moneyheap
NEU · Analysis updated Nov 10, 2026, 6:00 PM ET
Why is NewMarket Corporation (NEU) stock moving?
NewMarket reported Q3 2026 on Oct 28 with net income of $124.1M, revenue of $716.5M (up about 3.8% from $690.3M) and EPS of $13.50 versus $10.67 a year earlier (up about 27%). On Oct 29 it raised the quarterly dividend 8% to $3.25, which annualizes to $13.00 and yields about 1.9% at the latest close of $695.40. Despite these year-over-year gains, the stock fell 8.0% on Oct 29, from $873.27 to $803.07, on volume of 227K, about twice the prior norm of roughly 100K. Selling continued through Nov 5, when it closed at $693.08 on 183K shares, a drop of about 21% from the Oct 26 high of $886.65. Since Nov 6 the stock has held a tight range of roughly $686 to $700, and volume has eased to 123K to 165K, still above the pre-earnings level. The provided news does not explain the reason for the sell-off, and the earnings call transcript excerpt contains no content beyond its introduction, so the cause cannot be confirmed from these sources. The dividend increase and the year-over-year earnings growth are concrete positives, but they have not stopped the decline.
News behind the analysis
- NewMarket Corporation Raises Quarterly DividendNewMarket raised its quarterly dividend to $3.25 per share from $3.00, an increase of about 8%, payable January 1, 2027 to holders of record as of December 15.
- NewMarket Q3 2026 Earnings Call TranscriptBenzinga published the transcript of NewMarket's third-quarter 2026 earnings call, held after the October 28 results release. The excerpt available here contains only the introduction.
- NewMarket Corporation Reports Third Quarter 2026 Financial ResultsNewMarket reported Q3 2026 net income of $124.1 million and revenue of $716.5 million.
- NewMarket Q3 EPS $13.50 Up From $10.67 YoY, Sales $716.502M Up From $690.311M YoYThird-quarter EPS rose to $13.50 from $10.67 a year earlier, and sales rose to $716.5 million from $690.3 million.
About NewMarket Corporation
NewMarket is a Richmond, Virginia–based chemicals company that, through its Afton Chemical and Ethyl subsidiaries, makes additives that go into engine oils, driveline fluids and fuels. It is also a supplier to defense and aerospace: its American Pacific (AMPAC) unit makes perchlorate used in solid rocket propellants, and it added Calca Solutions in late 2025. The Gottwald family has a large stake, there are few shares outstanding (about 9.2 million), and the company has a long record of buying back stock.
How it makes money
Most of its revenue, roughly 90%, comes from petroleum additives. These include lubricant additives for passenger car, heavy-duty and industrial oils, plus fuel additives, sold to oil companies and lubricant blenders around the world. The rest, about 10%, comes from specialty materials: AMPAC's rocket-propellant chemicals and Calca. In the first half of 2026, additives sales ran at roughly $600 million a quarter and specialty materials at roughly $60 million a quarter. Specialty materials has smaller sales but relatively high profit margins.
What usually moves NEU
- Raw material and base oil costs and the ability to pass them on through surcharges
- Global vehicle miles driven and lubricant shipment volumes
- Defense and space launch demand for rocket propellant materials
- Share buybacks and dividends
- Currency swings and global industrial activity