Insights into Sonoco Prods's Upcoming Earnings
Sonoco Prods (NYSE:SON) is preparing to release its quarterly earnings on Wednesday, 2025-07-23. Here's a brief overview of what investors should keep in mind before the announcement.
Analysts expect Sonoco Prods to report an earnings per share (EPS) of $1.47.
The market awaits Sonoco Prods's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.
It's important for new investors to understand that guidance can be a significant driver of stock prices.
Overview of Past Earnings
Last quarter the company missed EPS by $0.03, which was followed by a 12.32% drop in the share price the next day.
Here's a look at Sonoco Prods's past performance and the resulting price change:
| Quarter | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 |
|---|---|---|---|---|
| EPS Estimate | 1.41 | 1.2 | 1.45 | 1.25 |
| EPS Actual | 1.38 | 1 | 1.49 | 1.28 |
| Price Change % | -12.0% | -4.0% | -3.0% | -2.0% |
Tracking Sonoco Prods's Stock Performance
Shares of Sonoco Prods were trading at $46.03 as of July 21. Over the last 52-week period, shares are down 7.59%. Given that these returns are generally negative, long-term shareholders are likely bearish going into this earnings release.
Analyst Observations about Sonoco Prods
For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Sonoco Prods.
The consensus rating for Sonoco Prods is Outperform, derived from 4 analyst ratings. An average one-year price target of $52.75 implies a potential 14.6% upside.
Understanding Analyst Ratings Among Peers
This comparison focuses on the analyst ratings and average 1-year price targets of Sealed Air, Graphic Packaging Holding and Ranpak Hldgs, three major players in the industry, shedding light on their relative performance expectations and market positioning.
- Analysts currently favor an Buy trajectory for Sealed Air, with an average 1-year price target of $39.33, suggesting a potential 14.56% downside.
- Analysts currently favor an Neutral trajectory for Graphic Packaging Holding, with an average 1-year price target of $25.0, suggesting a potential 45.69% downside.
- Analysts currently favor an Neutral trajectory for Ranpak Hldgs, with an average 1-year price target of $5.5, suggesting a potential 88.05% downside.
Peers Comparative Analysis Summary
Within the peer analysis summary, vital metrics for Sealed Air, Graphic Packaging Holding and Ranpak Hldgs are presented, shedding light on their respective standings within the industry and offering valuable insights into their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| Sonoco Prods | Outperform | 30.61% | $353.69M | 2.31% |
| Sealed Air | Buy | -4.29% | $391.70M | 15.96% |
| Graphic Packaging Holding | Neutral | -6.15% | $445M | 4.12% |
| Ranpak Hldgs | Neutral | 6.92% | $30.90M | -2.00% |
Key Takeaway:
Sonoco Prods ranks at the top for Gross Profit and Return on Equity among its peers. It is in the middle for Revenue Growth.
Discovering Sonoco Prods: A Closer Look
Over its 100-year-plus history, Sonoco Products has steadily assembled a diverse portfolio of industrial and consumer packaging product offerings such as flexible and rigid plastics, reels and spools, pallets, and composite cans. The company serves a variety of consumer and industrial end markets throughout North America. Sonoco has raised its dividend each year for more than 40 years.
Sonoco Prods: A Financial Overview
Market Capitalization Analysis: Reflecting a smaller scale, the company's market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.
Revenue Growth: Over the 3 months period, Sonoco Prods showcased positive performance, achieving a revenue growth rate of 30.61% as of 31 March, 2025. This reflects a substantial increase in the company's top-line earnings. When compared to others in the Materials sector, the company excelled with a growth rate higher than the average among peers.
Net Margin: Sonoco Prods's net margin excels beyond industry benchmarks, reaching 3.18%. This signifies efficient cost management and strong financial health.
Return on Equity (ROE): Sonoco Prods's ROE stands out, surpassing industry averages. With an impressive ROE of 2.31%, the company demonstrates effective use of equity capital and strong financial performance.
Return on Assets (ROA): Sonoco Prods's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 0.43%, the company showcases efficient use of assets and strong financial health.
Debt Management: With a high debt-to-equity ratio of 3.02, Sonoco Prods faces challenges in effectively managing its debt levels, indicating potential financial strain.
To track all earnings releases for Sonoco Prods visit their earnings calendar on our site.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
