Crown Holdings Inc has raised its adjusted earnings per share (EPS) guidance for FY26 to a range of $8.30 to $8.50, surpassing the previous outlook of $7.90 to $8.30. This upward revision follows the release of better-than-expected second-quarter financial results, which saw adjusted EPS rise 16% to $2.49. The company reported net sales of $3.7 billion for the quarter, driven by a 5% increase in global beverage can shipments and favorable foreign exchange. Wells Fargo analyst Gabe Hajde has maintained an Equal-Weight rating on the stock and raised the price target to $127 from $117. Previously, UBS analyst Joshua Spector maintained a Neutral rating with a price target of $123, while BMO Capital analyst Ketan Mamtora kept an Outperform rating with a target of $135. Truist Securities analyst Michael Roxland reiterated a Buy rating with a target of $141, and other firms like Baird and JP Morgan adjusted their targets to $130 and $121 respectively.

FY26 Guidance Update

The revised FY26 guidance indicates a significant improvement over the previous outlook. The midpoint of the new range suggests stronger earnings momentum than previously anticipated by the market.

Q3 Outlook

For the third quarter, Crown Holdings projects adjusted EPS to land between $2.20 and $2.30. The midpoint of this range aligns closely with the analyst consensus of $2.26, indicating stability in the near-term forecast.

Capital Allocation and Operations

Crown Holdings repurchased $305 million in shares during Q2, totaling $594 million returned to shareholders in the first half of the year. The company maintains a strong balance sheet with an adjusted net leverage ratio of 2.5 times. Management noted strong demand in North America and Europe, with new capacity coming online in Greece and Spain, but expressed caution regarding potential inflationary pressures and global economic headwinds.