The Honest Company stock reports stronger profits

Published on 09/29/2026 at 17:30 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

The Honest Company stock posted USD 10.7 million in Q2 net income, up from USD 3.9 million. Management raised fiscal 2026 revenue guidance to USD 319 million-USD 325 million.

HNST, US43854H1077, Illustration mit AI erstellt.

The Honest Company stock is backed by a sharp Q2 2026 profit increase, with net income reaching USD 10.7 million versus USD 3.9 million a year earlier. The result combines a 10.9 percent revenue decline with stronger margins and higher full-year guidance.

Profit rises as revenue contracts

On August 5, 2026, Yahoo Finance reported that second-quarter revenue fell 10.9 percent year over year to USD 83.3 million, while net income climbed from USD 3.9 million to USD 10.7 million. Gross margin reached 48.4 percent, an increase of 8.00 percentage points from the year-ago period.

The retained business showed a different trajectory. Organic revenue rose 6.7 percent to USD 80.2 million, according to Yahoo Finance, as wipes and personal care products offset continuing pressure in diapers.

Guidance moves above prior range

As Investing.com reported on September 16, 2026, management lifted fiscal 2026 revenue guidance to USD 319 million-USD 325 million from USD 306 million-USD 312 million. Adjusted EBITDA guidance also increased to USD 23 million-USD 25 million from USD 20 million-USD 23 million.

The improvement has attracted higher analyst targets, but the valuation debate remains active. MarketBeat reported on September 20, 2026 that nine analysts held a consensus Hold rating and an average 12-month price target of USD 4.84. The same report said quarterly EPS of USD 0.04 exceeded a USD 0.01 consensus estimate by USD 0.03.

Nasdaq value and investor lens

HNST was quoted at USD 5.23 on Nasdaq at 11:29 a.m. EDT on September 29, 2026. Its market capitalization was USD 575.2 million on the same date, placing the stock above the reported average analyst target while the company works to convert organic growth into durable reported revenue.