"Deutsche Bank is constructive on the rigid and flexible packaging group while remaining cautious on fiber-based packaging. Cacanando's initiation reflects confidence in Sonoco's repositioned portfolio, which now centers on metal and rigid paper consumer packaging following the December 2024 acquisition of Eviosys."
"Despite macroeconomic challenges including soft consumer demand and cost inflation, Deutsche Bank's constructive stance on rigid packaging suggests the firm sees Sonoco's defensive food-packaging exposure as a buffer against these pressures."
"Sonoco is a global packaging company with approximately 22,000 employees across 265 operations in 37 countries. Its two core segments are Consumer Packaging and Industrial Paper Packaging, with a full-year 2025 revenue of approximately $7.5 billion."
Deutsche Bank analyst Hillary Cacanando initiated coverage of Sonoco Products with a Buy rating and a $63 price target. Sonoco stock currently trades at $55.43, below the target and consensus of $64.38. The firm is optimistic about rigid and flexible packaging but cautious on fiber-based packaging. Sonoco's portfolio has shifted towards metal and rigid paper consumer packaging. Despite macroeconomic challenges, Deutsche Bank views Sonoco's food-packaging exposure as a defensive advantage. The company has a strong revenue base and a long history of dividend payments.
Read at 24/7 Wall St.
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