| SWK |
Report |
Adjusted EPS (Q2'26) |
BEAT |
pred ~$1.26 vs. cons $1.21 |
MEDIUM |
| SWK |
Report |
Adjusted Gross Margin (Q2'26) |
IN-LINE |
pred ~33.0% (+~280bps YoY) vs. cons ~33.2% (+~300bps YoY) |
MEDIUM |
| SWK |
Report |
Net Revenue (Q2'26) |
MISS |
pred ~$3.90B vs. cons $4.00B |
MEDIUM |
| SWK |
Guide |
FY2026 Adjusted EPS (reaffirm) |
UNCHANGED |
guide ~$5.30 mid (range $4.90-$5.70) vs. cons ~$5.25 (FY2026) |
MEDIUM |
| SWK |
Guide |
Q3'26 Adjusted Gross Margin checkpoint |
BETTER |
guide ~34% vs. cons ~33.7% (Q3'26) |
LOW |
| SWK |
Guide |
FY2026 Adj GM expansion / Q4 35%+ path |
UNCHANGED |
guide ~+150bps FY & ~35% exit vs. cons ~+150bps / ~34.8% (Q4'26) |
MEDIUM |
| SWK |
Guide |
FY2026 Free Cash Flow |
UNCHANGED |
guide ~$600M mid ($500-700M) vs. cons ~$600M (FY2026) |
LOW |
| SWK |
Guide |
Organic growth inflection / buyback pace |
UNKNOWN |
guide ~+LSD organic & ~$500M buyback authorization vs. cons ~+1-2% organic (Q2'26/FY) |
LOW |
| SWK |
Return |
Day-1 residual (stock − beta × S&P 500) |
-3.5% |
— |
MEDIUM |
| SWK |
Return |
5-day cumulative residual |
-5.5% (FADE) |
SWK sits near 52-wk highs (+23% YTD, +40% off April low, ~9% into the print) with Q2 guidance already public, so a modest EPS beat is largely priced in — a classic good-but-priced-in setup. History shows SWK reliably sells the news (Q1'26 ~-3%, Q2'25 ~-7% day-1). With margins only meeting the ~300bps promise and revenue optically light on the CAM step-down, there's no upside catalyst to force positive revisions; management reaffirms rather than raises the $4.90-5.70 FY range, so out-period estimates get trimmed toward the low-to-mid point, pulling the stock lower over the week. Follow-through on the initial drop as elevated expectations reset. |
LOW |