EL7.AI
StocksMedium•4 November 2026•
3 min read

Solstice Raises 2026 Adjusted EPS Floor to $2.90

Key Facts

1The company raised its 2026 adjusted diluted EPS forecast to $2.90–$2.95, from $2.75–$2.95.
2Net sales were $1,046 million in the third quarter, up 8% year over year.
3Adjusted EBITDA margin rose to 25.3%, up 109 basis points year over year.
4The company expects fourth-quarter 2026 sales of $1,010 million to $1,035 million.

Solstice Advanced Materials raised its 2026 adjusted diluted EPS forecast on November 4 to a range of $2.90 to $2.95, from a previous range of $2.75 to $2.95. The revision came as it reported third-quarter net sales of $1,046 million, up 8% from the same period in 2025. Sales were $969 million in the third quarter of last year. The figures show an improved floor for the annual forecast alongside year-over-year revenue growth. The company announced the results in a statement issued from Morris Plains, New Jersey.

Adjusted EBITDA margin was 25.3% in the third quarter, up 109 basis points year over year. The company attributed the margin expansion to sales growth and operating leverage. The margin offers an indication of operational improvement alongside higher revenue, while sales growth was not limited to one segment, according to the company’s statement. The increase was linked to higher sales in electronic materials, refrigerants and healthcare packaging. The company also said organic sales growth benefited from volume and price.

For quarterly comparison, net sales had risen 11% in the second quarter of 2026 to $1,148 million, versus $1,033 million in the second quarter of 2025. Net income attributable to Solstice also increased 23% at the time to $119 million from $97 million. Second-quarter sales growth exceeded the annual increase reported in the third quarter. By business in the second quarter, refrigerant sales rose 13%, nuclear revenue 27% and electronic materials sales 15% year over year. The company then attributed electronic materials growth to higher volume and strong demand across the semiconductor market.

After its second-quarter results, the company said strong first-half performance gave it confidence to raise its full-year outlook despite an uncertain macroeconomic backdrop. Chief Executive David Sewell said the performance "gives us confidence to raise our full-year outlook, even against an uncertain macroeconomic backdrop." The company also focused at the time on disciplined execution and completing its announced acquisition of Element Solutions. Ahead of third-quarter results, investors were watching the company’s ability to sustain momentum in its nuclear energy and refrigerants businesses. This coincided with pressure from an activist investor to cut costs and improve operating efficiency.

Ahead of the results announcement, a report published on November 3 said analysts’ estimates for Solstice EPS in the September quarter were $0.77, compared with EPS of $0.88 in the second quarter. The report said 9 of 10 analysts recommended buying the stock. It also reported that the stock stood at $58.93, down 35% from its 52-week high of $90.80. These figures date from before the results announcement and do not represent the market reaction to it. The company’s statement did not report the stock’s movement after the results were released.

For the fourth quarter of 2026, the company expects net sales of $1,010 million to $1,035 million and adjusted EBITDA of $246 million to $256 million. It also set adjusted diluted EPS guidance for that quarter at $0.57 to $0.62. Solstice declared a quarterly cash dividend of $0.075 per share. The dividend is payable on December 10, 2026, to shareholders of record on November 25, 2026. These dates place the cash return to shareholders among the decisions announced alongside the quarterly results and outlook.