Sonoco Prods (NYSE:SON) is preparing to release its quarterly earnings on Wednesday, 2025-10-22. 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 $1.93.
Anticipation surrounds Sonoco Prods's announcement, with investors hoping to hear about both surpassing estimates and receiving positive guidance for the next quarter.
New investors should understand that while earnings performance is important, market reactions are often driven by guidance.
Overview of Past Earnings
The company's EPS missed by $0.10 in the last quarter, leading to a 0.21% drop in the share price on the following day.
Here's a look at Sonoco Prods's past performance and the resulting price change:
| Quarter | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 |
|---|---|---|---|---|
| EPS Estimate | 1.47 | 1.41 | 1.2 | 1.45 |
| EPS Actual | 1.37 | 1.38 | 1.0 | 1.49 |
| Price Change % | 0.00 | -12.00 | -4.0 | -3.00 |
Performance of Sonoco Prods Shares
Shares of Sonoco Prods were trading at $40.52 as of October 20. Over the last 52-week period, shares are down 22.03%. Given that these returns are generally negative, long-term shareholders are likely unhappy going into this earnings release.
Analysts' Take on Sonoco Prods
For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Sonoco Prods.
Analysts have provided Sonoco Prods with 6 ratings, resulting in a consensus rating of Buy. The average one-year price target stands at $52.67, suggesting a potential 29.99% upside.
Understanding Analyst Ratings Among Peers
In this analysis, we delve into the analyst ratings and average 1-year price targets of Sealed Air, Graphic Packaging Holding and Ranpak Hldgs, three key industry players, offering insights into their relative performance expectations and market positioning.
- Analysts currently favor an Buy trajectory for Sealed Air, with an average 1-year price target of $42.67, suggesting a potential 5.31% upside.
- Analysts currently favor an Neutral trajectory for Graphic Packaging Holding, with an average 1-year price target of $20.4, suggesting a potential 49.65% downside.
- Analysts currently favor an Buy trajectory for Ranpak Hldgs, with an average 1-year price target of $8.25, suggesting a potential 79.64% downside.
Peer Metrics Summary
The peer analysis summary provides a snapshot of key metrics for Sealed Air, Graphic Packaging Holding and Ranpak Hldgs, illuminating their respective standings within the industry. These metrics offer valuable insights into their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| Sonoco Prods | Buy | 49.39% | $406.28M | 17.36% |
| Sealed Air | Buy | -0.75% | $406.20M | 10.63% |
| Graphic Packaging Holding | Neutral | -1.48% | $420M | 3.26% |
| Ranpak Hldgs | Buy | 6.83% | $28.90M | -1.38% |
Key Takeaway:
Sonoco Prods ranks at the top for Revenue Growth and Gross Profit among its peers. It is in the middle for Consensus rating and at the bottom for Return on Equity.
Delving into Sonoco Prods's Background
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.
Key Indicators: Sonoco Prods's Financial Health
Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.
Revenue Growth: Sonoco Prods's remarkable performance in 3 months is evident. As of 30 June, 2025, the company achieved an impressive revenue growth rate of 49.39%. This signifies a substantial increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Materials sector.
Net Margin: Sonoco Prods's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 25.83%, the company showcases strong profitability and effective cost management.
Return on Equity (ROE): Sonoco Prods's ROE excels beyond industry benchmarks, reaching 17.36%. This signifies robust financial management and efficient use of shareholder equity capital.
Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 4.0%, the company showcases effective utilization of assets.
Debt Management: Sonoco Prods's debt-to-equity ratio surpasses industry norms, standing at 1.76. This suggests the company carries a substantial amount of debt, posing potential financial challenges.
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.
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