Sonoco Products Stock Return On Equity
| SON Stock | USD 50.07 0.24 0.48% |
Sonoco Products fundamentals help investors to digest information that contributes to Sonoco Products' financial success or failures. It also enables traders to predict the movement of Sonoco Stock. The fundamental analysis module provides a way to measure Sonoco Products' intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Sonoco Products stock.
| Last Reported | Projected for Next Year | ||
| Return On Equity | 0.20 | 0.17 |
Sonoco | Return On Equity |
Sonoco Products Company Return On Equity Analysis
Sonoco Products' Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.
Current Sonoco Products Return On Equity | 0.12 |
Most of Sonoco Products' fundamental indicators, such as Return On Equity, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Sonoco Products is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Sonoco Return On Equity Driver Correlations
Understanding the fundamental principles of building solid financial models for Sonoco Products is extremely important. It helps to project a fair market value of Sonoco Stock properly, considering its historical fundamentals such as Return On Equity. Since Sonoco Products' main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Sonoco Products' historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Sonoco Products' interrelated accounts and indicators.
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For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.
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Sonoco Total Stockholder Equity
Total Stockholder Equity |
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Based on the latest financial disclosure, Sonoco Products has a Return On Equity of 0.1199. This is 96.67% lower than that of the Containers & Packaging sector and 65.74% lower than that of the Materials industry. The return on equity for all United States stocks is 138.68% lower than that of the firm.
Sonoco Return On Equity Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Sonoco Products' direct or indirect competition against its Return On Equity to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Sonoco Products could also be used in its relative valuation, which is a method of valuing Sonoco Products by comparing valuation metrics of similar companies.Sonoco Products is currently under evaluation in return on equity category among its peers.
Sonoco Products ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Sonoco Products' sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Sonoco Products' managers, analysts, and investors.Environmental | Governance | Social |
Sonoco Fundamentals
| Return On Equity | 0.12 | ||||
| Return On Asset | 0.0498 | ||||
| Profit Margin | 0.04 % | ||||
| Operating Margin | 0.11 % | ||||
| Current Valuation | 8.06 B | ||||
| Shares Outstanding | 98.26 M | ||||
| Shares Owned By Insiders | 0.62 % | ||||
| Shares Owned By Institutions | 80.86 % | ||||
| Number Of Shares Shorted | 1.08 M | ||||
| Price To Earning | 31.13 X | ||||
| Price To Book | 1.98 X | ||||
| Price To Sales | 0.75 X | ||||
| Revenue | 6.78 B | ||||
| Gross Profit | 1.47 B | ||||
| EBITDA | 1.04 B | ||||
| Net Income | 474.96 M | ||||
| Cash And Equivalents | 227.44 M | ||||
| Cash Per Share | 1.79 X | ||||
| Total Debt | 3.35 B | ||||
| Debt To Equity | 1.77 % | ||||
| Current Ratio | 1.36 X | ||||
| Book Value Per Share | 25.23 X | ||||
| Cash Flow From Operations | 882.92 M | ||||
| Short Ratio | 1.92 X | ||||
| Earnings Per Share | 2.91 X | ||||
| Price To Earnings To Growth | 1.19 X | ||||
| Target Price | 58.29 | ||||
| Number Of Employees | 21 K | ||||
| Beta | 0.68 | ||||
| Market Capitalization | 4.92 B | ||||
| Total Asset | 7.19 B | ||||
| Retained Earnings | 2.62 B | ||||
| Working Capital | 885.09 M | ||||
| Current Asset | 1.31 B | ||||
| Current Liabilities | 922.52 M | ||||
| Annual Yield | 0.04 % | ||||
| Five Year Return | 2.99 % | ||||
| Net Asset | 7.19 B | ||||
| Last Dividend Paid | 2.06 |
About Sonoco Products Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Sonoco Products's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Sonoco Products using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Sonoco Products based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Pair Trading with Sonoco Products
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Sonoco Products position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Sonoco Products will appreciate offsetting losses from the drop in the long position's value.Moving together with Sonoco Stock
Moving against Sonoco Stock
| 0.58 | IP | International Paper | PairCorr |
| 0.56 | WH | Wyndham Hotels Resorts | PairCorr |
| 0.55 | KRT | Karat Packaging | PairCorr |
| 0.54 | GT | Goodyear Tire Rubber | PairCorr |
| 0.46 | GEF | Greif Bros Fiscal Year End 4th of December 2024 | PairCorr |
The ability to find closely correlated positions to Sonoco Products could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Sonoco Products when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Sonoco Products - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Sonoco Products to buy it.
The correlation of Sonoco Products is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Sonoco Products moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Sonoco Products moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Sonoco Products can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Sonoco Products Piotroski F Score and Sonoco Products Altman Z Score analysis. To learn how to invest in Sonoco Stock, please use our How to Invest in Sonoco Products guide.You can also try the Equity Search module to search for actively traded equities including funds and ETFs from over 30 global markets.
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 2.06 | Earnings Share 2.91 | Revenue Per Share 66.695 | Quarterly Revenue Growth (0.02) |
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.