Amcor (NYSE:AMCR) Reaches New 12-Month Low - Time to Sell?

Key Points

• Amcor PLC's stock reached a new 12-month low of $7.87 amidst high trading volume of 2,609,596 shares, suggesting potential investor concerns.
• Despite the recent decline, several analysts maintain a positive outlook, with nine giving a "buy" rating and a target price averaging $11.21.
• The company's recent earnings report showed a miss in EPS estimates, but revenues were up 43.8% year-over-year, indicating growth amidst challenges.

Amcor PLC (NYSE:AMCR - Get Free Report)'s stock price hit a new 52-week low during mid-day trading on Thursday . The company traded as low as $7.87 and last traded at $7.89, with a volume of 2609596 shares trading hands. The stock had previously closed at $7.97.

Wall Street Analyst Weigh In

A number of brokerages recently issued reports on AMCR. Truist Financial set a $11.00 price objective on shares of Amcor and gave the company a "buy" rating in a research note on Friday, July 11th. Wells Fargo & Company lifted their price objective on shares of Amcor from $10.00 to $11.00 and gave the company an "overweight" rating in a research note on Friday, July 18th. Robert W. Baird decreased their target price on shares of Amcor from $11.00 to $10.00 and set a "neutral" rating on the stock in a research note on Friday, August 15th. Royal Bank Of Canada initiated coverage on shares of Amcor in a research note on Monday, September 22nd. They set a "sector perform" rating on the stock. Finally, The Goldman Sachs Group assumed coverage on shares of Amcor in a research note on Wednesday, September 10th. They issued a "buy" rating on the stock. Nine analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average target price of $11.21.

Amcor Stock Down 1.9%

The company has a debt-to-equity ratio of 1.18, a quick ratio of 0.71 and a current ratio of 1.21. The company has a market capitalization of $18.03 billion, a PE ratio of 11.39, a PEG ratio of 1.04 and a beta of 0.73. The stock's 50 day moving average is $8.57 and its 200 day moving average is $9.07.

Amcor (NYSE:AMCR - Get Free Report) last posted its earnings results on Thursday, August 14th. The company reported $0.20 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.21 by ($0.01). Amcor had a return on equity of 19.43% and a net margin of 3.40%.The firm had revenue of $5.08 billion during the quarter, compared to analysts' expectations of $5.18 billion. During the same quarter in the prior year, the company earned $0.21 earnings per share. The business's revenue for the quarter was up 43.8% compared to the same quarter last year. Amcor has set its FY 2026 guidance at 0.800-0.830 EPS. On average, sell-side analysts anticipate that Amcor PLC will post 0.74 EPS for the current fiscal year.

Amcor Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, September 25th. Stockholders of record on Friday, September 5th were issued a dividend of $0.1275 per share. The ex-dividend date was Friday, September 5th. This represents a $0.51 dividend on an annualized basis and a dividend yield of 6.5%. Amcor's dividend payout ratio is presently 141.67%.

Insider Buying and Selling at Amcor

In other news, Director Stephen E. Sterrett purchased 10,000 shares of Amcor stock in a transaction that occurred on Tuesday, August 19th. The stock was bought at an average price of $8.55 per share, with a total value of $85,500.00. Following the completion of the transaction, the director directly owned 10,000 shares of the company's stock, valued at approximately $85,500. The trade was a ∞ increase in their ownership of the stock. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. 0.32% of the stock is owned by company insiders.

Institutional Trading of Amcor

Several large investors have recently added to or reduced their stakes in AMCR. Vanguard Group Inc. boosted its position in shares of Amcor by 61.8% in the second quarter. Vanguard Group Inc. now owns 110,228,036 shares of the company's stock worth $1,012,996,000 after purchasing an additional 42,122,135 shares during the period. State Street Corp boosted its position in shares of Amcor by 41.4% in the second quarter. State Street Corp now owns 129,701,986 shares of the company's stock worth $1,191,961,000 after purchasing an additional 37,982,310 shares during the period. Norges Bank bought a new position in shares of Amcor in the second quarter worth approximately $328,839,000. Charles Schwab Investment Management Inc. boosted its position in shares of Amcor by 62.1% in the second quarter. Charles Schwab Investment Management Inc. now owns 80,770,303 shares of the company's stock worth $742,279,000 after purchasing an additional 30,938,660 shares during the period. Finally, Geode Capital Management LLC boosted its position in shares of Amcor by 55.3% in the second quarter. Geode Capital Management LLC now owns 58,845,923 shares of the company's stock worth $538,551,000 after purchasing an additional 20,946,520 shares during the period. 45.14% of the stock is currently owned by institutional investors.

About Amcor

Amcor plc develops, produces, and sells packaging products in Europe, North America, Latin America, Africa, and the Asia Pacific regions. The company operates through two segments, Flexibles and Rigid Packaging. The Flexibles segment provides flexible and film packaging products in the food and beverage, medical and pharmaceutical, fresh produce, snack food, personal care, and other industries.

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