Sonoco Products Valuation

SON Stock  USD 47.83  0.56  1.16%   
At this time, the company appears to be undervalued. Sonoco Products has a current Real Value of $53.36 per share. The regular price of the company is $47.83. Our model measures the value of Sonoco Products from inspecting the company fundamentals such as Shares Outstanding of 98.62 M, return on equity of 0.0286, and Operating Margin of 0.04 % as well as reviewing its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Sonoco Products' valuation include:
Price Book
2.1009
Enterprise Value
11.6 B
Enterprise Value Ebitda
19.0522
Price Sales
0.8996
Forward PE
8.1433
Undervalued
Today
47.83
Please note that Sonoco Products' price fluctuation is very steady at this time. Calculation of the real value of Sonoco Products is based on 3 months time horizon. Increasing Sonoco Products' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Sonoco Products is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Sonoco Stock. However, Sonoco Products' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  47.83 Real  53.36 Target  59.38 Hype  47.86 Naive  48.16
The intrinsic value of Sonoco Products' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Sonoco Products' stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
53.36
Real Value
54.82
Upside
Estimating the potential upside or downside of Sonoco Products helps investors to forecast how Sonoco stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Sonoco Products more accurately as focusing exclusively on Sonoco Products' fundamentals will not take into account other important factors:
Earnings
Estimates (0)
LowProjectedHigh
1.391.421.45
Details
Hype
Prediction
LowEstimatedHigh
46.4047.8649.32
Details
Potential
Annual Dividend
LowForecastedHigh
1.321.371.43
Details
9 Analysts
Consensus
LowTarget PriceHigh
54.0359.3865.91
Details
Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Sonoco Products' intrinsic value based on its ongoing forecasts of Sonoco Products' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Sonoco Products' closest peers.

Sonoco Products Cash

452.56 Million

Sonoco Valuation Trend

Knowing Sonoco Products' actual value is paramount for traders when making sound investment determinations. Using both Sonoco Products' enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.

Sonoco Revenue by Product

Sonoco Products Total Value Analysis

Sonoco Products is at this time estimated to have company total value of 11.64 B with market capitalization of 4.77 B, debt of 7.3 B, and cash on hands of 227.44 M. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Sonoco Products fundamentals before making security assessment based on enterprise value of the company
  Takeover PriceMarket CapDebt ObligationsCash
11.64 B
4.77 B
7.3 B
227.44 M

Sonoco Products Investor Information

About 82.0% of the company shares are owned by institutional investors. The book value of Sonoco Products was at this time reported as 23.12. The company has Price/Earnings To Growth (PEG) ratio of 0.27. Sonoco Products last dividend was issued on the 26th of February 2025. The entity had 11:10 split on the 13th of May 1998. Based on the key indicators related to Sonoco Products' liquidity, profitability, solvency, and operating efficiency, Sonoco Products may be sliding down financialy. It has an above-average probability of going through some form of financial hardship next quarter.
Current ValueLast YearChange From Last Year 10 Year Trend
Total Cash From Operating Activities875.5 M833.8 M
Sufficiently Up
Slightly volatile

Sonoco Products Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Sonoco Products has an asset utilization ratio of 42.42 percent. This suggests that the Company is making $0.42 for each dollar of assets. An increasing asset utilization means that Sonoco Products is more efficient with each dollar of assets it utilizes for everyday operations.
 
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Covid

Sonoco Products Ownership Allocation

Sonoco Products shows a total of 98.62 Million outstanding shares. The majority of Sonoco Products outstanding shares are owned by institutional holders. These institutional investors are usually referred to as non-private investors looking to take positions in Sonoco Products to benefit from reduced commissions. Consequently, institutions are subject to a different set of regulations than regular investors in Sonoco Products. Please pay attention to any change in the institutional holdings of Sonoco Products as this could imply that something significant has changed or is about to change at the company. Please note that no matter how many assets the company owns, if the real value of the company is less than the current market value, you may not be able to make money on it.

Sonoco Products Profitability Analysis

The company reported the last year's revenue of 5.31 B. Total Income to common stockholders was 163.94 M with profit before taxes, overhead, and interest of 1.15 B.

Sonoco Products Past Distributions to stockholders

About Sonoco Products Valuation

We use absolute and relative valuation methodologies to arrive at the intrinsic value of Sonoco Products. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Sonoco Products based exclusively on its fundamental and basic technical indicators. By analyzing Sonoco Products's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Sonoco Products's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Sonoco Products. We calculate exposure to Sonoco Products's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Sonoco Products's related companies.
Last ReportedProjected for Next Year
Gross Profit1.1 B810.4 M
Pretax Profit Margin 0.01  0.01 
Operating Profit Margin 0.06  0.10 
Net Profit Margin 0.03  0.05 
Gross Profit Margin 0.21  0.24 

Sonoco Products Quarterly Retained Earnings

2.58 Billion

Sonoco Products' stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether Sonoco Products' value is low or high relative to the company's performance and growth projections. Determining the market value of Sonoco Products can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of Sonoco Products represents a small ownership stake in the entity. As a stockholder of Sonoco, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

Sonoco Products Dividends Analysis For Valuation

As of the 21st of March 2025, Dividend Payout Ratio is likely to grow to 1.33, while Dividends Paid is likely to drop about 116.5 M. . At this time, Sonoco Products' Earnings Yield is very stable compared to the past year. As of the 21st of March 2025, Price Earnings Ratio is likely to grow to 50.62, while Retained Earnings are likely to drop about 1.3 B.
Last ReportedProjected for Next Year
Dividends Paid203.5 M116.5 M
Dividend Yield 0.04  0.02 
Dividend Payout Ratio 1.24  1.33 
Dividend Paid And Capex Coverage Ratio 1.40  1.06 
There are various types of dividends Sonoco Products can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Sonoco shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Sonoco Products directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Sonoco pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Sonoco Products by the value of the dividends paid out.

Sonoco Products Growth Indicators

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
Common Stock Shares Outstanding99.3 M
Quarterly Earnings Growth Y O Y-0.614
Forward Price Earnings8.1433

Sonoco Products Current Valuation Indicators

Sonoco Products' valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Sonoco Products' valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Sonoco Products, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Sonoco Products' valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Sonoco Products' worth.
When determining whether Sonoco Products offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Sonoco Products' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Sonoco Products Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Sonoco Products Stock:
Check out World Market Map to better understand how to build diversified portfolios, which includes a position in Sonoco Products. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in persons.
To learn how to invest in Sonoco Stock, please use our How to Invest in Sonoco Products guide.
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Is Paper & Plastic Packaging Products & Materials space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Sonoco Products. If investors know Sonoco will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Sonoco Products listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.61)
Dividend Share
2.07
Earnings Share
0.68
Revenue Per Share
53.787
Quarterly Revenue Growth
(0.17)
The market value of Sonoco Products is measured differently than its book value, which is the value of Sonoco that is recorded on the company's balance sheet. Investors also form their own opinion of Sonoco Products' value that differs from its market value or its book value, called intrinsic value, which is Sonoco Products' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Sonoco Products' market value can be influenced by many factors that don't directly affect Sonoco Products' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Sonoco Products' value and its price as these two are different measures arrived at by different means. Investors typically determine if Sonoco Products is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Sonoco Products' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.