WD-40 (WDFC) Is Up 7.8% After Raising Guidance And Authorizing New Buyback Program

• In its fiscal third quarter ended May 31, 2026, WD-40 Company reported sales of US$195.12 million and net income of US$30.22 million, with earnings per share from continuing operations rising to US$2.24 from US$1.54 a year earlier, and raised its full-year revenue and profit guidance while authorizing a US$100 million share repurchase program and maintaining its dividend.

• Beyond the headline growth, performance was powered by strong demand for higher-margin maintenance products, improved operating margins and management's decision to refocus away from lower-contribution homecare and cleaning brands, which together reinforced the company's emphasis on profitability and capital returns.

• We'll now examine how this guidance upgrade and margin improvement intersect with WD-40's existing investment narrative and what it might mean for investors.

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WD-40 Investment Narrative Recap

To own WD‑40, you need to believe its core maintenance brands can support resilient earnings and steady capital returns. The latest quarter's beat and guidance hike strengthen that case near term, with higher-margin maintenance products and cost discipline helping offset earlier profit softness. The key short term catalyst is whether this margin progress can be sustained as input costs fluctuate, while the biggest current risk is that concentrating even more on maintenance products heightens reliance on a single category.

The most relevant announcement is the new US$100 million share repurchase authorization alongside the maintained US$1.02 quarterly dividend. For existing shareholders, this pairs stronger Q3 results with a clear commitment to returning cash, at a time when the stock has already rallied sharply. It also interacts directly with the catalyst of expanding earnings power, since fewer shares and ongoing dividends matter more if profitability holds up against any future cost or demand pressures.

Yet while recent results are encouraging, investors should be aware that a heavier dependence on one product family could become a problem if...

Read the full narrative on WD-40 (it's free!)

WD-40's narrative projects $763.2 million revenue and $97.8 million earnings by 2029.

Uncover how WD-40's forecasts yield a $249.50 fair value , a 6% downside to its current price.

Exploring Other Perspectives

The most optimistic analysts were already banking on WD‑40 lifting revenue to about US$779 million and earnings to roughly US$103 million by 2029, but this strong quarter raises questions about whether those bullish expectations, and the risk that key regions may still grow slower than hoped, now look more realistic or even too cautious for your own view.