Avient Corporation (AVNT): 3Q26 Ahead/FY26 EBITDA Narrowed

We expect a positive response to results and outlook. Avient reported another stronger-than-expected quarter and raised the low end of its full-year EBITDA guidance, with 3Q26 Adj. EBITDA of $154M, 4% ahead of MS/consensus of $148M/$149M, and 3Q26 Adj. EPS of $0.86, 8% ahead of the $0.80 MS/consensus estimate. The beat was driven by both sales and margins ahead of consensus in both segments. Color, Additives and Inks posted operating income of $89M, with organic sales up 8% YoY on growth across all regions led by pricing, new wins in Packaging and growth from Building and Construction, and Adj. EBITDA margins up 120bps YoY. Specialty Engineered Materials operating income was $50M, with organic sales up 15% on strength in Electronics and High-Performance Computing and Building and Construction, and Adj. EBITDA margins up 140bps YoY. Corporate expense was a partial offset at $1M higher than consensus. Management narrowed FY26 EBITDA guidance to $593M-$603M from $575M-$603M and raised EPS