyStanley Black & Decker Earnings Call Summary
Earnings Call Date:Feb 04, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 29, 2026
Earnings Call Sentiment Neutral
The call highlights meaningful operational progress: margin expansion, large run-rate cost savings ($2.1B), improved profitability (adjusted EBITDA and EPS growth), strong free cash flow, and a clear deleveraging plan supported by the CAM sale. However, persistent top-line pressures — notable volume declines, retail/promotional sensitivity at opening price points, tariff-driven near-term P&L timing effects, and expected revenue reductions from portfolio/model changes — create material near-term uncertainty. Management presented a balanced plan to improve margins and deleverage in 2026 while acknowledging likely first-half choppiness, producing a mixed but controlled outlook.Positive Updates
Full-Year Revenue and Segment Gains
Full-year revenues of $15.1 billion; DEWALT delivered low single-digit organic growth for the full year and aerospace fasteners/aerospace business grew strongly (aerospace fasteners +25% year; aerospace within engineered fastening +35% organic in Q4).
Negative Updates
Organic Revenue and Volume Pressure
Total revenue down ~1% organically for full year 2025; fourth-quarter revenue down 1% reported and down 3% organically. Q4 drivers included a 7% volume decline (offsetting +4% price and +2% FX).
Read all updates
Q4-2025 Updates
Positive
Negative
Full-Year Revenue and Segment Gains
Full-year revenues of $15.1 billion; DEWALT delivered low single-digit organic growth for the full year and aerospace fasteners/aerospace business grew strongly (aerospace fasteners +25% year; aerospace within engineered fastening +35% organic in Q4).
Read all positive updates
Company Guidance
The company guided 2026 adjusted EPS of $4.90–$5.70 (≈+13% at the midpoint), free cash flow of $700M–$900M, and low-single-digit total and organic revenue growth (with a 50–100bp FX tailwind), and expects adjusted gross margin to expand ≈150bps year‑over‑year (with a quarterly cadence of ~30.5% in Q1, ~30.5–31% in Q2 and ~34–35% in each of Q3/Q4); Q1 net sales are planned at ≈$3.7B (≈‑1% YoY) with Q1 adjusted EPS $0.55–$0.60 and roughly flat Q1 gross margin, SG&A around 22% of sales, and enterprise pricing of ~+2% for the year. They assume a half‑year CAM contribution (≈$110–$120M sales and $10–$20M segment profit per quarter in Q1–Q2), expect net proceeds from the CAM/CAM‑adj sale of ~$1.525B–$1.6B to reduce debt (improving leverage ~1–1.25 turns toward ≤2.5x), and disclosed GAAP EPS $3.15–$4.35 with pretax non‑GAAP adjustments of $270M–$345M (~20% noncash). Additional planning assumptions include a ~$120M–$140M 2026 revenue reduction from transitioning gas walk‑behind products to a license model (another $150M–$170M in 2027), ongoing productivity savings targeting ~3% of net spend annually, incremental brand investments (~$75M–$100M in 2026), and the longer‑term ambition (by 2026–2028) of mid‑single‑digit sales growth, 35–37% adjusted gross margins, mid‑to‑high‑teens adjusted EBITDA margins and ~100% cash‑flow conversion.Stanley Black & Decker Financial Statement Overview
Summary
Income Statement
48
Neutral
Balance Sheet
56
Neutral
Cash Flow
63
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 15.13B | 15.37B | 15.78B | 16.95B | 15.28B |
| Gross Profit | 4.52B | 4.60B | 4.10B | 4.10B | 5.08B |
| EBITDA | 1.27B | 1.32B | 802.70M | 942.80M | 2.35B |
| Net Income | 401.90M | 286.30M | -281.70M | -133.70M | 1.69B |
Balance Sheet | |||||
| Total Assets | 21.24B | 21.85B | 23.66B | 24.96B | 28.18B |
| Cash, Cash Equivalents and Short-Term Investments | 280.10M | 290.50M | 449.40M | 395.60M | 142.10M |
| Total Debt | 5.86B | 6.59B | 7.30B | 7.57B | 6.71B |
| Total Liabilities | 12.19B | 13.13B | 14.61B | 15.25B | 16.59B |
| Stockholders Equity | 9.05B | 8.72B | 9.06B | 9.71B | 11.59B |
Cash Flow | |||||
| Free Cash Flow | 687.90M | 753.00M | 852.60M | -1.99B | 144.00M |
| Operating Cash Flow | 971.20M | 1.11B | 1.19B | -1.46B | 663.10M |
| Investing Cash Flow | -262.80M | 394.20M | -327.70M | 3.57B | -2.62B |
| Financing Cash Flow | -793.10M | -1.56B | -816.00M | -1.97B | 918.70M |
Stanley Black & Decker Technical Analysis
Neutral
72.19
Price Trends
77.99
Negative
76.03
Negative
72.95
Negative
Market Momentum
-1.69
Negative
48.98
Neutral
81.79
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SWK, the sentiment is Neutral. The current price of 72.19 is above the 20-day moving average (MA) of 70.11, below the 50-day MA of 77.99, and below the 200-day MA of 72.95, indicating a neutral trend. The MACD of -1.69 indicates Negative momentum. The RSI at 48.98 is Neutral, neither overbought nor oversold. The STOCH value of 81.79 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SWK.
Stanley Black & Decker Risk Analysis
Stanley Black & Decker disclosed 31 risk factors in its most recent earnings report. Stanley Black & Decker reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Stanley Black & Decker Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
79 Outperform | $18.92B | 53.36 | 8.53% | ― | 8.27% | 19.06% | |
78 Outperform | $19.77B | 17.98 | 17.70% | 2.52% | 0.24% | -1.85% | |
75 Outperform | $9.39B | 33.02 | 23.00% | 1.95% | -1.53% | -21.19% | |
72 Outperform | $14.04B | 25.51 | 37.15% | 1.22% | 3.27% | 10.89% | |
72 Outperform | $7.45B | 20.35 | 9.35% | 1.61% | -1.01% | -12.13% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
55 Neutral | $11.21B | 28.82 | 4.47% | 4.42% | -1.40% | ― |
* Industrials Sector Average
SWK
Stanley Black & Decker
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25.88%
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Stanley Black & Decker Corporate Events
Business Operations and StrategyM&A Transactions
Stanley Black & Decker Sells Aerospace Unit to Deleverage
Positive
Apr 6, 2026
On April 6, 2026, Stanley Black Decker completed the previously announced sale of its Consolidated Aerospace Manufacturing business to Howmet Aerospace for about $1.8 billion in cash. The company expects net proceeds of roughly $1.57 billion, aft...
Business Operations and StrategyExecutive/Board Changes
Stanley Black & Decker Announces Key Board Leadership Changes
Positive
Jan 26, 2026
On January 23 and January 26, 2026, Stanley Black Decker announced a series of board leadership changes, marking a planned transition back to a non-executive chair structure and reinforcing its governance framework. Independent director Debra Cre...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.