Private Management Group Inc. Increases Stake in Sonoco Products Company (NYSE:SON)

Key Points

• Private Management Group Inc. increased its stake in Sonoco Products Company by 42.3%, now owning over 831,528 shares worth approximately $39.3 million, making it the firm's 11th largest position.
• Sonoco Products reported a net margin of 8.35% and earnings per share of $1.37 for the most recent quarter, missing analysts' estimates of $1.44.
• The company declared a quarterly dividend of $0.53 per share, representing a 4.36% dividend yield, with a payout ratio of 137.66%.

Private Management Group Inc. grew its position in Sonoco Products Company (NYSE:SON - Free Report) by 42.3% during the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 831,528 shares of the industrial products company's stock after acquiring an additional 247,138 shares during the quarter. Sonoco Products comprises about 1.4% of Private Management Group Inc.'s portfolio, making the stock its 11th largest position. Private Management Group Inc. owned 0.84% of Sonoco Products worth $39,281,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also made changes to their positions in the company. Whittier Trust Co. of Nevada Inc. increased its stake in Sonoco Products by 508.1% in the 1st quarter. Whittier Trust Co. of Nevada Inc. now owns 900 shares of the industrial products company's stock worth $43,000 after buying an additional 752 shares during the period. UMB Bank n.a. increased its stake in Sonoco Products by 152.7% in the 1st quarter. UMB Bank n.a. now owns 950 shares of the industrial products company's stock worth $45,000 after buying an additional 574 shares during the period. Quarry LP increased its stake in Sonoco Products by 111.3% in the 4th quarter. Quarry LP now owns 970 shares of the industrial products company's stock worth $47,000 after buying an additional 511 shares during the period. Colonial Trust Co SC increased its stake in Sonoco Products by 90.6% in the 4th quarter. Colonial Trust Co SC now owns 953 shares of the industrial products company's stock worth $47,000 after buying an additional 453 shares during the period. Finally, Allworth Financial LP increased its stake in Sonoco Products by 152.0% in the 1st quarter. Allworth Financial LP now owns 1,071 shares of the industrial products company's stock worth $50,000 after buying an additional 646 shares during the period. Hedge funds and other institutional investors own 77.69% of the company's stock.

Sonoco Products Stock Down 0.2%

NYSE:SON opened at $48.59 on Friday. Sonoco Products Company has a fifty-two week low of $39.46 and a fifty-two week high of $56.77. The stock has a market capitalization of $4.79 billion, a P/E ratio of 8.71, a P/E/G ratio of 0.63 and a beta of 0.68. The company has a debt-to-equity ratio of 2.02, a quick ratio of 0.51 and a current ratio of 0.80. The company's 50-day simple moving average is $45.52 and its 200-day simple moving average is $45.97.

Sonoco Products (NYSE:SON - Get Free Report) last released its quarterly earnings results on Wednesday, July 23rd. The industrial products company reported $1.37 earnings per share for the quarter, missing analysts' consensus estimates of $1.44 by ($0.07). Sonoco Products had a net margin of 8.35% and a return on equity of 22.24%. The firm had revenue of $1.91 billion during the quarter, compared to the consensus estimate of $1.92 billion. During the same quarter in the prior year, the business posted $1.28 earnings per share. The firm's quarterly revenue was up 17.7% on a year-over-year basis. On average, equities analysts anticipate that Sonoco Products Company will post 6.1 earnings per share for the current fiscal year.

Sonoco Products Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 10th. Investors of record on Friday, August 8th will be given a $0.53 dividend. This represents a $2.12 annualized dividend and a dividend yield of 4.36%. The ex-dividend date is Friday, August 8th. Sonoco Products's payout ratio is currently 137.66%.

Analyst Ratings Changes

Several research analysts have issued reports on SON shares. Jefferies Financial Group started coverage on shares of Sonoco Products in a report on Tuesday, April 22nd. They set a "buy" rating and a $62.00 target price on the stock. Wells Fargo & Company upgraded shares of Sonoco Products from an "underweight" rating to an "overweight" rating and increased their target price for the stock from $45.00 to $55.00 in a report on Friday, May 23rd. Truist Financial dropped their target price on shares of Sonoco Products from $54.00 to $53.00 and set a "buy" rating on the stock in a report on Friday, July 11th. Raymond James Financial increased their target price on shares of Sonoco Products from $50.00 to $55.00 and gave the stock an "outperform" rating in a report on Tuesday, July 15th. Finally, Wall Street Zen upgraded shares of Sonoco Products from a "sell" rating to a "hold" rating in a report on Wednesday, May 7th. Three research analysts have rated the stock with a hold rating and six have issued a buy rating to the company's stock. Based on data from MarketBeat.com, Sonoco Products currently has a consensus rating of "Moderate Buy" and a consensus target price of $57.00.

Insider Activity at Sonoco Products

In related news, Director John R. Haley acquired 2,246 shares of the firm's stock in a transaction that occurred on Friday, May 2nd. The stock was purchased at an average cost of $44.57 per share, with a total value of $100,104.22. Following the transaction, the director directly owned 20,804 shares of the company's stock, valued at $927,234.28. This trade represents a 12.10% increase in their position. The purchase was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, Director Robert R. Hill, Jr. bought 5,475 shares of the business's stock in a transaction dated Wednesday, April 30th. The shares were purchased at an average cost of $40.34 per share, with a total value of $220,861.50. Following the completion of the acquisition, the director owned 29,540 shares in the company, valued at approximately $1,191,643.60. This represents a 22.75% increase in their ownership of the stock. The disclosure for this purchase can be found here. Insiders purchased 27,721 shares of company stock valued at $1,144,366 in the last three months. 0.74% of the stock is owned by insiders.

Sonoco Products Company Profile

Sonoco Products Company, together with its subsidiaries, designs, develops, manufactures, and sells various engineered and sustainable packaging products in North and South America, Europe, Australia, and Asia. The company operates Consumer Packaging and Industrial Paper Packaging segments. The Consumer Packaging segment offers round and shaped rigid paper, steel, and plastic containers; metal and peelable membrane ends, closures, and components; thermoformed plastic trays and enclosures; and high-barrier flexible packaging products.

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