Integrated packaging solutions provider Sealed Air Corporation (NYSE:SEE) will be reporting earnings tomorrow before the bell. Here’s what to expect.
Sealed Air beat analysts’ revenue expectations by 1.3% last quarter, reporting revenues of $1.37 billion, flat year on year. It was a strong quarter for the company, with a solid beat of analysts’ adjusted operating income estimates and an impressive beat of analysts’ EPS estimates.
Is Sealed Air a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Sealed Air’s revenue to decline 4.8% year on year to $1.27 billion, a further deceleration from the 1.4% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.67 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Sealed Air has missed Wall Street’s revenue estimates twice over the last two years.
Looking at Sealed Air’s peers in the industrial packaging segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Crown Holdings delivered year-on-year revenue growth of 3.7%, beating analysts’ expectations by 1.5%, and Packaging Corporation of America reported revenues up 8.2%, topping estimates by 1.5%. Crown Holdings traded up 8% following the results while Packaging Corporation of America was down 1.1%.
Read our full analysis of Crown Holdings’s results here and Packaging Corporation of America’s results here.
There has been positive sentiment among investors in the industrial packaging segment, with share prices up 13% on average over the last month. Sealed Air is up 16% during the same time and is heading into earnings with an average analyst price target of $36.37 (compared to the current share price of $28).
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