Stanley Black & Decker, Inc. Q3 2026 Earnings Recap

Stanley Black & Decker shares rose 13.1% after earnings, as adjusted EPS of $2.31 came in $0.76 above the midpoint of its guidance range and the company raised and tightened full-year EPS guidance. The beat was materially supported by tariff refunds, which contributed $0.67 per share, while Outdoor remained weak.

Key Takeaways

• Organic revenue grew 4%; adjusted gross margin was 39.4%, and adjusted EBITDA margin was 16.3%, up 400 basis points year over year.
• Tools and Outdoor organic revenue rose 4%, led by 7% volume growth, partly offset by 3 points of price. Power Tools grew 10%, while Outdoor declined 12%, pressured by weather in the U.S. and ANZ.
• Tools and Outdoor adjusted segment margin increased 560 basis points to 17.6%; net tariff refunds accounted for approximately 430 basis points of the increase.
• The company repurchased more than 2.5 million shares for about $250 million in the quarter and received board approval for a new $1 billion repurchase authorization.