Raymond James has revised its price target for Sonoco (SON, Financial), reducing it from $54 to $50, while maintaining an Outperform rating on the company's shares. This adjustment comes as the firm reassesses its expectations for packaging companies, taking a more conservative approach to volume forecasts in light of recent consumer trends.
Analysts at Raymond James have been prompted by underwhelming consumer demand starting in the second quarter, which has led to this cautious stance. By updating its estimates, the firm aims to align with the observed shifts in market dynamics, ensuring that its projections reflect the current economic climate.
Despite the lowered price target, the Outperform rating suggests that Sonoco is still viewed as having potential for strong performance compared to its peers, despite the challenges in the consumer sector.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 7 analysts, the average target price for Sonoco Products Co (SON, Financial) is $56.29 with a high estimate of $65.00 and a low estimate of $45.00. The average target implies an upside of 29.57% from the current price of $43.44. More detailed estimate data can be found on the Sonoco Products Co (SON) Forecast page.
Based on the consensus recommendation from 9 brokerage firms, Sonoco Products Co's (SON, Financial) average brokerage recommendation is currently 2.2, 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 Sonoco Products Co (SON, Financial) in one year is $77.72, suggesting a upside of 78.91% from the current price of $43.44. 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 Sonoco Products Co (SON) Summary page.
