• WD-40 Company recently reported first-quarter 2026 results, with sales of US$154.42 million edging above the prior year while net income and earnings per share were slightly lower, and the company also completed a share repurchase of 124,000 shares for US$28.19 million under its existing program.
• At the same time, management reaffirmed its fiscal 2026 guidance for higher full-year net sales, operating income, and diluted earnings per share compared with 2025 pro forma results, underscoring confidence in its forward plan despite a softer quarterly profit.
• We will now examine how reaffirmed full-year earnings guidance shapes WD-40's investment narrative following these latest quarterly results.

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What Is WD-40's Investment Narrative?

For someone owning WD-40, the big picture is still about a durable, niche brand that throws off high returns on equity and steady, if unspectacular, growth. The latest quarter reinforces that story rather than rewriting it: sales inched higher, profits dipped, but management stuck with its full-year targets and finished a modest share buyback. In the near term, the reaffirmed guidance becomes a key catalyst, because it sets a clear bar for execution after a softer earnings print and a share price that has lagged over twelve months. The main tension is whether WD-40 can keep justifying a rich valuation with mid‑single‑digit growth expectations and an experienced but relatively static board. For now, this quarter nudges expectations, it does not reset them.

However, there is one valuation-related risk here that investors should not overlook. WD-40's shares are on the way up, but they could be overextended by 8%. Uncover the fair value now.

Exploring Other Perspectives

Four Simply Wall St Community fair value estimates span roughly US$190 to US$265, showing very different views on WD-40’s worth. Set against reaffirmed 2026 guidance after a weaker quarter, that spread underlines why you may want to compare several viewpoints before deciding how much optimism about execution is already reflected in the price.

Explore 4 other fair value estimates on WD-40 - why the stock might be worth 9% less than the current price!

Build Your Own WD-40 Narrative

Disagree with this assessment? Create your own narrative in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your WD-40 research is our analysis highlighting 2 key rewards that could impact your investment decision.
• Our free WD-40 research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate WD-40's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.