Ball (NYSE:BALL) Issues Earnings Results

Key Points

• Ball beat quarterly expectations: EPS was $1.03 versus the $0.99 consensus, while revenue reached $4 billion, up 19.7% year over year and above the $3.69 billion estimate.
• Management maintained its 2026 outlook, targeting more than 10% comparable EPS growth, over $900 million in free cash flow, and approximately $800 million in shareholder returns.
• Regional performance was mixed: Global beverage-can volumes rose 4.3%, but North American operating earnings fell 2.4% due to capacity constraints and startup costs. Shares declined 3% in Tuesday trading, while analysts maintained a “Moderate Buy” consensus with an average price target of $70.85.

Ball (NYSE:BALL - Get Free Report) posted its quarterly earnings data on Tuesday. The company reported $1.03 earnings per share for the quarter, beating the consensus estimate of $0.99 by $0.04, Zacks reports. Ball had a net margin of 6.86% and a return on equity of 18.69%. The firm had revenue of $4 billion during the quarter, compared to analysts' expectations of $3.69 billion. During the same quarter last year, the company posted $0.90 EPS. The company's quarterly revenue was up 19.7% compared to the same quarter last year. Ball updated its FY 2026 guidance to 3.930- EPS.

Here are the key takeaways from Ball's conference call:

• Strong second-quarter execution: Global beverage-can volumes rose 4.3% year over year, comparable operating earnings increased 7.7%, and comparable diluted EPS grew 14.4%. Management said first-half results support its full-year target of more than 10% comparable EPS growth.
• Ball maintained its 2026 outlook, including more than $900 million in free cash flow and approximately $800 million of shareholder returns, comprising at least $600 million of share repurchases and roughly $200 million in dividends.
• Demand remained broad-based: EMEIA volumes grew mid-single digits, South America volumes increased in the mid-teens with operating earnings up 64%, and North American demand was constructive in energy and non-alcoholic beverages. Management said the aluminum can continues to gain share across beverage categories.
• North American operating earnings declined 2.4% as tight capacity created operational friction and Ball incurred approximately $5 million of startup costs in the quarter. About $30 million of the projected $35 million in 2026 startup costs is expected in the second half, although Millersburg began producing commercial cans and is expected to provide its full benefit in 2027.
• Ball is integrating the Benepack facilities in Hungary and Belgium, which are expected to become fully operational and accretive in 2027. The company also described India and Europe as significant long-term growth opportunities, supported by lower can penetration and sustainability-driven demand.

Ball Trading Down 3.0%

Shares of NYSE:BALL traded down $1.95 during trading on Tuesday, hitting $63.20. 705,422 shares of the company's stock were exchanged, compared to its average volume of 2,483,372. The company has a current ratio of 1.12, a quick ratio of 0.72 and a debt-to-equity ratio of 1.25. The firm has a market cap of $16.83 billion, a P/E ratio of 18.29, a PEG ratio of 1.28 and a beta of 0.98. The firm has a 50-day moving average price of $59.85 and a two-hundred day moving average price of $60.60. Ball has a 1-year low of $44.83 and a 1-year high of $68.29.

Ball Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, September 15th. Stockholders of record on Tuesday, September 1st will be given a dividend of $0.20 per share. The ex-dividend date is Tuesday, September 1st. This represents a $0.80 annualized dividend and a dividend yield of 1.3%. Ball's payout ratio is currently 23.12%.

Hedge Funds Weigh In On Ball

Hedge funds and other institutional investors have recently bought and sold shares of the business. Sivia Capital Partners LLC acquired a new stake in Ball during the 2nd quarter worth $453,000. Brighton Jones LLC lifted its holdings in Ball by 41.2% during the fourth quarter. Brighton Jones LLC now owns 5,245 shares of the company's stock worth $289,000 after acquiring an additional 1,531 shares in the last quarter. Vinva Investment Management Ltd acquired a new position in Ball in the fourth quarter valued at about $232,000. Brooklyn Investment Group acquired a new position in Ball in the fourth quarter valued at about $203,000. Finally, Intesa Sanpaolo S.p.A. bought a new stake in shares of Ball in the fourth quarter worth about $176,000. 86.51% of the stock is owned by institutional investors.

Wall Street Analyst Weigh In

Several research firms have recently commented on BALL. Weiss Ratings raised shares of Ball from a "hold (c)" rating to a "hold (c+)" rating in a research note on Tuesday, June 30th. Royal Bank Of Canada boosted their price objective on shares of Ball from $75.00 to $77.00 and gave the stock an "outperform" rating in a research report on Thursday, July 9th. Wells Fargo & Company upped their price objective on Ball from $70.00 to $71.00 and gave the stock an "overweight" rating in a report on Wednesday, May 6th. Truist Financial increased their price objective on Ball from $75.00 to $77.00 and gave the company a "buy" rating in a research report on Wednesday, April 15th. Finally, Bank of America lifted their target price on Ball from $70.00 to $73.00 and gave the company a "buy" rating in a research note on Tuesday, July 14th. Ten research analysts have rated the stock with a Buy rating and three have given a Hold rating to the company's stock. Based on data from MarketBeat.com, Ball currently has a consensus rating of "Moderate Buy" and an average target price of $70.85.

About Ball

Ball Corporation is a leading provider of sustainable aluminum packaging solutions and advanced aerospace technologies. Headquartered in Broomfield, Colorado, the company serves customers in the beverage, food and aerosol markets through a global network of manufacturing facilities. With an emphasis on sustainability and innovation, Ball designs and produces metal cans, bottles and ends that support recycling and reduce environmental impact.

The company's packaging segment specializes in beverage cans for soft drinks, beer and energy drinks, as well as metal packaging for food and personal care applications.

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