Here's What to Expect From Dow Inc.'s Next Earnings Report

Core Viewpoint - Dow Inc. is expected to report significant losses in its upcoming fiscal third-quarter earnings, reflecting ongoing challenges in the materials science sector and underperformance compared to market indices [1][2][4]. Financial Performance - Analysts predict a loss of $0.27 per share for Dow in Q3 2025, a decline of 157.5% from a profit of $0.47 per share in the same quarter last year [2]. - For the full fiscal year, a loss of $0.89 per share is anticipated, down 152.1% from an EPS of $1.71 in fiscal 2024, but a recovery to $0.20 EPS is expected in fiscal 2026, representing a year-over-year increase of 122.5% [3]. Stock Performance - Dow's stock has decreased by 57.7% over the past 52 weeks, significantly underperforming the S&P 500 Index, which gained 17.2% during the same period [4]. - The stock also underperformed compared to the Materials Select Sector SPDR Fund, which saw a loss of 5.7% [4]. Challenges and Market Conditions - The company's underperformance is attributed to lower prices, restructuring charges, and decreased sales across all segments, particularly in functional polymers, polyurethanes, and coatings [5]. - Margin compression has further impacted earnings, and the company is seeking regulatory intervention to address issues related to oversupply and unfair pricing practices [5]. Analyst Sentiment - The consensus opinion among analysts is cautious, with a "Hold" rating overall; out of 20 analysts, 2 recommend a "Strong Buy," 16 suggest a "Hold," and 2 advise a "Strong Sell" [7]. - The average analyst price target for Dow is $27.67, indicating a potential upside of 18.1% from current levels [7].