Amcor plc Struggles Amid Market Growth: An Analysis of Earnings and Analyst Ratings
Amcor plc (AMCR), based in Zurich, specializes in creating and distributing packaging solutions globally. With a market capitalization of $14.8 billion, the company offers both flexible and rigid packaging, specialty cartons, and closures. These products help businesses protect their goods and stand out in a crowded marketplace.
Stock Performance Lagging Behind
Unfortunately, Amcor has not kept pace with the overall market in the past year. Over the last 52 weeks, AMCR shares increased by only 12.6%, while the S&P 500 Index ($SPX) soared by 35.8%. This year alone, AMCR achieved a modest gain of 5.8%, falling short of the S&P’s impressive 24.3% returns.
Looking more closely, AMCR underperformed the Materials Select Sector SPDR Fund (XLB), which recorded returns of 21.1% over the past year and 11% year-to-date.
Q1 Earnings Report Feedback
On November 1, Amcor’s shares fell over 7% after the company reported Q1 earnings. Their net sales totaled $3.35 billion, falling short of the $3.45 billion consensus estimate. However, their adjusted earnings per share (EPS) of 16 cents matched Wall Street’s expectations.
For the current fiscal year ending in June 2025, analysts predict an annual EPS growth of 5.7%, reaching $0.74. Historically, Amcor has shown a pattern of meeting or exceeding analyst expectations in its last four quarterly reports.
Analyst Ratings Overview
Currently, among the ten analysts monitoring AMCR stock, the consensus rating is a “Hold.” This includes two “Strong Buy” ratings, seven “Holds,” and one “Moderate Buy.” This classification has remained stable over recent months.
Price Target Adjustments
On October 15, Wells Fargo & Company (WFC) adjusted its price target for Amcor from $10.50 to $10.80 while maintaining an “Equal-Weight” rating for the stock.
Currently, AMCR’s average price target of $10.89 suggests a potential increase of 6.8% from its present price. The highest target set by analysts is $11.50, indicating a possible 12.7% premium from current market values.
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On the date of publication, Kritika Sarmah did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information, please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are those of the author and do not necessarily reflect the opinions of Nasdaq, Inc.
