Avery Dennison Corporation · AVY · FY2026 Q2 · Calendar Q3 2026

Avery Dennison: Strong Q2, Guidance Reaffirmed

Avery Dennison's Q2 results support a constructive operating thesis: resilient demand, margin expansion, and Intelligent Labels investment were accompanied by reaffirmed full-year guidance. The main counterweight is that inventory timing, cost inflation, and the still-developing food rollout could make the growth path uneven.

Reported Before market openNYSEConsumer Cyclical $13.16B market cap
100quality score

Earnings scorecard

Reported versus consensus
Reported EPS $2.89 Consensus $2.47
EPS surprise +17.0% Reported versus consensus
Reported revenue $2.46B Consensus $2.30B
Revenue surprise +7.3% Reported versus consensus

Market reaction

prior-close to event-session close
Stock move +4.6% Event window
SPY move +1.7% Same window
Abnormal move +2.9% Stock minus SPY
Volume 2.8× Versus trailing sessions
Subsequent drift +2.0% Up to 20 sessions
AVYSPY benchmark

Ask FN2 about AVY FY2026 Q2

Transcript, numbers and history already loaded
Why did AVY rise 4.6% after beating EPS estimates in FY2026 Q2?What changed in AVY's guidance and outlook in FY2026 Q2?Give me the bull and bear case for AVY after FY2026 Q2 earnings.

Free account. Your question opens in FN2 with this report's transcript and numbers attached.

Transcript intelligence

What changed

Compared with the prior-quarter analysis, Avery Dennison reported stronger 8% organic sales growth, higher adjusted EBITDA margin, and robust free cash flow. The company also supplied more detail on food-sector Intelligent Labels expansion and identified a $0.25 Q3 EPS headwind from the reversal of the Q2 inventory pre-buy.

Guidance delta

Full-year 2026 organic sales growth and EPS guidance was reaffirmed; no change was supplied.

Key takeaways

  • Organic sales grew 8% year over year, while adjusted EPS rose 19% to $2.89.
  • Adjusted EBITDA margin expanded to 17.1% and free cash flow was $365 million.
  • Management highlighted Intelligent Labels expansion, AI initiatives, and food-sector rollouts as growth priorities.
  • The inventory pre-buy supported Q2 EPS and is expected to reverse as a Q3 headwind.

Management priorities

  • Accelerate Intelligent Labels adoption across apparel, food, and logistics.
  • Scale food-sector rollouts with Walmart and Kroger, including protein and perishable pilots.
  • Continue AI integration for product innovation and internal efficiency.
  • Maintain disciplined capital allocation and support share repurchases and dividend growth.

Follow AVY with an agent that reads every filing, transcript, and price print. Free to start.

Try FN2 free

Earnings History

Estimate Beat Miss Match
AVY EPS earnings history estimate and actual scatter chart 9 reported fiscal quarters and 3 future estimate-only quarters. Q4 '23 estimate $2.15 Q4 '23 actual $2.16, match Q1 '24 estimate $2.15 Q1 '24 actual $2.29, beat Q2 '24 estimate $2.26 Q2 '24 actual $2.42, beat Q3 '24 estimate $2.33 Q3 '24 actual $2.33, match Q2 '25 estimate $2.39 Q2 '25 actual $2.42, beat Q3 '25 estimate $2.33 Q3 '25 actual $2.37, beat Q4 '25 estimate $2.40 Q4 '25 actual $2.45, beat Q1 '26 estimate $2.43 Q1 '26 actual $2.47, beat Q2 '26 estimate $2.47 Q2 '26 actual $2.89, beat Q3 '26 estimate $2.33 Q4 '26 estimate $2.57 Q1 '27 estimate $2.69
Show less

Analyst Consensus ?

ConsensusBuy16 ratings
Bullish1381.3%
Neutral318.7%
Bearish00.0%

1 unmapped firm rating excluded from the percentages.

Analyst 52W Price Targets

$172.3Current
$175Low
$210.46Average
$250High

Latest persisted target per named analyst; persisted current price from FN2's market snapshot as of Sep 23, 2026. Not an FN2 forecast.

Firm-level rating actions

FMP grade actions identify the grading firm, not a named analyst.

FirmRatingPrior ratingActionDate
UBS Buy BuyMaintainJul 31, 2026
JP Morgan Overweight OverweightMaintainJul 31, 2026
Citigroup Neutral NeutralMaintainJul 31, 2026
Truist Securities Buy BuyMaintainJul 15, 2026
B of A Securities Buy BuyMaintainJul 14, 2026
Show 12 more rating actions

Named analyst price targets

Upside is calculated against the persisted current price $172.3. FMP does not supply a rating on these named-analyst rows.

FirmAnalyst52W targetPrice when postedUpsideDate
UBSJoshua Spector$225$171.18 +30.6%Jul 31, 2026
Truist FinancialAnalyst unavailable$209$158.98 +21.3%Jul 15, 2026
Argus ResearchAnalyst unavailable$175$154.6 +1.6%Jun 4, 2026
Truist FinancialAnalyst unavailable$221$163.74 +28.3%Apr 29, 2026
Raymond JamesAnalyst unavailable$192$172.12 +11.4%Apr 21, 2026
See 30 more

Track every rating change on AVY the moment it posts. Free to start.

Start free

Company context

Snapshot as of publication

Avery Dennison Corporation operates as a materials science and digital identification solutions company in the North America, Europe, the Middle East, North Africa, Asia, and Latin America. It offers pressure-sensitive label materials, which consist of papers, plastic films, and metal foils; performance tapes products, including mechanical fasteners, which are precision-extruded and injection-molded plastic devices; and other pressure-sensitive adhesive-based materials and converted products under the Fasson, JAC, and Avery Dennison brands. The company provides graphics and reflective products that include films and other products for the architectural, commercial sign, digital printing, and other related market segments; durable cast and reflective films to the construction, automotive, and fleet transportation markets; sign shops, commercial printers, and designers for pressure-sensitive materials; reflective films for traffic and safety applications…

Historical context

All AVY earnings
+0.9%FY2026 Q1 · Calendar Q2 2026

Consumer Cyclical peers this season

Latest reports in the same sector
CompanyQuarterEPS surpriseMarket moveHeadline
AZO AutoZone, Inc. FY2026 Q4 · Calendar Q3 2026 +3.6% +3.3% AutoZone pairs commercial momentum with an aggressive FY2027 expansion plan
LEN-B Lennar Corporation FY2026 Q3 · Calendar Q3 2026 — — Lennar: Efficiency Gains Offset Housing-Market Pressures
LEN Lennar Corporation FY2026 Q3 · Calendar Q3 2026 — -4.1% Lennar Holds Volume Guidance as Margins Improve Despite Housing Headwinds
TCOM Trip.com Group Limited FY2026 Q2 · Calendar Q3 2026 +22.3% +3.0% Trip.com pairs international growth with heavier AI investment
CASY Casey's General Stores, Inc. FY2027 Q1 · Calendar Q3 2026 +8.7% -14.2% Casey's Q1: Prepared Food Drives Growth as Fuel Margins Stay Volatile
LULU Lululemon Athletica Inc. FY2026 Q2 · Calendar Q3 2026 +63.1% -17.4% Lululemon lowers FY2026 outlook as North America weakens

Latest beats and misses

Who reports next

Beat on EPS

Missed on EPS

Get the AVY recap when the next report posts

One email per quarter with the scorecard, the market reaction and what changed on the call. No account needed.

Sources

  1. Earnings call transcript and parsed analysis · 2026-07-30T19:06:53.221790+00:00
  2. FN2 earnings calendar · 2026-09-04T01:23:15.205020+00:00
  3. Polygon adjusted daily market bars · 2026-09-23T13:10:56.498485+00:00
  4. Financial Modeling Prep analyst price-target consensus and quote snapshot · 2026-09-23T13:10:56.496204+00:00

Methodology

Reported and consensus figures come from FN2's earnings event records. Market reaction and volume are calculated from daily adjusted bars around the event; abnormal move subtracts the SPY move over the same window.

Analyst target low, average, and high values are derived at request time from each named analyst's latest persisted FMP target. The current-price marker comes from FN2's persisted market snapshot. They are sell-side estimates, not an FN2 valuation or recommendation.

Transcript intelligence is a structured synthesis of the current and prior earnings-call analyses. Missing values stay missing and are never estimated.

By FN2 Research · Updated · As of 2026-09-23. For educational purposes only; not investment advice.