11:53 AM EDT, 05/06/2025 (MT Newswires) -- Spectrum Brands Holdings' ( SPB ) fiscal Q2 results could reflect soft demand and increased competition in its product categories, potentially leading to a guide down in fiscal 2025 sales, RBC Capital Markets said in a Tuesday note.

RBC said scanner data showed a sequential slowdown is sales growth due to weaker volumes and its checks indicate soft demand and heightened competition in the company's global pet care segment.

RBC also noted that Spectrum Brands' ( SPB ) estimates for its home and garden segment are "too high," while the separation of the company's home and personal care segment faces continued uncertainty.

According to the investment firm, weak fiscal Q2 results could lead the company to lower its fiscal 2025 sales growth guidance to flat to slightly positive from its previous outlook of a low single-digit growth. The looming tariffs could also weigh on Spectrum Brands' ( SPB ) margins/profitability outlook for the year given its "meaningful exposure to China," RBC added.

Spectrum Brands Holdings ( SPB ) is set to release its fiscal Q2 results on May 8.

RBC has an outperform rating on Spectrum Brands Holdings ( SPB ) with a price target of $110.

Price: 63.24, Change: -1.66, Percent Change: -2.56