Recent News
On July 15, 2025 Sonoco announced a $30 million capital investment to expand adhesives and sealants production capacity across three facilities.
On September 8, 2025 Sonoco signed a definitive agreement to sell its ThermoSafe temperature-assured packaging business for up to $725 million, with net proceeds slated to reduce debt.
Technical Analysis
Directional Indicators (ADX / DI+ / DI-): ADX sits at 18.19, indicating no strong trend; DI+ measures 28.29 with a peak-and-reversal signal, which signals bearish directional pressure; DI- at 20.50 shows a dip-and-reversal, which reinforces the bearish tilt. Expect range-bound action with a downside bias until DI+ stabilizes above DI-.
MACD: MACD reads 0.01 while the signal line stands at 0.19 and MACD trend shows a peak-and-reversal; momentum therefore remains bearish and no bullish MACD cross appears at present.
MRO (Momentum/Regression Oscillator): MRO equals -22.98 (negative), indicating the price sits below the model target and carries potential for mean reversion upward; the MRO trend shows a peak-and-reversal, suggesting that the downside momentum has recently weakened.
RSI: RSI at 50.64 sits near neutral with a peak-and-reversal trend, implying neither oversold nor overbought extremes and leaving momentum confirmation necessary before a directional breakout.
Price vs Moving Averages and Bands: Last close at $45.08 sits just below the 12-day and 26-day EMAs (~$46.30 and $46.35) and slightly below the 20-day average of $46.53, signaling short-term price pressure relative to recent averages. Bollinger bands place the 1x lower band at $45.58, which keeps current price close to the lower volatility band and consistent with contained range trading.
Volatility and Beta: 42-day beta at 0.69 and 52-week beta at 0.68 indicate below-market volatility, which supports a muted directional move absent a catalyst. Ichimoku components cluster near $45.98–$47.38, offering nearby dynamic support/resistance levels.
Fundamental Analysis
Profitability: EBIT equals $170,248,000 and EBIT margin at 8.91%. That margin sits below the industry peer mean of 12.04% and below the industry peer median of 10.89%, while remaining inside the industry peer range low of 8.57% and high of 15.59%.
Margins Trend: EBIT margin rose 22.27% quarter-over-quarter and fell 0.66% year-over-year, indicating recent operational improvement on a sequential basis but flat performance versus the prior year.
Earnings: Reported EPS at $1.37 missed the estimate of $1.45 by $0.08, a -5.52% surprise. Forward EPS stands at $1.4175 and forward PE equals 31.70, below the industry peer low forward PE of 45.71.
Cash Flow & Liquidity: Operating cash flow equals $193,441,000 and free cash flow equals $98,615,000, producing a free cash flow yield of 2.19%, which sits above the industry peer mean free cash flow yield of 1.12%. Cash and short-term investments total $329,800,000 while net debt stands at $5,093,723,000; Sonoco carries a dividend yield of 1.16% and a dividend payout ratio of 10.59% with dividend coverage at 9.44x.
Leverage: Total debt equals $5,691,704,000 with debt-to-assets at 47.55% and debt-to-equity at 175.91%. Debt-to-EBITDA at 18.99x remains elevated; planned ThermoSafe proceeds explicitly target debt reduction per recent announcements.
Efficiency & Growth: Revenue registered $1,910,441,000 with revenue growth year-over-year at -14.70% and revenue growth at 11.77% (the latter likely reflecting post-transaction composition). Asset turnover at 0.155 sits below the industry peer mean of 0.198, and return on equity equals 15.25%, well above the industry peer mean of 4.52%.
Valuation: WMDST values the stock as under-valued. Enterprise multiple stands at 32.92 and market capitalization at $4.51 billion versus enterprise value $9.87 billion, reflecting elevated leverage in the capital structure.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-06-30 |
| REPORT DATE: | 2025-07-23 |
| NEXT REPORT DATE: | 2025-10-28 |
| CASH FLOW | Begin Period Cash Flow | $ 191.7 M |
| Operating Cash Flow | $ 193.4 M | |
| Capital Expenditures | $ -94.83 M | |
| Change In Working Capital | $ 238.9 M | |
| Dividends Paid | $ -52.27 M | |
| Cash Flow Delta | $ 138.1 M | |
| End Period Cash Flow | $ 329.8 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 1.9 B | |
| Forward Revenue | $ 135.3 M | |
| COSTS | ||
| Cost Of Revenue | $ 1.5 B | |
| Depreciation | — | |
| Depreciation and Amortization | — | |
| Research and Development | — | |
| Total Operating Expenses | $ 1.7 B | |
| PROFITABILITY | ||
| Gross Profit | $ 406.3 M | |
| EBITDA | $ 299.7 M | |
| EBIT | $ 170.2 M | |
| Operating Income | $ 187.5 M | |
| Interest Income | $ 4.1 M | |
| Interest Expense | $ 64.4 M | |
| Net Interest Income | $ -60.24 M | |
| Income Before Tax | $ 105.9 M | |
| Tax Provision | $ 39.5 M | |
| Tax Rate | 37.306 % | |
| Net Income | $ 493.4 M | |
| Net Income From Continuing Operations | $ 493.2 M | |
| EARNINGS | ||
| EPS Estimate | $ 1.45 | |
| EPS Actual | $ 1.37 | |
| EPS Difference | $ -0.08 | |
| EPS Surprise | -5.517 % | |
| Forward EPS | $ 1.42 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 12.0 B | |
| Intangible Assets | $ 5.4 B | |
| Net Tangible Assets | $ -2.20 B | |
| Total Current Assets | $ 3.0 B | |
| Cash and Short-Term Investments | $ 329.8 M | |
| Cash | $ 329.8 M | |
| Net Receivables | $ 1.1 B | |
| Inventory | $ 1.3 B | |
| Long-Term Investments | $ 204.9 M | |
| LIABILITIES | ||
| Accounts Payable | $ 1.2 B | |
| Short-Term Debt | $ 436.9 M | |
| Total Current Liabilities | $ 2.4 B | |
| Net Debt | $ 5.1 B | |
| Total Debt | $ 5.7 B | |
| Total Liabilities | $ 8.7 B | |
| EQUITY | ||
| Total Equity | $ 3.2 B | |
| Retained Earnings | $ 3.0 B | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 32.81 | |
| Shares Outstanding | 98.628 M | |
| Revenue Per-Share | $ 19.37 | |
| VALUATION | Market Capitalization | $ 4.5 B |
| Enterprise Value | $ 9.9 B | |
| Enterprise Multiple | 32.924 | |
| Enterprise Multiple QoQ | -31.078 % | |
| Enterprise Multiple YoY | 40.703 % | |
| Enterprise Multiple IPRWA | high: 48.332 median: 42.857 mean: 40.883 SON: 32.924 low: 32.485 |
|
| EV/R | 5.165 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 3.7 | |
| Asset To Liability | 1.373 | |
| Debt To Capital | 0.638 | |
| Debt To Assets | 0.475 | |
| Debt To Assets QoQ | -18.567 % | |
| Debt To Assets YoY | 600.781 % | |
| Debt To Assets IPRWA | high: 0.537 SON: 0.475 mean: 0.393 median: 0.378 low: 0.234 |
|
| Debt To Equity | 1.759 | |
| Debt To Equity QoQ | -41.834 % | |
| Debt To Equity YoY | 782.212 % | |
| Debt To Equity IPRWA | high: 2.319 SON: 1.759 mean: 1.519 median: 1.35 low: 0.421 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 1.393 | |
| Price To Book QoQ | -24.768 % | |
| Price To Book YoY | -34.24 % | |
| Price To Book IPRWA | high: 4.04 mean: 3.173 median: 2.856 low: 1.497 SON: 1.393 |
|
| Price To Earnings (P/E) | 33.16 | |
| Price To Earnings QoQ | -0.787 % | |
| Price To Earnings YoY | -19.118 % | |
| Price To Earnings IPRWA | high: 93.343 median: 73.755 mean: 66.574 low: 46.197 SON: 33.16 |
|
| PE/G Ratio | 0.222 | |
| Price To Sales (P/S) | 2.359 | |
| Price To Sales QoQ | -11.044 % | |
| Price To Sales YoY | -25.735 % | |
| Price To Sales IPRWA | high: 10.03 mean: 5.197 median: 4.454 SON: 2.359 low: 2.306 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 31.697 | |
| Forward PE/G | 0.213 | |
| Forward P/S | 33.298 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 3.115 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.155 | |
| Asset Turnover Ratio QoQ | 14.206 % | |
| Asset Turnover Ratio YoY | -31.483 % | |
| Asset Turnover Ratio IPRWA | high: 0.222 median: 0.206 mean: 0.198 low: 0.169 SON: 0.155 |
|
| Receivables Turnover | 1.864 | |
| Receivables Turnover Ratio QoQ | 3.69 % | |
| Receivables Turnover Ratio YoY | 9.061 % | |
| Receivables Turnover Ratio IPRWA | high: 2.929 median: 1.996 mean: 1.992 SON: 1.864 low: 1.252 |
|
| Inventory Turnover | 1.24 | |
| Inventory Turnover Ratio QoQ | -1.258 % | |
| Inventory Turnover Ratio YoY | -27.42 % | |
| Inventory Turnover Ratio IPRWA | high: 2.516 median: 1.544 mean: 1.496 SON: 1.24 low: 1.072 |
|
| Days Sales Outstanding (DSO) | 48.959 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 55.281 | |
| Cash Conversion Cycle Days QoQ | 7.363 % | |
| Cash Conversion Cycle Days YoY | 1.629 % | |
| Cash Conversion Cycle Days IPRWA | high: 98.095 SON: 55.281 mean: 11.29 median: -2.372 low: -16.06 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 3.114 | |
| CapEx To Revenue | -0.05 | |
| CapEx To Depreciation | — | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 8.2 B | |
| Net Invested Capital | $ 8.7 B | |
| Invested Capital | $ 8.7 B | |
| Net Tangible Assets | $ -2.20 B | |
| Net Working Capital | $ 613.4 M | |
| LIQUIDITY | ||
| Cash Ratio | 0.136 | |
| Current Ratio | 1.253 | |
| Current Ratio QoQ | 57.327 % | |
| Current Ratio YoY | -3.625 % | |
| Current Ratio IPRWA | high: 1.266 SON: 1.253 mean: 1.077 median: 1.064 low: 0.96 |
|
| Quick Ratio | 0.724 | |
| Quick Ratio QoQ | 41.88 % | |
| Quick Ratio YoY | -14.852 % | |
| Quick Ratio IPRWA | high: 0.955 SON: 0.724 mean: 0.717 median: 0.691 low: 0.558 |
|
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 18.99 | |
| Cost Of Debt | 0.616 % | |
| Interest Coverage Ratio | 2.645 | |
| Interest Coverage Ratio QoQ | 18.961 % | |
| Interest Coverage Ratio YoY | -46.165 % | |
| Interest Coverage Ratio IPRWA | high: 13.877 mean: 6.088 median: 4.309 low: 3.404 SON: 2.645 |
|
| Operating Cash Flow Ratio | 0.199 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 75.302 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | 9.439 | |
| Dividend Payout Ratio | 0.106 | |
| Dividend Rate | $ 0.53 | |
| Dividend Yield | 0.012 | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | -5.6 % | |
| Revenue Growth | 11.772 % | |
| Revenue Growth QoQ | -96.765 % | |
| Revenue Growth YoY | -1470.431 % | |
| Revenue Growth IPRWA | SON: 11.772 % high: 9.472 % median: 8.87 % mean: 8.135 % low: 4.943 % |
|
| Earnings Growth | 149.091 % | |
| Earnings Growth QoQ | 292.345 % | |
| Earnings Growth YoY | 943.616 % | |
| Earnings Growth IPRWA | high: 205.128 % SON: 149.091 % mean: 40.039 % median: 28.743 % low: 20.635 % |
|
| MARGINS | ||
| Gross Margin | 21.266 % | |
| Gross Margin QoQ | 2.769 % | |
| Gross Margin YoY | -3.389 % | |
| Gross Margin IPRWA | high: 37.993 % mean: 24.535 % median: 22.642 % SON: 21.266 % low: 19.413 % |
|
| EBIT Margin | 8.911 % | |
| EBIT Margin QoQ | 22.269 % | |
| EBIT Margin YoY | -0.658 % | |
| EBIT Margin IPRWA | high: 15.586 % mean: 12.035 % median: 10.885 % SON: 8.911 % low: 8.573 % |
|
| Return On Sales (ROS) | 9.815 % | |
| Return On Sales QoQ | 34.673 % | |
| Return On Sales YoY | 9.42 % | |
| Return On Sales IPRWA | high: 15.111 % mean: 12.426 % median: 11.525 % SON: 9.815 % low: 8.573 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 98.6 M | |
| Free Cash Flow Yield | 2.188 % | |
| Free Cash Flow Yield QoQ | -132.972 % | |
| Free Cash Flow Yield YoY | 603.537 % | |
| Free Cash Flow Yield IPRWA | high: 3.365 % SON: 2.188 % median: 1.587 % mean: 1.119 % low: -5.481 % |
|
| Free Cash Growth | -132.79 % | |
| Free Cash Growth QoQ | -36.658 % | |
| Free Cash Growth YoY | 66.149 % | |
| Free Cash Growth IPRWA | high: 160.637 % median: -131.635 % SON: -132.79 % mean: -599.85 % low: -2168.421 % |
|
| Free Cash To Net Income | 0.2 | |
| Cash Flow Margin | 25.221 % | |
| Cash Flow To Earnings | 0.977 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.02 | |
| Return On Assets (ROA) | 4.003 % | |
| Return On Assets QoQ | 826.62 % | |
| Return On Assets YoY | 216.443 % | |
| Return On Assets IPRWA | SON: 4.003 % high: 2.379 % mean: 1.4 % median: 1.157 % low: 0.709 % |
|
| Return On Capital Employed (ROCE) | 1.783 % | |
| Return On Equity (ROE) | 0.152 | |
| Return On Equity QoQ | 586.01 % | |
| Return On Equity YoY | 308.847 % | |
| Return On Equity IPRWA | SON: 0.152 high: 0.063 mean: 0.045 median: 0.041 low: 0.022 |
|
| DuPont ROE | 17.363 % | |
| Return On Invested Capital (ROIC) | 1.233 % | |
| Return On Invested Capital QoQ | 37.0 % | |
| Return On Invested Capital YoY | -96.179 % | |
| Return On Invested Capital IPRWA | high: 3.18 % mean: 2.543 % median: 2.204 % low: 1.56 % SON: 1.233 % |
|