Gemini has issued a bullish forecast on WD-40 Company at $1.71 EPS, representing a 26% premium to the Street's $1.36.
Key Findings
The model argues Q1 2025's $1.39 EPS was 'artificially suppressed by ~$8.4M in aberrant Other Expenses' likely related to consulting and ERP costs. Absent this drag, Gemini calculates the core business is operating at a $1.70+ EPS run-rate.
Thesis
While slightly bearish on revenue ($158.5M vs consensus $160M) due to Home Depot data signaling DIY weakness, Gemini sees the margin expansion story as 'far more potent.' The model projects gross margin stability near 55% with non-recurrence of Q1's unusual expenses.
What This Means
GPT-5.2 Quant projects $1.56 (+15% vs consensus), also above Street but less aggressively. Both AI models see upside, with the key question being whether prior-quarter expense items truly normalize or represent ongoing operational costs.