# Sonoco Products Company (SON) fundamentals

Data as of 2026-11-04. NYSE, United States. Sector: Basic Materials / Packaging. Price $48.83, market value $4.8 billion.

## Valuation
- **P/E (trailing): n/a** (negative earnings). Sonoco Products Company reported negative earnings over the last twelve months, so the P/E is not meaningful; use price-to-sales, EV/EBITDA and free-cash-flow yield instead.
- **PEG: 0.02**. A PEG of 0.02 means the P/E is low relative to expected earnings growth: the market is not paying much for that growth.
- **Price / sales: 0.7×**. Each dollar of revenue is priced at 0.7×, a low multiple typical of thin-margin businesses or out-of-favour stocks.
- **Price / book: 1.7×**. The shares trade at 1.7× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 12.0×**. Enterprise value is 12.0× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Free-cash-flow yield: 7.3%** (5-yr avg 6.5%). Free cash flow equals 7.3% of the market value, in line with its five-year average of 6.5%. Above 5% is generally attractive.

## Profitability
- **Gross margin: 20.2%**. Sonoco Products Company keeps 20.2% of revenue after the direct cost of what it sells, a thin margin typical of retail, distribution and commodity businesses.
- **Operating margin: 2.7%**. 2.7% of revenue is left after running the business, which leaves little cushion in a downturn.
- **Net margin: 13.3%**. 13.3% of each dollar of sales reaches the bottom line.
- **Return on equity: 27.8%**. 27.8% on shareholders' equity is excellent if it is not driven by leverage; sustained above 20% usually signals a competitive advantage.
- **Return on invested capital: 2.1%**. Return on all capital, debt included, is 2.1%: close to or below the cost of capital, so growth may not create value.
- **Return on assets: -2.0%**. Each dollar of assets produces -2.0% of profit.

## Growth
- **Revenue growth (1 yr): 41.7%** (3-yr 11.8%/yr, 5-yr 7.5%/yr). Revenue grew 41.7% over the last year, against 7.5% a year compounded over five years: growth is accelerating.
- **EPS growth (1 yr): 510.3%** (3-yr 28.7%/yr, 5-yr 37.5%/yr). Earnings per share rose 510.3%, faster than revenue, so margins expanded or the share count shrank.
- **Free-cash-flow growth (3 yr): 24.2%/yr**. Free cash flow has compounded at 24.2% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 1.20**. Debt is 1.20 times equity, a leveraged balance sheet that needs steady cash flow to service.
- **Net debt / EBITDA: 5.4×**. It would take 5.4 years of operating earnings to repay net borrowings, above the 3× level most lenders treat as comfortable.
- **Current ratio: 1.05** (quick 1.05). Current assets cover the next year's liabilities 1.05 times.
- **Altman Z-score: 1.83**. A Z-score of 1.83 is in the grey zone; not distressed, not clearly safe.
- **Piotroski F-score: 6/9**. 6 of 9 checks pass: mixed.

## Dividends
- **Dividend yield: 4.42%** ($2.14 per share, trailing). Sonoco Products Company yields 4.42%, an income-level yield.
- **Payout ratio: 21%** (60% of free cash flow). 21% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 26**. 26 straight years of increases (the data covers 26 years, so this may be longer): a record very few companies hold.
- **Dividend growth (5 yr): 4.2%/yr** (1-yr 1.9%). The dividend has grown 4.2% a year over five years.

## Analyst view
- **Analyst consensus: buy** (8 analysts). 8 analysts cover Sonoco Products Company; the consensus is buy, with an average price target of $57.13 (+17% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): 27.9%** (YTD 17.4%, 3-mo -11.0%). The shares are up 27.9% over twelve months including dividends.
- **From 52-week high: -19.5%** (24.3% above the low). Trading 20% below its 52-week high.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 53**. An RSI of 53 is neutral.
- **Beta (1 yr): 0.40** (volatility 33%). Beta of 0.40 against the S&P 500: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=SON · Page: https://foliofundamentals.com/stocks/son

Not investment advice.