Daily Stock Analysis: Amcor PLC

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Photo by Nicholas Cappello on Unsplash
 

Amcor PLC, ticker AMCR, is a mid-cap Swiss-based packaging & containers company at work in the consumer cyclical business sector. It is, as I said, the third of five consumer cyclical candidates vying to be the fourth selection for my Viking folio. This is my very first report on AMCR for my Viking portfolio I also selected it as my forty-fourth pick for my sixth portfolio named Vista.

Amcor is a global plastics packaging behemoth, with global sales of USD 14.5 billion in fiscal 2022 following the acquisition of Bemis in 2019.

Amcor’s operations span over 40 countries globally and include significant emerging-market exposure equating to about 20% of sales.

Amcor’s capabilities span flexible and rigid plastic packaging, which sells into defensive food, beverage, healthcare, household, and personal-care end markets.

The company sells its products primarily through its direct sales force. Amcor plc was incorporated in 2018 and is headquartered in Zürich, Switzerland.

Three key data points gauge

Amcor PLC:

(1) Price

(2) Dividends

(3) Returns

Those three basic keys best tell whether any company has made, is making, and will make money.
 

AMCR Price

Amcor’s price per share was $11.48 at Tuesday’s market close. In the past year, AMCR’s share price fell by $0.60 or about 5%.

If AMCR’s stock trades in the range of $8.00 to $15.00 this next year, it's recent $11.48 per share price might reach $12.50 by next year. My upside increase estimate of $1.02 is $0.01 less than the median of estimated price upsides from nine brokers tracking AMCR.
 

AMCR Dividends

Amcor PLC’s most recently declared quarterly dividend of $0.12 per share equals $0.48 annually and casts a yield of 4.18%.
 

AMCR Returns

Adding the $0.48 annual AMCR dividend to my one-year price upside estimate of $1.02 shows a $1.50 potential gross gain per share.

At Today’s $11.48 closing price, a little under $1000 would buy 87 shares.

A $10 broker fee (if charged), paid half at purchase and a half at the sale, might cost us $0.11 per share.

Subtracting that maybe $0.11 brokerage cost from my estimated $1.50 gross gain per share results in a net gain of $1.39 X 87 shares = $120.06 for a 12.1% net gain including a 4.18% annual yield.

In a year our $1K investment in shares of Amcor PLC could generate $41.80 in cash dividends. Of course, a single share of AMCR stock at today's $11.48 share price is more than 3.5 times less than the annual dividend income from our $1000.00 investment.

So, by my dogcatcher ideal, this is really a good time to buy AMCR shares based on their dividends for the year 2022. The dividend from $1K invested is 3.64 times more than AMCR’s single share price. Consider yourself alerted. Now IS the time for Amcor PLC.

All of the estimates above are speculation based on the past history of Amcor PLC. Only time and money invested in this stock will determine its market value.


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Disclaimer:  This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a ...

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