Why Stanley Black & Decker Stock Tumbled by 7% on Tuesday

Core Viewpoint - Investors expressed significant concern regarding Stanley Black & Decker's recent performance, leading to a more than 7% decline in stock price following disappointing second-quarter results [1] Financial Performance - Stanley Black & Decker reported revenue of $3.9 billion for the quarter, a decrease of 2% year over year, attributed to a sluggish outdoor buying season and shipment disruptions due to tariffs [2] - Adjusted net income fell by almost 1% to slightly over $163 million, translating to $1.08 per share [2] - The consensus analyst estimate for revenue was $4 billion, while adjusted profitability was estimated at $0.41 per share [3] Management Response - Management indicated a commitment to overcoming current difficulties, with COO and incoming CEO Christopher Nelson stating that the company is executing a robust plan to mitigate tariff impacts and optimize its supply chain [4] - The company provided guidance for 2025, predicting adjusted net income of approximately $4.65 per share, although this forecast may be subject to adjustment due to an anticipated $800 million financial hit from tariffs [4][5]