Stanley Black & Decker (SWK) AI Stock Analysis

• Market Cap: $10.31B
• Dividend Yield: 4.86%
• Average Volume (3M): 1.82M
• Price to Earnings (P/E): 23.1
• Beta (1Y): 1.34
• Revenue Growth: -1.40%
• EPS Growth: N/A
• Country: US
• Employees: 48,000
• Sector: Industrials
• Sector Strength: 72
• Industry: Manufacturing - Tools & Accessories
• EPS (TTM): 1.43
• Shares Outstanding: 154,792,250
• 10 Day Avg. Volume: 2,023,560
• 30 Day Avg. Volume: 1,823,189
• PEG Ratio: -0.21
• Price to Book (P/B): 1.39
• Price to Sales (P/S): 0.79
• P/FCF Ratio: 16.11
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: $84.14
• Price Target Upside: 20.86% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 64 Neutral
• Price Target: $71.00 ▲(1.98% Upside)

Stanley Black & Decker's overall stock score reflects a moderate financial performance with some positive aspects such as improved profitability and leverage management. However, technical indicators suggest a bearish trend, and the earnings call highlights both progress in cost reduction and challenges in revenue growth. The valuation is supported by a reasonable P/E ratio and an attractive dividend yield, providing some stability. Overall, the stock presents a mixed outlook with potential for improvement if strategic goals are met.

Positive Factors

Cost Reduction Efforts

Achieving significant cost reductions enhances profitability and operational efficiency, supporting long-term financial health and competitiveness.

Margin Improvement

Improved margins indicate better cost management and pricing strategies, which can lead to sustained profitability and financial stability.

Brand Performance

Strong brand performance, especially in DEWALT, reflects successful market positioning and innovation, driving long-term revenue growth.

Negative Factors

Revenue Growth Challenges

Flat revenue growth suggests challenges in market expansion and demand generation, potentially impacting future earnings and market share.

Tariff-Related Impacts

Tariff-related challenges can increase costs and reduce competitiveness, affecting profitability and strategic positioning in key markets.

Soft Consumer Demand

Weak consumer demand can limit sales growth and pressure margins, posing risks to achieving long-term financial targets.

Stanley Black & Decker Business Overview & Revenue Model

Company Description

Stanley Black & Decker, Inc. engages in the tools and storage and industrial businesses in the United States, Canada, rest of Americas, France, rest of Europe, and Asia. Its Tools & Storage segment offers professional products, including professional grade corded and cordless electric power tools and equipment, and pneumatic tools and fasteners; and consumer products, such as corded and cordless electric power tools primarily under the BLACK+DECKER brand, as well as corded and cordless lawn and garden products and related accessories; home products; and hand tools, power tool accessories, and storage products. This segment sells its products through retailers, distributors, dealers, and a direct sales force to professional end users, distributors, dealers, retail consumers, and industrial customers in various industries. The company's Industrial segment provides engineered fastening systems and products to customers in the automotive, manufacturing, electronics, construction, aerospace, and other industries; sells and rents custom pipe handling, joint welding, and coating equipment for use in the construction of large and small diameter pipelines, as well as provides pipeline inspection services; and sells hydraulic tools and performance-driven heavy equipment attachment tools. This segment serves oil and natural gas pipeline industry and other industrial customers. It also sells automatic doors to commercial customers. The company was formerly known as The Stanley Works and changed its name to Stanley Black & Decker, Inc. in March 2010. Stanley Black & Decker, Inc. was founded in 1843 and is headquartered in New Britain, Connecticut.

How the Company Makes Money

The company's revenue model primarily revolves around the sales of its diverse range of tools and products across its segments. Key revenue streams include the sale of power tools, hand tools, storage solutions, and industrial products. The Tools & Storage segment is the largest contributor to revenue, driven by strong demand in both professional and DIY markets. Additionally, the Industrial segment generates income through manufacturing solutions, while the Security segment provides electronic and mechanical security products and services. Significant partnerships with retailers and distributors, as well as ongoing innovations in product development, play crucial roles in enhancing sales. Furthermore, acquisitions have expanded their product offerings and market reach, contributing positively to overall earnings.

Stanley Black & Decker Financial Statement Overview

Summary

Stanley Black & Decker has shown mixed financial performance. While profitability has improved in terms of net profit margin and return on equity, revenue and free cash flow have declined, indicating potential challenges in top-line growth and cash generation. The company has managed its leverage better, indicating a cautious approach to capital structure. Overall, the financial health is moderate with areas needing attention for growth and efficiency.

Income Statement

The company shows a declining trend in revenue over the past periods, with TTM revenue at $15.16 billion, down from $15.37 billion in 2024. Gross profit margin has decreased from 29.4% in 2024 to 29.4% in TTM, indicating stable cost control. However, the net profit margin has improved to 2.7% in TTM from 1.9% in 2024, owing to better cost management, though still lower than historical figures. EBIT margin is 6.1%, lower than the previous year, reflecting reduced operational efficiency.

Balance Sheet

The balance sheet shows moderate financial leverage with a debt-to-equity ratio of 0.64 in TTM, improved from 0.71 in 2024, indicating better leverage management. The equity ratio is 40.3%, which shows a stable capital structure. Return on equity has improved to 4.4% in TTM, up from 3.4% in 2024, reflecting enhanced profitability from equity.

Cash Flow

Operating cash flow to net income ratio is 1.88 in TTM, indicating strong cash generation relative to earnings. However, free cash flow has decreased, showing a contraction from $753 million in 2024 to $493 million in TTM, suggesting less cash flexibility. Free cash flow to net income ratio is 1.22, highlighting moderate cash flow relative to earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2019	Dec 2018
Income Statement
Total Revenue	11.45B	15.37B	15.78B	16.95B	14.44B	13.98B
Gross Profit	3.37B	4.51B	4.10B	4.28B	4.81B	4.90B
EBITDA	719.70M	1.32B	802.70M	942.80M	1.92B	1.79B
Net Income	243.70M	294.30M	-310.50M	170.30M	955.80M	645.30M
Balance Sheet
Total Assets	21.75B	21.85B	23.66B	24.96B	20.60B	19.41B
Cash, Cash Equivalents and Short-Term Investments	268.30M	290.50M	449.40M	395.60M	297.70M	311.40M
Total Debt	6.06B	6.59B	7.30B	7.46B	3.52B	4.20B
Total Liabilities	12.78B	13.13B	14.61B	15.25B	11.45B	11.53B
Stockholders Equity	8.98B	8.72B	9.06B	9.71B	9.14B	7.88B
Cash Flow
Free Cash Flow	-49.50M	753.00M	852.60M	-1.99B	1.08B	768.80M
Operating Cash Flow	15.50M	1.11B	1.19B	-1.46B	1.51B	1.26B
Investing Cash Flow	-190.00M	394.20M	-327.70M	3.60B	-1.19B	-994.00M
Financing Cash Flow	90.90M	-1.56B	-816.00M	-2.00B	-307.10M	-556.70M

Stanley Black & Decker Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 69.62
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SWK, the sentiment is Neutral. The current price of 69.62 is above the 20-day moving average (MA) of 68.59, below the 50-day MA of 72.73, and below the 200-day MA of 71.72, indicating a neutral trend. The MACD of -1.11 indicates Negative momentum. The RSI at 48.60 is Neutral, neither overbought nor oversold. The STOCH value of 26.84 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SWK.

Stanley Black & Decker Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RBC	77 Outperform	$13.51B	52.13	8.54%	―	8.27%	19.06%
TKR	76 Outperform	$5.31B	18.05	9.80%	1.81%	-1.01%	-12.13%
LECO	75 Outperform	$12.38B	24.12	38.11%	1.31%	3.27%	10.89%
SNA	75 Outperform	$17.62B	17.75	17.96%	2.50%	0.24%	-1.85%
TTC	66 Neutral	$7.18B	22.26	21.85%	2.07%	0.78%	-13.62%
SWK	64 Neutral	$10.31B	23.05	4.92%	4.86%	-1.40%	―
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Stanley Black & Decker Corporate Events

Stanley Black & Decker’s Mixed Earnings Call Insights

During the recent earnings call, Stanley Black & Decker conveyed a mixed sentiment, reflecting both achievements and challenges. The company is making notable progress in cost reduction and margin improvement, particularly in its DEWALT and Engineered Fastening segments. However, it faces hurdles such as flat revenue growth, tariff-related impacts, and soft consumer demand, which could impede its long-term targets. The call emphasized operational efficiencies and strategic imperatives as key drivers for future growth.

Stanley Black & Decker Appoints New Chief Administrative Officer

On October 29, 2025, Stanley Black & Decker announced the appointment of Patrick D. Hallinan as Chief Administrative Officer, effective January 1, 2026, alongside his roles as Executive Vice President and Chief Financial Officer. This change comes with a significant compensation adjustment, reflecting his increased responsibilities. Additionally, the company elected Mary A. Laschinger to its Board of Directors, effective November 1, 2025. Laschinger, with her extensive experience in global manufacturing and distribution, is expected to contribute significantly to the company’s strategic growth and operational excellence, further solidifying its industry leadership.

The most recent analyst rating on (SWK) stock is a Hold with a $77.00 price target. To see the full list of analyst forecasts on Stanley Black & Decker stock, see the SWK Stock Forecast page.

Stanley Black & Decker’s General Counsel Resigns

Janet M. Link, Senior Vice President, General Counsel and Secretary of Stanley Black & Decker, announced her resignation effective November 30, 2025, to pursue a new professional opportunity. This leadership change may impact the company’s legal and strategic operations, potentially influencing its market positioning and stakeholder relations.

The most recent analyst rating on (SWK) stock is a Hold with a $80.00 price target. To see the full list of analyst forecasts on Stanley Black & Decker stock, see the SWK Stock Forecast page.