GET DAILY SIGNALSReynolds Consumer Products (REYN) Posts Q3 Revenue Beat and Raises Full-Year Outlook
Key Takeaways
- Reynolds Consumer Products reported third-quarter 2026 net revenues of $944 million, up from $931 million a year earlier and above the roughly $939 million consensus estimate.
- Adjusted earnings per share (EPS) came in at $0.39, edging past the consensus of about $0.38 but down from $0.42 in the prior-year quarter.
- Retail volumes declined 7% as commodity-driven pricing actions weighed on price-sensitive demand.
- Adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) slipped to $163 million from $168 million a year ago.
- Management raised its full-year 2026 net revenue outlook to a range of +1% to +3% and reiterated its adjusted EBITDA and adjusted EPS guidance.
- The company completed its acquisition of Owl's Head Alloys in October, vertically integrating aluminum foil production.
Earnings Context and Why It Matters
Reynolds Consumer Products holds a steady position in the defensive consumer staples space, with well-known brands such as Reynolds and Hefty present in most U.S. households. Its results offer insight into everyday spending patterns, commodity price movements, and how pricing strategies are landing with consumers. Ahead of the report, attention centered on whether pricing could offset an estimated $400 million annualized commodity headwind without causing sharp volume drops. This quarter also followed a segment realignment for Hefty Waste & Storage and Presto, so margin trends and execution drew close scrutiny from investors. I checked comparable names in the space using Tickeron’s AI tools to put the results in broader context.
Reported Results
For the third quarter ended September 30, 2026, REYN posted net revenues of $944 million, an increase of about 1.4% from $931 million in the year-ago period. Retail revenues stayed essentially flat at $865 million, with the remainder of the gain coming from non-retail channels. Pricing actions more than compensated for a 7% decline in retail volumes, highlighting the balance between cost recovery and consumer response.
Adjusted net income reached $83 million, compared with $88 million a year earlier, for adjusted EPS of $0.39 versus $0.42 in Q3 2025. On a GAAP basis, net income was $58 million, or $0.28 per share. Adjusted EBITDA fell to $163 million from $168 million, as higher gross profit dollars helped counter commodity pressures while the company maintained spending on innovation, R&D, and advertising.
Market Reaction and Investor Sentiment
Shares of REYN rose after the release, advancing roughly 4% in early trading. Investors appeared to focus on the revenue and adjusted EPS beats as well as the raised full-year revenue guidance. Some caution remained around the volume decline and continued promotional activity in waste bags and storage. Still, the market seemed to appreciate the company’s pricing discipline, supply-chain improvements, and the strategic Owl’s Head Alloys acquisition, which should help manage aluminum foil costs going forward.
Forward Outlook and Key Factors to Monitor
Management kept its core full-year guidance in place while lifting the revenue range. The company now expects full-year 2026 net revenues to rise +1% to +3% from 2025’s $3,721 million, with adjusted EBITDA between $660 million and $675 million, adjusted net income of $332 million to $345 million, and adjusted EPS of $1.57 to $1.63.
Looking ahead, commodity trends for aluminum and resins will stay important given the roughly $400 million annualized headwind. Volume response to any additional pricing moves will also be worth watching, especially with elevated promotions in certain categories. The Owl’s Head Alloys integration could support better cost control in the foil business over time. Productivity efforts, new product launches, and digital initiatives will help determine whether gross profit growth can continue in a still-pressured consumer environment.
AI Tools in My Research Process
When reviewing results like these, I find it useful to run quick comparisons across the consumer staples sector. Tickeron’s AI Screener lets me filter names by fundamentals, technical patterns, and performance metrics in one place, helping surface relevant peers or trends without manual effort. It has become a regular part of how I cross-check ideas before forming a fuller view.
Disclaimer
The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.
Contributor
Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.
REYN in upward trend: 10-day moving average crossed above 50-day moving average on October 27, 2026
The 10-day moving average for REYN crossed bullishly above the 50-day moving average on October 27, 2026. This indicates that the trend has shifted higher and could be considered a buy signal. In 11 of 17 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are 65%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on October 13, 2026. You may want to consider a long position or call options on REYN as a result. In 42 of 86 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are 49%.
REYN moved above its 50-day moving average on October 22, 2026 date and that indicates a change from a downward trend to an upward trend.
Following a +4.45% 3-day Advance, the price is estimated to grow further. Considering data from situations where REYN advanced for three days, in 145 of 314 cases, the price rose further within the following month. The odds of a continued upward trend are 46%.
The Aroon Indicator entered an Uptrend today. In 98 of 206 cases where REYN Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are 48%.
Bearish Trend Analysis
The 10-day RSI Indicator for REYN moved out of overbought territory on November 03, 2026. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 21 similar instances where the indicator moved out of overbought territory. In 11 of the 21 cases, the stock moved lower in the following days. This puts the odds of a move lower at 52%.
The Stochastic Oscillator has been in the overbought zone for 2 days. Expect a price pull-back in the near future.
The 50-day moving average for REYN moved below the 200-day moving average on October 23, 2026. This could be a long-term bearish signal for the stock as the stock shifts to an downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where REYN declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 52%.
REYN broke above its upper Bollinger Band on November 02, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Fundamental Analysis (Ratings)
The Tickeron Seasonality Score of 8 (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Price Growth Rating for this company is 45 (best 1 - 100 worst), indicating steady price growth. REYN’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron SMR rating for this company is 55 (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of 57 (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (2.293) is normal, around the industry mean (1.395). P/E Ratio (15.417) is within average values for comparable stocks, (16.881). Projected Growth (PEG Ratio) (0.580) is also within normal values, averaging (1.023). Dividend Yield (0.037) settles around the average of (0.031) among similar stocks. P/S Ratio (1.251) is also within normal values, averaging (1.259).
The Tickeron PE Growth Rating for this company is 64 (best 1 - 100 worst), pointing to average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is 91 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. REYN’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 83, placing this stock worse than average.
Industry description
Market Cap
High and low price notable news
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Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
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General Information
a manufacturer and seller of household products.
Industry ContainersPackaging
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