Avery Dennison (NYSE:AVY) Cut to "Hold" at Wall Street Zen

Key Points

• Wall Street Zen downgraded Avery Dennison from “Buy” to “Hold,” although the broader analyst consensus remains “Moderate Buy,” with six Buy ratings, three Hold ratings, and an average price target of $200.10.
• Avery Dennison’s latest quarterly results exceeded expectations, with EPS of $2.42 versus $2.32 estimated and revenue of $2.33 billion, up 5.2% year over year.
• The stock opened at $182.19, while two senior vice presidents recently sold shares; institutional investors nonetheless own a substantial 94.17% of the company.

Avery Dennison (NYSE:AVY - Get Free Report) was downgraded by equities research analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a report issued on Saturday, Wall Street Zen reports.

Several other brokerages have also recently commented on AVY. Weiss Ratings upgraded shares of Avery Dennison from a "hold (c-)" rating to a "hold (c)" rating in a report on Tuesday, August 11th. Jefferies Financial Group reissued a "hold" rating and issued a $181.00 target price on shares of Avery Dennison in a research report on Monday, September 28th. UBS Group boosted their price target on shares of Avery Dennison from $218.00 to $225.00 and gave the company a "buy" rating in a report on Friday, July 31st. Bank of America restated a "buy" rating on shares of Avery Dennison in a research report on Friday, August 14th. Finally, Citigroup raised their price objective on shares of Avery Dennison from $184.00 to $186.00 and gave the stock a "neutral" rating in a research note on Friday, July 31st. Six equities research analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to MarketBeat, Avery Dennison currently has a consensus rating of "Moderate Buy" and an average price target of $200.10.

Avery Dennison Stock Up 0.1%

Shares of Avery Dennison stock opened at $182.19 on Friday. Avery Dennison has a 12-month low of $152.42 and a 12-month high of $199.54. The firm has a market capitalization of $13.81 billion, a PE ratio of 17.80, a price-to-earnings-growth ratio of 2.19 and a beta of 0.79. The company has a quick ratio of 0.79, a current ratio of 1.16 and a debt-to-equity ratio of 1.33. The stock's fifty day moving average is $174.24 and its 200-day moving average is $172.28.

Avery Dennison (NYSE:AVY - Get Free Report) last released its quarterly earnings results on Thursday, October 29th. The industrial products company reported $2.42 earnings per share for the quarter, beating analysts' consensus estimates of $2.32 by $0.10. The business had revenue of $2.33 billion during the quarter, compared to analyst estimates of $2.26 billion. Avery Dennison had a return on equity of 33.88% and a net margin of 7.56%. Avery Dennison's revenue for the quarter was up 5.2% on a year-over-year basis. During the same quarter last year, the company posted $2.37 EPS. Equities analysts anticipate that Avery Dennison will post 10.14 earnings per share for the current year.

Insider Transactions at Avery Dennison

In other news, SVP Ignacio J. Walker sold 1,742 shares of the company's stock in a transaction dated Tuesday, August 4th. The stock was sold at an average price of $171.61, for a total value of $298,944.62. Following the transaction, the senior vice president owned 7,585 shares in the company, valued at $1,301,661.85. This represents a 18.68% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, SVP Nicholas Colisto sold 3,886 shares of the stock in a transaction that occurred on Tuesday, September 15th. The stock was sold at an average price of $170.68, for a total transaction of $663,262.48. Following the completion of the sale, the senior vice president directly owned 7,126 shares of the company's stock, valued at $1,216,265.68. This trade represents a 35.29% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Company insiders own 0.81% of the company's stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Covestor Ltd boosted its holdings in shares of Avery Dennison by 47.4% during the 3rd quarter. Covestor Ltd now owns 454 shares of the industrial products company's stock worth $78,000 after buying an additional 146 shares during the period. Ascent Group LLC acquired a new position in Avery Dennison in the 3rd quarter valued at $206,000. Mirae Asset Global Investments Co. Ltd. bought a new position in Avery Dennison in the 3rd quarter worth $3,474,000. ProShare Advisors LLC raised its holdings in Avery Dennison by 8.4% in the 3rd quarter. ProShare Advisors LLC now owns 16,972 shares of the industrial products company's stock worth $2,897,000 after acquiring an additional 1,321 shares during the period. Finally, Vise Technologies Inc. bought a new position in Avery Dennison in the 3rd quarter worth $1,412,000. 94.17% of the stock is owned by hedge funds and other institutional investors.

Key Stories Impacting Avery Dennison

Here are the key news stories impacting Avery Dennison this week:

• Positive Sentiment: Q3 earnings and revenue beat estimates. Avery Dennison reported earnings of $2.42 per share versus the $2.32 consensus estimate, while revenue rose 5.2% year over year to $2.33 billion, ahead of the roughly $2.26 billion forecast. Productivity improvements and pricing supported the result. Avery Dennison Q3 Earnings and Revenues Beat Estimates
• Positive Sentiment: Materials demand remained strong. Materials Group sales increased 8.5% to $1.64 billion, helping offset a 1.8% decline in Solutions Group sales. Management also indicated that customer destocking is easing, which could improve demand visibility. Avery Dennison Posts Third-Quarter Sales and EPS
• Positive Sentiment: Analyst price target increased. Raymond James raised its target for AVY to $198 from $192, signaling continued confidence in the company’s earnings resilience and operating improvements. Raymond James Raises Avery Dennison Price Target
• Neutral Sentiment: Full-year guidance was maintained. Avery Dennison reaffirmed reported 2026 EPS guidance of $9.45 to $9.59 rather than issuing an upside revision. The stable outlook provides support, but may limit additional upside from the earnings announcement. Avery Dennison Provides 2026 Earnings Guidance
• Negative Sentiment: Profitability and demand risks remain. Management continues to face margin pressure and uneven customer demand, particularly in Solutions, while ongoing destocking could weigh on near-term volumes. Recent insider selling may also modestly temper sentiment, although it is not necessarily tied to operating performance. Avery Dennison Earnings Beat Estimates on Productivity

About Avery Dennison

Avery Dennison Corporation NYSE: AVY is a global materials science and manufacturing company that develops and produces labeling, packaging, graphic, and functional materials. Its products are used by businesses across industries including consumer goods, retail, logistics, apparel, automotive, healthcare, and industrial manufacturing.

The company's offerings include pressure-sensitive labels and label materials, adhesives, industrial and specialty tapes, graphic films, and packaging materials.

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