Raymond James has revised its price target for Avery Dennison (AVY, Financial), reducing it from $208 to $194, while maintaining an Outperform rating. The adjustment comes as part of a broader assessment of packaging companies under its coverage, as the firm anticipates subdued consumer trends beginning in the second quarter. These trends have prompted a more cautious approach to volume estimates.
The firm has conducted a stress test to evaluate potential impacts under a recessionary scenario, projecting a potential 10% to 20% downside to earnings per share (EPS) estimates. This conservative outlook reflects uncertainties in consumer demand, which could significantly affect the company's financial performance.
Investors have been informed that the revised evaluations are part of an effort to better align forecasts with the current economic climate, reflecting potential challenges ahead for Avery Dennison and similar companies in the sector.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 11 analysts, the average target price for Avery Dennison Corp (AVY, Financial) is $205.60 with a high estimate of $236.00 and a low estimate of $169.56. The average target implies an upside of 21.63% from the current price of $169.03. More detailed estimate data can be found on the Avery Dennison Corp (AVY) Forecast page.
Based on the consensus recommendation from 14 brokerage firms, Avery Dennison Corp's (AVY, Financial) average brokerage recommendation is currently 2.1, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Avery Dennison Corp (AVY, Financial) in one year is $196.32, suggesting a upside of 16.15% from the current price of $169.03. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Avery Dennison Corp (AVY) Summary page.
