Edgewell Personal (EPC) Plunges 22.7%: Earnings Miss and Weak Sales Spark Investor Exodus

Summary
• EPC’s stock nosedives 22.7% to $19.32, its lowest since 2023’s $19.13 intraday low
• Q3 earnings miss by 8.91%, with adjusted EPS at $0.92 vs. $1.01 consensus
• Net sales drop 3.2% to $627.2M, missing estimates by 4.54%
• CEO cites 'challenging' Sun Care seasons in North America and Latin America

Edgewell Personal’s stock has imploded on a disastrous earnings report, with a 22.7% intraday plunge erasing $5.67 of value. The selloff follows a Q3 earnings miss, weak sales, and management’s admission of 'transitory headwinds' from tariffs and currency swings. With the stock trading near its 52-week low, investors are scrambling to assess the company’s ability to reverse its fortunes in 2026.

Q3 Earnings Miss and Weak Sun Care Sales Trigger Panic
Edgewell’s Q3 earnings report delivered a one-two punch: a 7.5% miss on adjusted EPS and a 4.2% organic sales decline. The CEO explicitly blamed 'very weak Sun Care seasons in North America and certain Latin American markets,' with North America’s Sun Care segment shrinking 8.0% due to 'volume declines and increased promotional levels.' Tariffs and foreign exchange pressures further exacerbated profit margins, while the company’s $44M restructuring charges for 2025 signaled a painful transformation. The market’s reaction—trading down 22.7% from $25.00—reflects a loss of confidence in management’s ability to stabilize core businesses before 2026.

Bearish Setup: Put Options and ETFs for Short-Term Volatility
• 200-day MA: $30.69 (well below current price)
• RSI: 43.5 (neutral but bearish bias)
• MACD: -0.006 (bearish divergence)
• Bollinger Bands: $24.59–$27.40 (price near lower band)
• Kline Pattern: Short-term bearish trend confirmed

EPC’s technicals align with a continuation of its downward spiral. Key support levels at $19.13 (52W low) and $17.50 (next major psychological level) are critical. The 30D support at $25.10 is already breached, suggesting further weakness. While no leveraged ETFs are available, the options chain offers high-leverage bearish plays. Two top options stand out:

• EPC20250919P17.5
- Put Option
- Strike Price: $17.50
- Expiration: 2025-09-19
- IV: 31.92% (moderate)
- Leverage Ratio: 96.92% (high)
- Delta: -0.163 (moderate sensitivity)
- Theta: -0.004 (slow time decay)
- Gamma: 0.112 (high sensitivity to price swings)
- Turnover: $2,065 (liquid)
- Payoff at 5% Downside: $1.16 per contract
- Why: High leverage and gamma make this ideal for a 5% drop scenario, with moderate IV and slow theta decay.

• EPC20251121P17.5
- Put Option
- Strike Price: $17.50
- Expiration: 2025-11-21
- IV: 40.70% (reasonable)
- Leverage Ratio: 23.64% (moderate)
- Delta: -0.274 (moderate sensitivity)
- Theta: -0.005 (slow decay)
- Gamma: 0.077 (moderate sensitivity)
- Turnover: $812 (liquid)
- Payoff at 5% Downside: $1.16 per contract
- Why: Longer-dated option with balanced leverage and IV, offering flexibility for a gradual decline.

Action: Aggressive bears should prioritize EPC20250919P17.5 for a short-term bet on $17.50 support. Watch for a breakdown below $19.13 to trigger a wave of stop-loss selling.

Backtest Edgewell Personal Stock Performance
Edgewell Personal Care (EPC) experienced a significant intraday plunge of 23% on August 5, 2025. Following this event, the stock's performance showed a notable decline, reflecting the market's reaction to the company's Q3 earnings report and revenue estimates miss.1. Post-Plunge Performance: - The stock's closing price dropped by 3.8% intraday, trading at $880.745. - KLAC's stock price continued to face downward pressure, influenced by the semiconductor equipment sector's underperformance and insider selling.2. Market Reaction and Factors: - The market reacted negatively to EPC's Q3 revenue decline of 3.2% year-on-year, reaching $627.2 million, missing the consensus estimate of $657.04 million. - The company's adjusted EPS of $0.92 also fell short of the consensus estimate of $1.01, marking an 8.91% miss. - Additionally, management lowered its full-year adjusted EPS guidance to $2.65, representing a 10.2% decrease from the previous estimate.3. Investor Sentiment and Future Outlook: - Investor sentiment was cautious, as reflected by the Invesco Semiconductors ETF's drop of 0.91% and the broader semiconductor equipment sector's struggles. - Despite the short-term volatility, the sector's long-term growth forecast of 15.4% for 2025 provided a potential upside.4. Insider Activity and Sector Influence: - Insider sales, such as Mary B. Wilkinson's filing to sell $1.76 million in KLAC shares, contributed to the stock's decline. - The semiconductor equipment sector's weakness, driven by slowing consumer electronics demand and regulatory uncertainties, affected KLAC's stock performance.In conclusion, EPC's stock experienced a substantial drop following the earnings miss, and while there was a brief period of downward momentum, the stock's longer-term trajectory would depend on the company's strategic responses to the challenges identified by the earnings report, as well as broader market and sector trends.

EPC’s 2026 Hopes Hang in the Balance: Act on Immediate Bearish Signals
EPC’s 22.7% collapse underscores the urgency of management’s restructuring and North American Sun Care turnaround. While the CEO remains bullish on 2026, the stock’s technicals and earnings trajectory suggest further pain before a potential rebound. Investors should monitor the $19.13 level and the September 19 expiration of key put options. Meanwhile, sector leader Procter & Gamble (PG) has edged up 0.33%, highlighting the contrast between EPC’s struggles and resilient peers. Act now: Short-term bears should target EPC20250919P17.5, while long-term investors may wait for a clearer 2026 catalyst.