Q2 Earnings Highs And Lows: Berry Global Group (NYSE:BERY) Vs The Rest Of The Industrial Packaging Stocks

Quarterly earnings results are a good time to check in on a company’s progress, especially compared to its peers in the same sector. Today we are looking at Berry Global Group (NYSE:BERY) and the best and worst performers in the industrial packaging industry.

Industrial packaging companies have built competitive advantages from economies of scale that lead to advantaged purchasing and capital investments that are difficult and expensive to replicate. Recently, eco-friendly packaging and conservation are driving customers preferences and innovation. For example, plastic is not as desirable a material as it once was. Despite being integral to consumer goods ranging from beer to toothpaste to laundry detergent, these companies are still at the whim of the macro, especially consumer health and consumer willingness to spend.

The 9 industrial packaging stocks we track reported a decent Q2. As a group, revenues missed analysts’ consensus estimates by 0.7% while next quarter’s revenue guidance was 2.3% below.

Stocks--especially those trading at higher multiples--had a strong end of 2023, but this year has seen periods of volatility. Mixed signals about inflation have led to uncertainty around rate cuts. However, industrial packaging stocks have held steady amidst all this with share prices up 3.3% on average since the latest earnings results.

Berry Global Group (NYSE:BERY)

Founded as Imperial Plastics, Berry Global (NYSE: BERY) is a manufacturer and marketer of plastic packaging products, including containers, bottles, and prescription packaging.

Berry Global Group reported revenues of $3.16 billion, down 2.1% year on year. This print fell short of analysts’ expectations by 2.9%. Overall, it was a weak quarter for the company with a miss of analysts’ organic revenue estimates.

The market was likely pricing in the results, and the stock is flat since reporting. It currently trades at $66.02.

Read our full report on Berry Global Group here, it’s free.

Best Q2: Packaging Corporation of America (NYSE:PKG)

Founded in 1959, Packaging Corporation of America (NYSE: PKG) produces containerboard and corrugated packaging products, also offering displays and protective packaging solutions.

Packaging Corporation of America reported revenues of $2.08 billion, up 6.3% year on year, outperforming analysts’ expectations by 2.5%. It was a very strong quarter for the company with an impressive beat of analysts’ volume estimates.

The market seems content with the results as the stock is up 4.7% since reporting. It currently trades at $201.78.

Is now the time to buy Packaging Corporation of America? Access our full analysis of the earnings results here, it’s free.

Slowest Q2: Silgan Holdings (NYSE:SLGN)

Established in 1987, Silgan Holdings (NYSE:SLGN) is a supplier of rigid packaging for consumer goods products, specializing in metal containers, closures, and plastic packaging.

Silgan Holdings reported revenues of $1.38 billion, down 3.2% year on year, falling short of analysts’ expectations by 3.4%. It was a weak quarter for the company with a miss of analysts’ organic revenue estimates.

Interestingly, the stock is up 4.2% since the results and currently trades at $50.80.

Read our full analysis of Silgan Holdings’s results here.

Crown Holdings (NYSE:CCK)

Formerly Crown Cork & Seal, Crown Holdings (NYSE:CCK) produces packaging products for consumer marketing companies, including food, beverage, household, and industrial products.

Crown Holdings reported revenues of $3.04 billion, down 2.2% year on year, in line with analysts’ expectations. Taking a step back, it was a strong quarter for the company with a solid beat of analysts’ earnings estimates.

The stock is up 15.9% since reporting and currently trades at $89.75.

Read our full, actionable report on Crown Holdings here, it’s free.

Sealed Air (NYSE:SEE)

Founded in 1960, Sealed Air Corporation (NYSE: SEE) specializes in the development and production of protective and food packaging solutions, serving a variety of industries.

Sealed Air reported revenues of $1.35 billion, down 2.6% year on year, surpassing analysts’ expectations by 2.9%. More broadly, it was a strong quarter for the company with an impressive beat of analysts’ volume estimates.

Sealed Air pulled off the biggest analyst estimates beat among its peers. The stock is flat since reporting and currently trades at $34.58.

Read our full, actionable report on Sealed Air here, it’s free.

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