Avery Dennison’s Q3 Earnings Report and Insider Trading Activity: Analyzing the Financial Performance and Developments

On September 25, 2023, we present the latest stock report on Avery Dennison (NYSE:AVY). The company recently reported its earnings results for the quarter ending July 25th. The industrial products company reported earnings per share of $1.92, falling short of analysts’ consensus estimates of $2.05 by ($0.13). Avery Dennison achieved a net margin of 6.66% and a return on equity of 31.13%. In terms of revenue, the firm generated $2.09 billion during the quarter, slightly lower than the consensus estimate of $2.17 billion. When compared to the same quarter last year, the company experienced a decline in revenue by 10.9%.

In other news related to Avery Dennison, Senior Vice President Ignacio J. Walker recently sold 403 shares of the firm’s stock on September 12th at an average price of $180.33, resulting in a total transaction amounting to $72,672.99. As a result of this transaction, Walker now owns 11,102 shares valued at approximately $2,002,023.66 within the company.

Simultaneously, Director Julia A. Stewart sold 5,633 shares of Avery Dennison’s stock on August 28th at an average price per share of $186.14 totaling $1,048,526.62 in value from the transaction. After this sale, Stewart currently holds 10,329 shares with an approximate value of $1,922,640.06.

It is important to note that corporate insiders collectively sold 10,836 shares worth $2,014,000 throughout the last quarter alone; these insider sales accounted for approximately 1.10% ownership stake in the company’s stock.

For investors considering their positions or new investments in Avery Dennison based on these developments and financial performance indicators such as EPS, revenue, and insider trading, it would be advisable to thoroughly analyze and consider these factors.

Avery Dennison Co. Faces Concerning Outlook and Revised EPS Estimates for FY2023

On September 25, 2023, Zacks Research presented a concerning outlook for Avery Dennison Co. (NYSE:AVY), a leading industrial products company. In a research note issued to investors on September 22nd, Zacks Research analyst M. Das lowered the earnings per share (EPS) estimates for FY2023. Das now expects that Avery Dennison will earn $8.01 per share for the year, which is slightly lower than their prior estimate of $8.02 per share. The consensus estimate for Avery Dennison’s current full-year earnings stands at $8.03 per share.

This downward revision in EPS estimates has raised perplexity among market analysts and investors alike, as it suggests potential challenges ahead for Avery Dennison’s financial performance. Investment firms such as Bank of America have already adjusted their price objective for the company from $207.00 to $189.00 in response to these revised estimates.

However, not all research analysts are pessimistic about Avery Dennison’s prospects. UBS Group recently raised the company’s rating from “neutral” to “buy” and increased their price objective to $220.00. Truist Financial also reaffirmed a “buy” rating with a price objective of $215.00 on shares of Avery Dennison.

Despite these differing opinions among research analysts, Bloomberg.com reports that Avery Dennison currently has a consensus rating of “Moderate Buy.” On average, analysts have set a price target of $206.44 for the company’s stock.

In recent news involving Avery Dennison insiders, Senior Vice President Ignacio J. Walker sold 403 shares on September 12th at an average price of $180.33 per share, totaling approximately $72,672.99 in value. Following this transaction, Walker holds 11,102 shares in the company worth roughly $2,002,023.

Director Julia A.Stewart also sold 5,633 shares of the firm’s stock on August 28th at an average price of $186.14 per share, amounting to a total transaction value of $1,048,526.62. Stewart now holds 10,329 shares in Avery Dennison valued at approximately $1,922,640.06.

Regarding institutional investors and hedge funds, there have been recent modifications to their holdings of AVY stock. Commonwealth of Pennsylvania Public School Empls Retrmt SYS increased its holdings by 6.6% in the first quarter. Great West Life Assurance Co. Can also boosted its ownership by 28.5% during the same period. Yousif Capital Management LLC and Raymond James Trust N.A. are other notable institutional investors that have adjusted their positions in Avery Dennison.

NYSE AVY opened at $180.86 on September 25th with a market capitalization of $14.57 billion. The stock has experienced fluctuations between a 52-week low of $157.28 and a high of $195.95.

Avery Dennison’s financial performance will remain under scrutiny as investors continue to monitor the company’s ability to meet revised earnings estimates for FY2023 and beyond.