Following Q2 results, BMO Says 2016 Not Shaping Up To Be A Great Year For Bemis

BMO Capital Markets provided its outlook on Bemis Company, Inc. BMS following Q2 results. The analysts described the earnings as "better than 1Q, but not great."

The company reported Q2 adjusted EPS of $0.67, in line with BMOs estimates and slightly above the consensus of $0.66.

"Revenue was hurt by FX and resin pass-throughs, down 1 percent y/y. EBIT in both segments was up slightly, but margins in Global Pkg were hurt by Brazilian op's and start-up issues at Oshkosh healthcare plant," wrote BMO.

The analysts believe this year "isn't shaping up to be a great year," however, they remain constructive on the overall story and the company's ability to fix its issues. They reiterated a Market Perform rating and $52 price target, but updated their EPS estimates. The analysts now expect $0.74 and $0.70 EPS for 3Q16 and 4Q16, respectively.