WD-40 Company's Drop Doesn't Justify An Upgrade
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Daniel JonesInvesting Group LeaderFollow5ShareSavePlay(11min)CommentsSummaryWD-40 Company remains a business model standout, but recent profitability challenges have led to underperformance versus the S&P 500.WDFC's Q1 FY2026 saw modest revenue growth but missed expectations, with notable declines in HCCP and Asia Pacific Multi-Use Product sales.Profitability metrics deteriorated due to higher SG&A costs tied to growth initiatives, with EPS and cash flow both declining year-over-year.I maintain a Hold rating on WDFC, citing high valuation, transitory headwinds, and credible long-term growth opportunities in core and specialist segments.Looking for a helping hand in the market? Members of Crude Value Insights get exclusive ideas and guidance to navigate any climate. Learn More » Nariman Safarov/iStock via Getty Images Even though I don't write about it as much as I would like to, one of my favorite companies in the world is WD-40 Company (WDFC). I don't mean this from an investmentThis article was written byDaniel Jones36.2K FollowersFollowDaniel is an avid and active professional investor. He runs Crude Value Insights, a value-oriented newsletter aimed at analyzing the cash flows and assessing the value of companies in the oil and gas space. His primary focus is on finding businesses that are trading at a significant discount to their intrinsic value by employing a combination of Benjamin Graham's investment philosophy and a contrarian approach to the market and the securities therein. Learn more.Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.