Smurfit Westrock (NYSE:SW) Issues Earnings Results, Misses Estimates By $0.12 EPS

Key Points

• Smurfit Westrock reported a quarterly EPS of ($0.05), falling short of analysts' expectations of $0.57, although revenue increased by 167.4% year-over-year to $7.94 billion.
• The company's stock dropped 1.6% to $47.45 following the earnings report, with a market capitalization of $24.77 billion and a PE ratio of 38.89.
• Smurfit Westrock announced a quarterly dividend of $0.4308, reflecting a 3.63% dividend yield, despite a high payout ratio of 140.98%.

Smurfit Westrock (NYSE:SW - Get Free Report) issued its quarterly earnings data on Wednesday. The company reported $0.45 EPS for the quarter, missing analysts' consensus estimates of $0.57 by ($0.12), Zacks reports. The company had revenue of $7.94 billion for the quarter, compared to the consensus estimate of $7.88 billion. Smurfit Westrock had a return on equity of 5.90% and a net margin of 1.14%. Smurfit Westrock's quarterly revenue was up 167.4% on a year-over-year basis.

Smurfit Westrock Stock Performance

Smurfit Westrock stock traded down $0.01 during trading on Friday, hitting $44.37. The stock had a trading volume of 4,016,515 shares, compared to its average volume of 3,330,531. Smurfit Westrock has a 1 year low of $37.01 and a 1 year high of $56.99. The company has a quick ratio of 0.93, a current ratio of 1.45 and a debt-to-equity ratio of 0.73. The stock's 50 day moving average is $44.89 and its two-hundred day moving average is $46.26. The stock has a market cap of $23.16 billion, a price-to-earnings ratio of 67.23 and a beta of 1.06.

Smurfit Westrock Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 18th. Investors of record on Friday, August 15th will be paid a $0.4308 dividend. This represents a $1.72 annualized dividend and a yield of 3.9%. Smurfit Westrock's payout ratio is 260.61%.

Analyst Ratings Changes

SW has been the topic of a number of research analyst reports. Wells Fargo & Company boosted their target price on Smurfit Westrock from $45.00 to $46.00 and gave the stock an "equal weight" rating in a research note on Thursday. Barclays cut their target price on Smurfit Westrock from $64.00 to $63.00 and set an "overweight" rating on the stock in a research note on Monday, June 30th. Royal Bank Of Canada cut their target price on Smurfit Westrock from $57.00 to $56.00 and set an "outperform" rating on the stock in a research note on Friday, May 2nd. Morgan Stanley boosted their target price on Smurfit Westrock from $51.00 to $53.00 and gave the stock an "overweight" rating in a research note on Tuesday, July 8th. Finally, Truist Financial boosted their target price on Smurfit Westrock from $50.00 to $54.00 and gave the stock a "buy" rating in a research note on Friday, July 11th. One equities research analyst has rated the stock with a hold rating and nine have assigned a buy rating to the company's stock. Based on data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus price target of $58.00.

Insider Buying and Selling

In other Smurfit Westrock news, Director Irial Finan bought 15,180 shares of the stock in a transaction on Tuesday, May 6th. The shares were acquired at an average price of $39.21 per share, with a total value of $595,207.80. Following the acquisition, the director directly owned 54,893 shares of the company's stock, valued at $2,152,354.53. The trade was a 38.22% increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders own 0.49% of the company's stock.

Institutional Investors Weigh In On Smurfit Westrock

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Integrated Wealth Concepts LLC increased its holdings in shares of Smurfit Westrock by 6.7% in the first quarter. Integrated Wealth Concepts LLC now owns 5,501 shares of the company's stock worth $248,000 after purchasing an additional 346 shares during the period. NewEdge Advisors LLC increased its holdings in shares of Smurfit Westrock by 192.3% in the first quarter. NewEdge Advisors LLC now owns 13,264 shares of the company's stock worth $598,000 after purchasing an additional 8,726 shares during the period. AQR Capital Management LLC increased its holdings in shares of Smurfit Westrock by 90.5% in the first quarter. AQR Capital Management LLC now owns 13,425 shares of the company's stock worth $593,000 after purchasing an additional 6,378 shares during the period. Woodline Partners LP increased its holdings in shares of Smurfit Westrock by 40.8% in the first quarter. Woodline Partners LP now owns 41,772 shares of the company's stock worth $1,882,000 after purchasing an additional 12,096 shares during the period. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its holdings in shares of Smurfit Westrock by 5.9% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 48,559 shares of the company's stock worth $2,188,000 after purchasing an additional 2,698 shares during the period. Institutional investors own 83.38% of the company's stock.

Smurfit Westrock Company Profile

Smurfit Westrock Plc, together with its subsidiaries, manufactures, distributes, and sells containerboard, corrugated containers, and other paper-based packaging products in Ireland and internationally. The company produces containerboard that it converts into corrugated containers or sells to third parties, as well as produces other types of paper, such as consumer packaging board, sack paper, graphic paper, solid board and graphic board, and other paper-based packaging products, such as consumer packaging, solid board packaging, paper sacks, and other packaging products, including bag-in-box.