Sonoco Products: M&A Activity Should Support Shares In 2025 (Rating Upgrade)
Portfolio Pulse from
Sonoco Products has been upgraded due to strategic acquisitions and divestitures aimed at improving its product mix and capitalizing on sustainability trends. Despite an 8% decline in shares over the past year, the company is expected to see EPS growth and offers a secure 4% dividend yield.
December 04, 2024 | 11:30 am
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POSITIVE IMPACT
Sonoco Products is engaging in strategic M&A activity, acquiring Eviosys and divesting smaller units to improve its product mix and leverage sustainability trends. This is expected to support EPS growth and maintain a 4% dividend yield.
The acquisition of Eviosys and divestiture of smaller units are strategic moves to enhance Sonoco's product offerings and align with sustainability trends. These actions are likely to improve financial performance, supporting EPS growth and maintaining a stable dividend yield, which should positively impact the stock price.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100