FINWIRES · TerminalLIVE
FINWIRES

Amcor Needs Sustained Shift to Volumes Growth for Investors to Mark Higher Multiple to Earnings, Jefferies Says

By

Amcor (ASX:AMC) needs a sustained shift to volume growth for investors to mark a higher multiple to Amcor's earnings, according to a Thursday note by Jefferies.

Amcor managed inflationary impacts into the fiscal fourth quarter by passing through around AU$300 million of higher raw materials to customers.

The brokerage reduced December quarter earnings-per-share by around 7%, reflecting higher corporate costs/interest/tax, while making minimal operational earnings changes.

Despite overall volume growth of around 0.5% in the fiscal fourth quarter, Jefferies remained cautious on industry sales based on a weak US low-end consumer and other headwinds affecting food spend.

The investment firm retained a hold rating on Amcor and a price target of AU$64.17 per share.

Related Articles

Asia

Phoenix Silicon Earmarks Additional NT$4.82 Billion CAPEX Budget for 2026

Phoenix Silicon International (TPE:8028) board approved an additional NT$4.82 billion capital expenditure budget for 2026, according to a Thursday Taiwan Exchange filing.The increased spending will cover production equipment, plant facilities and construction projects.The capex is aimed at capacity deployment and will be funded through self-financing and capital-raising methods, the semiconductor wafer processing services provider said.

TPE:8028
Asia

Jereh Oilfield Services' H1 Profit Falls 4%, Revenue Rises 11%; Shares Up 5%

Yantai Jereh Oilfield Services' (SHE:002353) net profit attributable to shareholders for the first half fell 3.6% to 1.20 billion yuan from 1.24 billion yuan a year earlier, according to a Friday disclosure on the Shenzhen bourse.Earnings per share dropped 3.3% year on year to 1.18 yuan from 1.22 yuan.Operating revenue rose 11% to 7.65 billion yuan from 6.90 billion yuan in the previous year.The oil equipment manufacturing company's shares jumped 5% during the morning trade.

SHE:002353
Asia

US to Impose 100% Tariffs on Some Drones to Counter China

The U.S. government will impose a 100% tariff on imports of drones and their components, according to a fact sheet by the White House released Thursday.The tariffs could particularly hurt China, the world's largest drone maker, Bloomberg reported separately.The 100% rate will apply to drones with a maximum takeoff weight of more than 25 kilograms and with thermal imaging features, Washington said.The administration of President Donald Trump will also levy a 25% tariff on smaller unmanned aircraft that lack national security capabilities.Washington will also impose a 15% duty on drones and components made by the EU, Japan, Liechtenstein, South Korea, Switzerland, and Taiwan, and 10% for UK-made drones as long as their parts come from the U.S., the fact sheet showed.The tariffs will take effect 21 days after signing, while duties for non-critical drone parts will take effect after 180 days, the White House said.

^KOSDAQKOSPIShanghai Composite^SZSETaiwan Weighted