) hit a new 52-week high of $52.12 during yesterday's trading
session before closing lower at $52.04. Shares of metal and
plastic packaging manufacturer for beverages and foods had
touched a 52-week high recently on Dec 27.
Over the past 52 weeks, Ball Corporation shares have ranged
between a 52-week low of $41.52 on Jun 28, 2013 to a 52-week high
of $52.12 on Jan 7. The company has delivered a one-year return
of about 13.2%. Ball Corporation has a market cap of $7.53
billion. Average volume of shares traded over the last three
months stood at approximately 849K. Ball Corporation has
long-term estimated earnings per share growth rate of 10.6%.
What's Driving Ball Corporation Upward?
Ball Corporation shares have gained support on the news on Jan 2
that the Department of Defense has awarded Ball Corporation a
$9.1 million cost-plus-fixed-fee contract for Advanced Laser
Effects Research (ALTER) into laser damage testing, and testing
the vulnerability of target systems to laser weapons. Ball will
be working on this contract through Jan 13, 2017.
Ball Corporation shares had earlier risen following its third
quarter earnings on Oct 24. Ball Corporation reported
third-quarter 2013 adjusted earnings of $1.00 per share, up 11%
year over year led by better-than-expected global beverage can
volumes and an improved seasonal vegetable harvest.
The company will continue to benefit from increased capacity in
the Alagoinhas plant in Brazil. The plant began production
earlier in 2012 and completed installation of a second can line
that is capable of manufacturing multiple can sizes. This
increased capacity will help the company to capitalize on the
increased demand, spurred by the upcoming soccer World Cup in
In Dec 2013, Ball acquired Envases del Plata S.A. de C.V., a
leading producer of extruded aluminium aerosol packaging in
Mexico. Demand for extruded aluminum packaging for personal care
products continues to increase; thus providing new opportunities
for Ball's growing business.
In Nov 2013, Ball Corporation announced the closure of steel
aerosol packaging manufacturing plant in Danville, Ill. Earlier
in February, the company announced that it will close its Elgin,
Ill., food and household products packaging facility in Dec 2013.
These closures are consistent with the company's strategy to
maintain an efficient manufacturing footprint and reduce costs.
Ball has also initiated cost cutting measures in Europe, the
benefits of which are expected to be realized in 2014 and 2015.
Other Stocks to Consider
Ball Corporation retains a short-term Zacks Rank #2 (Buy). Some
other stocks worth considering in the sector include
Packaging Corporation of America
Crown Holdings Inc.
Silgan Holdings Inc.
). While Packaging Corporation holds a Zacks Rank #1 (Strong
Buy), Crown Holdings and Silgan carry a Zacks Rank #2 (Buy).
BALL CORP (BLL): Free Stock Analysis Report
CROWN HLDGS INC (CCK): Free Stock Analysis
PACKAGING CORP (PKG): Free Stock Analysis
SILGAN HOLDINGS (SLGN): Free Stock Analysis
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