FMC (FMC) Down 11.8% Since Last Earnings Report: Can It Rebound?

A month has gone by since the last earnings report for FMC (FMC). Shares have lost about 11.8% in that time frame, underperforming the S&P 500.

Will the recent negative trend continue leading up to its next earnings release, or is FMC due for a breakout? Well, first let's take a quick look at the latest earnings report in order to get a better handle on the recent catalysts for FMC Corporation before we dive into how investors and analysts have reacted as of late.

FMC’s Q1 Earnings Beat Estimates on Volume Gains and FX Tailwind

FMC reported a first-quarter 2026 adjusted loss per share of 23 cents. This compares unfavorably to the year-ago quarter’s adjusted earnings per share of 18 cents. The result was narrower than the Zacks Consensus Estimate of a loss of 39 cents.

Quarterly revenues of $759 million declined 4% year over year but topped the consensus estimate of $721.8 million by 5.2%. Performance reflected favorable currency and stronger demand in select markets, partly offset by pricing pressure and partner-related volume headwinds. New active ingredient sales doubled year over year.

Profitability also declined as lower pricing and higher costs more than offset benefits from volume and currency. Tariffs and unfavorable raw material costs were the key cost headwinds, while lower R&D expenses provided some relief. The decline was also driven by tax charges related to higher valuation allowances, along with lower sales, higher restructuring costs and higher interest expense.

Regional Sales Performance

North America sales increased 6% year over year to $198 million. FMC attributed the gain to high-teens sales growth for branded products led by herbicides, alongside solid growth in Plant Health and strong Cyazypyr performance. Sales topped the consensus estimate of $185.1 million.

EMEA revenues rose 13% to $307 million on solid branded volume growth led by herbicides and Cyazypyr. Branded pricing was similar to the year-ago quarter, while registration losses were in line with expectations and represented an estimated 5% headwind. It outpaced the consensus estimate of $282.4 million.

Latin America revenues fell 14% to $177 million. FMC cited lower branded volumes mainly for core portfolio products and a competitive market for core products that pressured branded pricing, though higher growth-portfolio sales led by Cyazypyr and new actives provided a partial offset. It missed the consensus estimate of $178.7 million.

Asia revenues, excluding India, declined 36% year over year to $81 million. The company pointed to lower branded pricing in line with expectations and weaker insecticide volumes amid challenged grower economics tied to geopolitical uncertainty, partially offset by strong Cyazypyr growth. It beat the consensus estimate of $72.4 million.

Financials

The company had cash and cash equivalents of $390.9 million at the end of the quarter. Long-term debt was $2.77 billion.

Outlook

FMC reaffirmed its full-year 2026 outlook, calling for revenue excluding India of $3.6 billion to $3.8 billion and adjusted EBITDA of $670 million to $730 million. Adjusted earnings per diluted share are still expected in the $1.63-$1.89 range, while free cash flow is projected between negative $65 million and positive $65 million.

The company’s full-year framework assumes interest expense of $255-$275 million and an adjusted tax rate of 16-18%, with depreciation and amortization of $160-$170 million. Capital additions and other investing activities are projected at $90-$110 million. FMC also expects the India contribution loss in 2026 to be roughly $90 million of revenue and $0 million of EBITDA.

For the second quarter, FMC expects revenue excluding India of $850 million to $900 million, with adjusted EBITDA of $130 million to $150 million and adjusted earnings per diluted share of 16-26 cents. The company expects year-over-year pressure to be driven largely by reduced orders from diamide partners and the removal of India from the reported base period.

How Have Estimates Been Moving Since Then?

Since the earnings release, investors have witnessed a downward trend in fresh estimates.

The consensus estimate has shifted -47.5% due to these changes.

VGM Scores

At this time, FMC has a poor Growth Score of F, a score with the same score on the momentum front. However, the stock has a grade of C on the value side, putting it in the middle 20% for this investment strategy.

Overall, the stock has an aggregate VGM Score of F. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook

Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, FMC has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

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This article originally published on Zacks Investment Research (zacks.com).

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