# Sonoco Products Company (SON) fundamentals

Data as of 2026-09-08. NYSE, United States. Sector: Consumer Cyclical / Distributors. Price $51.95, market value $5.1 billion.

## Valuation
- **P/E (trailing): 8.0×** (5-yr avg 13.4×, 3-yr avg 14.1×). Sonoco Products Company trades at 8.0× trailing earnings, well below its own five-year average of 13.4×: cheap by its own standards. The Consumer Cyclical median in the September 2026 study was 19.5×. Forward P/E is 8.2×, higher than trailing, so analysts expect earnings to fall.
- **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: 1.4×**. The shares trade at 1.4× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 5.8×**. Enterprise value is 5.8× operating earnings before depreciation, the multiple that ignores how the company is financed; below 8× is inexpensive for most sectors.
- **Free-cash-flow yield: 6.9%** (5-yr avg 6.5%). Free cash flow equals 6.9% of the market value, in line with its five-year average of 6.5%. Above 5% is generally attractive.
- **Earnings yield: 12.5%**. The inverse of the P/E: 12.5% of the price is earned each year.

## Profitability
- **Gross margin: 20.8%**. Sonoco Products Company keeps 20.8% of revenue after the direct cost of what it sells, a thin margin typical of retail, distribution and commodity businesses.
- **Operating margin: 13.9%**. 13.9% of revenue is left after running the business.
- **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: 10.8%**. Return on all capital, debt included, is 10.8%.
- **Return on assets: 5.6%**. Each dollar of assets produces 5.6% 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: 2.5×**. It would take 2.5 years of operating earnings to repay net borrowings, within the comfortable range.
- **Altman Z-score: 1.84**. A Z-score of 1.84 is in the grey zone; not distressed, not clearly safe.
- **Piotroski F-score: 5/9**. 5 of 9 checks pass: mixed.

## Dividends
- **Dividend yield: 4.16%** ($2.13 per share, trailing). Sonoco Products Company yields 4.16%, an income-level yield.
- **Payout ratio: 21%** (59% 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** (9 analysts). 9 analysts cover Sonoco Products Company; the consensus is buy, with an average price target of $62.89 (+21% 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): 18.0%** (YTD 21.4%, 3-mo 9.4%). The shares are up 18.0% over twelve months including dividends.
- **From 52-week high: -14.4%** (34.4% above the low). Trading 14% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 32**. An RSI of 32 is neutral.
- **Beta (1 yr): 0.42** (volatility 33%). Beta of 0.42 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.
