Stanley Black & Decker Reports Q3 2026 Results, Boosts FY26 Guidance & Authorizes $1B Buyback

Executive Summary

On November 4, 2026, Stanley Black & Decker, Inc. (NYSE: SWK) filed a Form 8-K reporting its third-quarter 2026 financial results, raising full-year 2026 guidance, and announcing a new $1 billion share repurchase authorization.

Key Highlights

• Q3 2026 Performance:

  • Net Sales: $3.7 billion, down 1% year-over-year reported but up 4% organically. Higher volume (+6%) was offset by pricing (-2%) and portfolio divestitures (-4%).
  • Margins: Gross margin reached 39.0% (adjusted 39.4%), up 760 bps year-over-year, supported by ~430 bps from net tariff refunds.
  • Earnings: Diluted EPS of $1.83; adjusted EPS of $2.31 (benefited by ~$0.67 from net tariff refunds).
  • Cash Flow: Operating cash flow of $659 million; free cash flow of $585 million.

• Guidance Revisions (FY 2026):

  • GAAP EPS: Raised to $5.45–$5.85 (prior $4.60–$5.45).
  • Adjusted EPS: Raised and narrowed to $5.95–$6.25 (prior $5.20–$5.80).
  • Free Cash Flow: Increased to $1.0 billion–$1.2 billion (prior $600 million–$800 million).

• Capital Allocation & Share Repurchases:

  • Fully completed the prior $500 million authorization by repurchasing ~$250 million (approx. 2.5 million shares) in Q3.
  • The Board approved a new $1.0 billion share repurchase authorization on October 29, 2026, effective for 36 months through October 29, 2029.