To rewind: DuPont completed the separation of its Qnity Electronics business on November 1, 2025, with DuPont(DD) shareholders receiving one share of Qnity for every two shares of DuPont held as of the close of business on October 22, 2025 (DuPont’s spinoff record date). The shares were delivered on the distribution date (November 1) as described in DuPont’s board approval announcement (DuPont IR) and the later completion notice (DuPont press release).
That separation created a clean, standalone semiconductor materials and interconnect business — and, as is often the case, a clean standalone stock chart that initially looked like it had been dropped down the stairs by passive selling and forced reallocations. But today’s earnings report is the kind of moment that can change the post-spin narrative.
Qnity’s Q4 Beat and 2026 Guidance
Qnity reported Q4 2025 adjusted EPS of $0.82 on $1.19 billion in revenue, comfortably above estimates (Investor’s Business Daily: IBD writeup). While EPS was slightly below the prior year’s quarter, sales rose year-over-year, and the company followed up with 2026 guidance that topped consensus — projecting adjusted EPS around $3.75 and revenue of about $5.07 billion (again, IBD).
In other words: the first real “standalone” year is ending with the kind of outlook management actually wants investors to focus on — AI, high-performance computing, and connectivity demand — rather than the mechanics of the split.
Qnity Stock Move: The Market Actually Cared
The market didn’t need much time to react. Barron’s reported the stock up about 7% after the release, trading around $128.51, as investors recalibrated to the earnings beat and strong outlook (Barron’s). Investing.com similarly highlighted the strength of the quarter and the shareholder-return announcements that came with it (Investing.com).
This is the part of the post-spin lifecycle where things typically get more interesting: once forced selling is done, the company starts reporting as itself, and investors can argue about fundamentals instead of mechanics.
Buyback + Dividend: The “We’re a Real Company Now” Starter Pack
Alongside earnings, Qnity announced a $500 million share repurchase program and began an $0.08 quarterly dividend (Barron’s; dividend details also posted by the company at Qnity IR). The dividend is payable March 16, 2026 to shareholders of record on February 27, 2026.
None of that is shocking, but it matters. Post-spin companies often need to prove they’re not just a dumped subsidiary with a new logo — capital return and clearer guidance are among the fastest ways to bring in a broader shareholder base.
Why This Matters for Spinoff Investors
Qnity is still early in its independent life, and it will almost certainly remain volatile. But this quarter is a reminder of why spinoffs can work: once the market has a clean way to value the business, fundamentals tend to matter again. With the company now signaling confidence via guidance and capital return, the “post-spin selling pressure” excuse is going to be harder to use — which is exactly what you want if you own it.
Disclosure: The author holds no position in any stock mentioned.