Expert Outlook: Avery Dennison Through The Eyes Of 5 Analysts

In the preceding three months, 5 analysts have released ratings for Avery Dennison AVY, presenting a wide array of perspectives from bullish to bearish.

The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.

Insights from analysts' 12-month price targets are revealed, presenting an average target of $231.2, a high estimate of $249.00, and a low estimate of $218.00. Surpassing the previous average price target of $208.00, the current average has increased by 11.15%.

Decoding Analyst Ratings: A Detailed Look

The standing of Avery Dennison among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Avery Dennison. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Avery Dennison compared to the broader market.
• Price Targets: Analysts provide insights into price targets, offering estimates for the future value of Avery Dennison's stock. This comparison reveals trends in analysts' expectations over time.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of Avery Dennison's market standing. Stay informed and make data-driven decisions with our Ratings Table.

Stay up to date on Avery Dennison analyst ratings.

Discovering Avery Dennison: A Closer Look

Avery Dennison manufactures pressure-sensitive materials, merchandise tags, and labels. The company also runs a specialty converting business that produces radio-frequency identification, or RFID, inlays and labels. Avery Dennison draws a significant amount of revenue from outside the United States, with international operations accounting for the majority of total sales.

Key Indicators: Avery Dennison's Financial Health

Market Capitalization Analysis: With a profound presence, the company's market capitalization is above industry averages. This reflects substantial size and strong market recognition.

Revenue Growth: Avery Dennison's remarkable performance in 3 months is evident. As of 31 December, 2023, the company achieved an impressive revenue growth rate of 4.18%. This signifies a substantial increase in the company's top-line earnings. When compared to others in the Materials sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Avery Dennison's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 6.78% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): Avery Dennison's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 6.83%, the company showcases efficient use of equity capital and strong financial health.

Return on Assets (ROA): Avery Dennison's ROA excels beyond industry benchmarks, reaching 1.75%. This signifies efficient management of assets and strong financial health.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 1.52.

Understanding the Relevance of Analyst Ratings

Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

This article was generated by Benzinga's automated content engine and reviewed by an editor.