YETI (NYSE:YETI) Posts Quarterly Earnings Results, Beats Expectations By $0.13 EPS

YETI (NYSE:YETI) released its earnings results on Thursday. The company reported $0.67 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.54 by $0.13, FiscalAI reports. YETI had a net margin of 8.36% and a return on equity of 22.61%. The firm had revenue of $483.87 million during the quarter, compared to analyst estimates of $483.80 million. During the same quarter last year, the business earned $0.66 EPS. The business’s revenue was up 8.5% on a year-over-year basis. YETI updated its FY 2026 guidance to 2.940-3.000 EPS.

Here are the key takeaways from YETI’s conference call:

• Second-quarter sales rose 9% to approximately $484 million, with broad-based growth across categories, channels, and regions. Coolers and equipment increased 16%, while drinkware grew 2% despite U.S. category pressure.
• Strong execution supported a 170-basis-point adjusted gross-margin expansion to 59.5%, and the company raised its full-year adjusted operating-margin outlook to approximately 14.9%. Adjusted EPS guidance increased to $2.94–$3.00, from $2.83–$2.89 previously.
• Management highlighted continued momentum in international markets, particularly Europe, Australia, and Japan, and expects international sales growth of high-teens to 20% for 2026. YETI plans to expand into 11 Asian markets by year-end, compared with four a year earlier.
• The company faces ongoing headwinds from tariffs, raw materials, fuel, transportation, and fulfillment costs; management assumes tariff rates return to approximately 20% beginning in September. A $8.2 million tariff refund benefited second-quarter margins, but executives cautioned that consumer uncertainty remains in the back half.
• YETI repurchased $130 million of stock during the quarter, leaving approximately $370 million under its authorization, while management emphasized continued investment in innovation, supply-chain flexibility, international expansion, and productivity initiatives.

YETI Trading Down 12.1%

YETI traded down $6.16 on Thursday, reaching $44.68. 4,246,021 shares of the company traded hands, compared to its average volume of 1,448,857. The company has a market cap of $3.38 billion, a P/E ratio of 22.87, a price-to-earnings-growth ratio of 1.60 and a beta of 1.72. The company has a quick ratio of 1.06, a current ratio of 2.10 and a debt-to-equity ratio of 0.10. YETI has a one year low of $31.66 and a one year high of $53.99. The firm has a fifty day simple moving average of $49.80 and a two-hundred day simple moving average of $44.73.

Analysts Set New Price Targets

A number of research firms recently weighed in on YETI. Canaccord Genuity Group increased their price objective on shares of YETI from $42.00 to $45.00 and gave the stock a “hold” rating in a research report on Tuesday, June 23rd. Morgan Stanley set a $45.00 target price on YETI in a research note on Tuesday, June 23rd. The Goldman Sachs Group raised YETI from a “neutral” rating to a “buy” rating and raised their price target for the stock from $46.00 to $63.00 in a research note on Monday, July 20th. Weiss Ratings reissued a “hold (c)” rating on shares of YETI in a research note on Friday, August 7th. Finally, Robert W. Baird boosted their price objective on YETI from $54.00 to $55.00 and gave the company an “outperform” rating in a report on Friday, May 15th. Ten investment analysts have rated the stock with a Buy rating and five have given a Hold rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $53.17.

Hedge Funds Weigh In On YETI

A number of institutional investors have recently modified their holdings of YETI. Integrated Wealth Concepts LLC lifted its holdings in shares of YETI by 9.6% in the 1st quarter. Integrated Wealth Concepts LLC now owns 6,466 shares of the company’s stock worth $214,000 after buying an additional 569 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its stake in YETI by 5.5% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 287,837 shares of the company’s stock worth $9,527,000 after acquiring an additional 14,920 shares during the period. M&T Bank Corp lifted its stake in YETI by 17.6% in the second quarter. M&T Bank Corp now owns 8,648 shares of the company’s stock worth $272,000 after acquiring an additional 1,294 shares during the period. Arrowstreet Capital Limited Partnership grew its holdings in YETI by 48.8% during the 2nd quarter. Arrowstreet Capital Limited Partnership now owns 16,404 shares of the company’s stock worth $517,000 after acquiring an additional 5,379 shares in the last quarter. Finally, California Public Employees Retirement System grew its holdings in YETI by 2.5% during the 2nd quarter. California Public Employees Retirement System now owns 144,069 shares of the company’s stock worth $4,541,000 after acquiring an additional 3,507 shares in the last quarter.

Key Headlines Impacting YETI

Here are the key news stories impacting YETI this week:

• Positive Sentiment: YETI reported second-quarter adjusted earnings of $0.67 per share, ahead of the $0.54-$0.55 analyst consensus and slightly above $0.66 a year earlier. Revenue rose approximately 9% year over year to $483.87 million, narrowly exceeding estimates. Yeti Surpasses Q2 Earnings and Revenue Estimates
• Positive Sentiment: Management raised its fiscal 2026 adjusted EPS outlook to $2.94-$3.00, above the roughly $2.80 consensus estimate. The company maintained revenue guidance of approximately $2.0 billion, broadly in line with expectations. YETI Reports Second Quarter 2026 Results
• Positive Sentiment: Broad-based sales strength and plans to return $130 million to shareholders through share repurchases support the investment case. YETI also scheduled an investor day for September 17, which could provide additional details on its growth strategy. YETI Holdings Tops Profit Estimates on Broad-Based Sales Strength
• Neutral Sentiment: YETI appointed CEO Matthew Reintjes as board chair, consolidating leadership responsibilities. The move may improve strategic alignment but also increases reliance on the current leadership team. YETI Appoints CEO Matthew Reintjes as Board Chair
• Negative Sentiment: Reports highlighting coolers and other gear being sold below retail could raise concerns about promotional intensity and potential pressure on margins, although the articles do not quantify the impact on results. Yeti Gear Offered Below Retail

YETI Company Profile

YETI Holdings, Inc is an American outdoor and lifestyle products company known for its premium, performance-driven coolers, drinkware and accessories. The company’s portfolio includes hard coolers under its flagship Tundra series, soft coolers in the Hopper line, and vacuum-insulated drinkware sold under the Rambler brand. YETI’s products are engineered for durability, temperature retention and rugged outdoor use, targeting consumers ranging from avid anglers and hunters to outdoor enthusiasts and everyday users seeking high-quality insulated containers.

Founded in 2006 by brothers Roy and Ryan Seiders in Austin, Texas, YETI began with a focus on building a better cooler that could withstand extreme conditions and maintain ice retention longer than traditional alternatives.