WD-40 stock jumped as much as 20% after blowing past Wall Street's earnings expectations

[RealChristopher10]

WD-40 Company reported fiscal third quarter results well above what analysts expected, with adjusted earnings of $2.33 per share against a forecast of $1.57, and revenue of $195.1 million against expectations of roughly $173 million, a 24.3 percent jump from the same quarter last year. The stock traded as much as 20 percent higher on the news after closing down slightly the day before the report

The household lubricant maker credited the beat to stronger than expected global demand for its core spray lubricant business, with operating income up 47 percent and gross margin improving to 56.6 percent thanks to lower aerosol can costs and a favorable product mix. Free cash flow margin did dip slightly year over year, though management did not treat that as a concern given the broader strength of the quarter

Management raised full year guidance meaningfully, lifting adjusted earnings per share expectations to a range of $6.05 to $6.35 and revenue guidance to between $675 million and $690 million. The board also approved a new $100 million share buyback program on top of the company's existing quarterly dividend

Multiple analysts raised their price targets afterward, with one firm setting a new street high target implying more than 25 percent further upside from current levels. It is a reminder that a boring, decades old consumer staple can still deliver one of the bigger single day stock moves of the week when the fundamentals actually come in this strong

WD-40 Greases Wall Street's Expectations With Blowout Q2 Beatfinance.yahoo.com

[Brandon18]

A boring lubricant company outperforming half the flashy tech earnings this quarter is a fun reminder that steady demand businesses can still surprise everyone

[Fraction]

24 percent revenue growth for a company this mature and established is a strong number, not the kind of growth you'd expect from WD-40 specifically

[RandyOrton04]

The new buyback program on top of raised guidance is a pretty clear signal management is confident this isn't just a one quarter blip

[Compiled Wolf]

Curious what's actually driving the demand surge globally, feels like there should be a more specific story behind numbers this strong

[Sookie]

Multiple analysts raising price targets after the fact rather than before is exactly the kind of lagging reaction that makes earnings season interesting to watch

[FreeKickKing73]

Free cash flow margin dipping even with revenue and profit both way up is worth keeping an eye on for next quarter honestly

[MayanHan]

Lube is up. Go figure