Kettle Hill Capital Management LLC Invests $6.01 Million in Sonoco Products Company $SON

Key Points

• Kettle Hill Capital Management opened a new position in Sonoco Products, buying 137,805 shares worth about $6.01 million. The stake now makes SON about 1.3% of its portfolio and its 24th-largest holding.
• Several insiders also bought shares, including CFO Paul Joachimczyk and insider James A. Harrell III, signaling internal confidence. Institutional investors remain heavily involved, with about 77.69% of shares held by institutions and hedge funds.
• Sonoco recently reported weaker-than-expected quarterly results, missing on both earnings and revenue, while analysts currently assign the stock an overall Hold rating with an average target price of $60.11. The company also raised its quarterly dividend to $0.54 per share, implying a 4.3% yield.

Kettle Hill Capital Management LLC bought a new position in shares of Sonoco Products Company (NYSE:SON - Free Report) in the 4th quarter, according to its most recent disclosure with the SEC. The institutional investor bought 137,805 shares of the industrial products company's stock, valued at approximately $6,014,000. Sonoco Products accounts for approximately 1.3% of Kettle Hill Capital Management LLC's holdings, making the stock its 24th biggest position. Kettle Hill Capital Management LLC owned approximately 0.14% of Sonoco Products as of its most recent SEC filing.

Several other large investors have also made changes to their positions in the business. Powell Investment Advisors LLC raised its stake in shares of Sonoco Products by 1.0% during the 4th quarter. Powell Investment Advisors LLC now owns 20,718 shares of the industrial products company's stock worth $904,000 after buying an additional 203 shares during the period. IFP Advisors Inc raised its stake in shares of Sonoco Products by 8.6% during the 4th quarter. IFP Advisors Inc now owns 2,996 shares of the industrial products company's stock worth $131,000 after buying an additional 237 shares during the period. SBI Securities Co. Ltd. raised its stake in shares of Sonoco Products by 77.7% during the 4th quarter. SBI Securities Co. Ltd. now owns 590 shares of the industrial products company's stock worth $26,000 after buying an additional 258 shares during the period. CIBC Private Wealth Group LLC raised its stake in shares of Sonoco Products by 5.3% during the 3rd quarter. CIBC Private Wealth Group LLC now owns 6,006 shares of the industrial products company's stock worth $259,000 after buying an additional 304 shares during the period. Finally, Gentry Private Wealth LLC raised its stake in shares of Sonoco Products by 3.7% during the 3rd quarter. Gentry Private Wealth LLC now owns 10,181 shares of the industrial products company's stock worth $439,000 after buying an additional 362 shares during the period. 77.69% of the stock is owned by institutional investors and hedge funds.

Insiders Place Their Bets

In other Sonoco Products news, CFO Paul Joachimczyk purchased 8,058 shares of the stock in a transaction dated Friday, April 24th. The stock was acquired at an average cost of $49.64 per share, for a total transaction of $399,999.12. Following the acquisition, the chief financial officer owned 28,558 shares in the company, valued at $1,417,619.12. This trade represents a 39.31% increase in their position. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider James A. Harrell III purchased 6,753 shares of the stock in a transaction dated Monday, April 27th. The shares were acquired at an average price of $50.37 per share, with a total value of $340,148.61. Following the completion of the acquisition, the insider owned 10,070 shares in the company, valued at approximately $507,225.90. This trade represents a 203.59% increase in their position. The disclosure for this purchase is available in the SEC filing. Corporate insiders own 0.98% of the company's stock.

Analysts Set New Price Targets

Several research firms recently commented on SON. Deutsche Bank Aktiengesellschaft began coverage on Sonoco Products in a research note on Wednesday, April 1st. They issued a "buy" rating and a $63.00 price objective for the company. Argus raised Sonoco Products to a "hold" rating in a research note on Monday, April 20th. Citigroup reduced their price objective on Sonoco Products from $70.00 to $63.00 and set a "buy" rating for the company in a research note on Thursday, April 23rd. UBS Group reduced their price objective on Sonoco Products from $62.00 to $59.00 and set a "neutral" rating for the company in a research note on Friday, April 10th. Finally, Raymond James Financial restated a "market perform" rating on shares of Sonoco Products in a report on Friday, March 6th. Five equities research analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company's stock. According to MarketBeat.com, Sonoco Products presently has an average rating of "Hold" and an average target price of $60.11.

Sonoco Products Stock Down 0.6%

Shares of NYSE:SON opened at $50.26 on Tuesday. The company has a quick ratio of 0.54, a current ratio of 0.96 and a debt-to-equity ratio of 0.97. The business has a fifty day moving average of $50.93 and a two-hundred day moving average of $49.64. The stock has a market cap of $4.97 billion, a P/E ratio of 4.93, a PEG ratio of 1.06 and a beta of 0.39. Sonoco Products Company has a 52-week low of $38.65 and a 52-week high of $58.44.

Sonoco Products (NYSE:SON - Get Free Report) last released its quarterly earnings results on Tuesday, April 21st. The industrial products company reported $1.20 earnings per share for the quarter, missing analysts' consensus estimates of $1.57 by ($0.37). The business had revenue of $1.68 billion for the quarter, compared to analysts' expectations of $1.88 billion. Sonoco Products had a return on equity of 16.50% and a net margin of 13.57%.The business's revenue for the quarter was down 1.9% compared to the same quarter last year. During the same quarter in the prior year, the company posted $1.38 earnings per share. Sonoco Products has set its FY 2026 guidance at 5.800-6.200 EPS. On average, research analysts expect that Sonoco Products Company will post 5.81 earnings per share for the current year.

Sonoco Products Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Wednesday, June 10th. Stockholders of record on Friday, May 8th were issued a dividend of $0.54 per share. The ex-dividend date was Friday, May 8th. This represents a $2.16 dividend on an annualized basis and a dividend yield of 4.3%. This is a boost from Sonoco Products's previous quarterly dividend of $0.53. Sonoco Products's dividend payout ratio (DPR) is currently 21.18%.

Sonoco Products Company Profile

Sonoco Products Company NYSE: SON is a global provider of diversified packaging solutions, serving a wide range of consumer, industrial and retail markets. The company offers a broad portfolio that includes rigid paper and plastic containers, flexible packaging, industrial core and tube products, thermoformed plastics, retail point-of-purchase displays, and packaging supply chain services. Through its solutions, Sonoco helps customers in food and beverage, personal care, chemicals, healthcare, home and garden, and electronics industries address their packaging needs, improve product shelf appeal, and optimize logistics efficiency.

With operations in more than 30 countries across North America, South America, Europe, Asia and Africa, Sonoco leverages a global network of manufacturing facilities, recycling centers and distribution channels to meet the demands of multinational and regional customers.

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