WD-40 Company - Growth & Income

WD-40 Company (WDFC) recently announced it expected its fiscal 2010 earnings per share would meet or top its previously issued guidance.

WD-40 manufactures 3 multi-purpose maintenance brands, WD-40, 3-IN-ONE and Blue Works, and 8 homecare and cleaning brands including 2000 flushes toilet bowl cleaners, Carpet Fresh and Lava heavy duty hand cleaner.

On Aug 10, the company updated its July guidance and is now expecting EPS to meet or top its prior range of $2.05 to $2.14.

Sales growth is expected between 7.2% and 9.2% compared to fiscal 2009.

WD-40 Surprised 4 Quarters in a Row

On July 27, WD-40 reported its fiscal third quarter results and once again beat the Zacks Consensus by 28.5%.

Sales rose 20% to $82.6 million from the year ago quarter with the multi-purpose maintenance products leading the way in the quarter, gaining 29.2% to $67.9 million. Homecare products actually fell 10%.

The company saw growth across all geographic regions.

Growth & Income

Analysts expect earnings per share growth in fiscal 2010 of 33.5% and another 8.7% in 2011.

Its dividend is also attractive, currently yielding 2.8%, much higher than its industry, which pays out just 1.2%.

WD-40 is a Zacks #2 Rank (buy) stock.

Read the May 17, 2010 article.

Update to Previous Growth & Income Zacks Rank Buy Stocks

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Tracey Ryniec is the Value Stock Strategist for Zacks.com. She is also the Editor in charge of the market-beating Zacks Value Trader service. You can follow her at twitter.com/traceyryniec.

 
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