WD-40 Company (WDFC) | News Based Sentiment Analysis

• On October 1, 2025, WD-40 Company reported third-quarter earnings of $1.54 per share, exceeding analyst expectations of $1.42, demonstrating resilience despite revenue coming in slightly below expectations at $156.9 million versus the anticipated $160.6 million. This mixed performance highlights the company's ability to manage profitability even with some sales challenges.
• Despite the revenue miss, WD-40 experienced growth in the Americas and Asia-Pacific regions during the third quarter of 2025, which helped offset a decline in the EIMEA region due to customer order timing issues. This regional performance shows the company can leverage strength in some markets even when facing headwinds in others.
• WD-40's stock reached a 52-week low of $193.64 on October 1, 2025, representing a 24.83% decline over the past year, but the company's strong fundamentals – a 54.9% gross profit margin and a 33-year dividend history with a 1.9% yield – suggest potential for recovery. InvestingPro data also indicates a Piotroski Score of 9, signaling strong financial health.
• Following the October 1st earnings announcement, D.A. Davidson maintained a "Buy" rating but lowered its price target from $322 to $300, citing currency trends as the primary factor. This adjustment indicates continued optimism about the long-term prospects, but acknowledges short-term challenges related to currency fluctuations.
• Weiss Ratings restated a "Hold (C)" rating on WD-40 on October 8, 2025, with a consensus price target of $290.00, while shares traded down $1.61 to close at $192.38 that same day. This suggests a cautious outlook from some analysts despite the "Buy" rating from D.A. Davidson.
• Institutional investors are heavily invested in WD-40, collectively holding 91.52% of the stock, with notable activity reported on October 8th. Handelsbanken Fonder AB increased its holdings by 23.9%, acquiring shares valued at $1,138,000, while Wealth Enhancement Advisory Services LLC boosted its stake by 36.7%, purchasing shares worth $447,000.
• WD-40 Company has scheduled its fourth quarter and full fiscal year 2025 earnings conference call for Wednesday, October 22, 2025, at 2:00 p.m. PDT, after reporting net sales of $590.6 million in fiscal year 2024. Investors will be looking for insights into the EIMEA region, currency impacts, and future growth strategies during this call.

The Investment Story: October 2025 presented a mixed bag for WD-40, with earnings beating expectations but revenue falling short, coupled with a declining stock price and diverging analyst opinions. Despite these challenges, strong fundamentals and significant institutional investment provide a degree of stability.

What It Means for Investors: The conflicting signals – positive earnings versus a potentially overvalued stock and currency headwinds – create uncertainty. Investors should carefully weigh the company's long-term strengths against short-term challenges and valuation concerns.

Looking Ahead: The October 22, 2025, earnings conference call will be crucial for understanding management's perspective on the revenue shortfall, currency impacts, and future growth strategies, particularly in the EIMEA region.

The Bottom Line: WD-40 Company remains a fundamentally sound investment with a long track record of returning value to shareholders, but the current valuation debate and currency headwinds warrant caution and close monitoring as investors await further clarity from the upcoming earnings call.