Avery Dennison Stock Analysis, Valuation (NYSE:AVY)

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$111.62 $0.2 (0.18%) AVY stock closing price Sep 19, 2018 (Closing)

View the Avery Dennison stock analysis video on Amigobulls. This is our analyst opinion covering the buy and sell arguments for AVY stock.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

Avery Dennison Corp Stock Rating 3.1/5

Amigobulls AVY stock analysis relies on business fundamentals such as Avery Dennison revenue growth, profits and return on equity measures from the latest quarter 2018 Q2 earnings. Avery Dennison valuation analysis is based on relative valuation multiples like PE ratio and price to sales ratio. Our Avery Dennison stock rating is based on company's fundamentals like balance sheet risk and cash flow position.

Should you buy AVY stock?

  • The company has an operating cash flow which is 2.0241 times the net income.
  • The Avery Dennison stock currently trades at a price to earnings ratio of 18.3, compared to the sector average of 20.3. We rate this as a positive.
  • Avery Dennison's return on invested capital of 9.6 is good.
  • The LTM ROE of 25.1 for Avery Dennison is attractive.
  • The company has a healthy free cash flow margin of 7.8.

Should you sell AVY stock?

  • With a debt/equity ratio of 1.64, Avery Dennison is highly leveraged in comparison to Industrial Products peers.

Comments on this video and Avery Dennison stock

Amigobulls Avery Dennison stock analysis helps in evaluating the financial statements of a company to arrive at a conclusion about the fair value of AVY stock. The fundamentals of a company are vital to identify long-term investment opportunities.

Avery Dennison revenue growth and profit or net income are the main underlying forces which could detremine the direction of the share price. Investors could make use of AVY technical analysis to check whether the fundamental story is reflected in the market sentiment.