Dow's Q2 sales slightly beat estimates on higher polyethylene prices

Dow

23/07/2026 11:12

    

    Overview
  
US materials science firm's Q2 net sales rose 20% yr/yr, slightly beating analyst expectations
Company cites higher polyethylene prices and self-help initiatives for improved results

    

    Outlook
  
Dow expects in-year benefits from 'Transform to Outperform' to exceed $1.3 bln in 2026
Company sees impact from self-help initiatives ramping through remainder of 2026 and into 2027

    

    Result Drivers
  
HIGHER POLYETHYLENE PRICES - Company said higher polyethylene prices in all regions drove sales and margin expansion, especially in Packaging & Specialty Plastics
SELF-HELP INITIATIVES - Company said its self-help actions, including the Transform to Outperform program, contributed to improved earnings and productivity
PLANNED MAINTENANCE & CONFLICT IMPACTS - Volume declines in Packaging & Specialty Plastics and Industrial Intermediates & Infrastructure were attributed to planned maintenance activity and impacts from the Middle East conflict

    
Company press release: ID:nPn1H8NLYa

    

    Key Details
  

            Metric
          

            Beat/Miss
          

            Actual
          

            Consensus Estimate
          
Q2 Net Sales
Slight Beat*
$12.09 bln
$12.03 bln (13 Analysts)
Q2 EPS
 
$0.99
 
*Applies to a deviation of less than 1%; not applicable for per-share numbers.

    

    Analyst Coverage
  
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 8 "strong buy" or "buy", 10 "hold" and 2 "sell" or "strong sell"
The average consensus recommendation for the commodity chemicals peer group is "buy."
Wall Street's median 12-month price target for Dow Inc is $35.00, about 12% above its July 22 closing price of $31.25
The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 75 three months ago

    

    Reuters Recommended Reads
  
July 22 - Akzo Nobel beats profit estimates as price rises offset higher raw-material costs
July 22 - Packaging Corp Q2 adjusted EPS falls less than expected, helped by strong demand
July 22 - Sonoco Q2 profit beats estimates driven by Industrial Paper Packaging

    
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)