On March 20, 2023, Seaport Global upgraded their outlook for Sonoco Products (NYSE:SON) from Neutral to Buy.
Analyst Price Forecast Suggests 19.28% Upside
As of March 19, 2023, the average one-year price target for Sonoco Products is $68.17. The forecasts range from a low of $61.61 to a high of $79.80. The average price target represents an increase of 19.28% from its latest reported closing price of $57.15.
See our leaderboard of companies with the largest price target upside.
The projected annual revenue for Sonoco Products is $7,480MM, an increase of 3.16%. The projected annual non-GAAP EPS is $5.84.
Sonoco Products Declares $0.49 Dividend
On February 9, 2023 the company declared a regular quarterly dividend of $0.49 per share ($1.96 annualized). Shareholders of record as of February 22, 2023 received the payment on March 10, 2023. Previously, the company paid $0.49 per share.
At the current share price of $57.15 / share, the stock's dividend yield is 3.43%. Looking back five years and taking a sample every week, the average dividend yield has been 3.05%, the lowest has been 2.60%, and the highest has been 4.54%. The standard deviation of yields is 0.27 (n=236).
The current dividend yield is 1.41 standard deviations above the historical average.
Additionally, the company's dividend payout ratio is 0.41. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company's 3-Year dividend growth rate is 0.14%, demonstrating that it has increased its dividend over time.
What are Large Shareholders Doing?
SDY - SPDR Dividend ETF holds 4,061K shares representing 4.15% ownership of the company. In it's prior filing, the firm reported owning 4,327K shares, representing a decrease of 6.55%. The firm decreased its portfolio allocation in SON by 13.88% over the last quarter.
IJH - iShares Core S&P Mid-Cap ETF holds 3,011K shares representing 3.08% ownership of the company. In it's prior filing, the firm reported owning 2,849K shares, representing an increase of 5.38%. The firm decreased its portfolio allocation in SON by 1.28% over the last quarter.
VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 2,969K shares representing 3.04% ownership of the company. In it's prior filing, the firm reported owning 2,914K shares, representing an increase of 1.85%. The firm increased its portfolio allocation in SON by 0.69% over the last quarter.
DVY - iShares Select Dividend ETF holds 2,556K shares representing 2.61% ownership of the company. In it's prior filing, the firm reported owning 2,510K shares, representing an increase of 1.79%. The firm increased its portfolio allocation in SON by 0.90% over the last quarter.
NAESX - Vanguard Small-Cap Index Fund Investor Shares holds 2,512K shares representing 2.57% ownership of the company. In it's prior filing, the firm reported owning 2,475K shares, representing an increase of 1.46%. The firm increased its portfolio allocation in SON by 0.54% over the last quarter.
What is the Fund Sentiment?
There are 863 funds or institutions reporting positions in Sonoco Products. This is an increase of 32 owner(s) or 3.85% in the last quarter. Average portfolio weight of all funds dedicated to SON is 0.18%, a decrease of 0.61%. Total shares owned by institutions increased in the last three months by 1.43% to 85,784K shares. The put/call ratio of SON is 1.11, indicating a bearish outlook.
Sonoco Products Background Information
(This description is provided by the company.)
Founded in 1899, Sonoco is a global provider of a variety of consumer packaging, industrial products, protective packaging, and displays and packaging supply chain services. With annualized net sales of approximately $5.4 billion, the Company has 23,000 employees working in approximately 300 operations in 36 countries, serving some of the world’s best known brands in some 85 nations. Sonoco is committed to creating sustainable products, services and programs for our customers, employees and communities that support its corporate purpose of Better Packaging. Better Life. The Company ranked first in the Packaging sector on Fortune’s World’s Most Admired Companies for 2020 as well as Barron’s 100 Most Sustainable Companies.
This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.