Key Highlights:
- Amcor's merger with Berry Global projects substantial fiscal benefits, including $260 million in pre-tax synergies by 2026.
- Analysts predict an average upside potential of 22.52% for AMCR stock with a current "Outperform" rating.
- GuruFocus estimates a 14.67% upside based on future performance expectations.
Amcor and Berry Global Merger: Financial Synergies and Outlook
Amcor (AMCR, Financial) recently concluded an all-stock merger with Berry Global, a strategic move anticipated to yield significant fiscal benefits. The companies forecast $260 million in pre-tax synergies by fiscal 2026, which is expected to enhance adjusted EPS by approximately 12%. Looking further ahead, by fiscal 2028, total synergies are projected to escalate to $650 million, with the annual cash flow exceeding $3 billion. Despite these promising projections, AMCR shares experienced a 1.3% decline post-market.
Analyst Insights: Price Targets and Recommendations
Amcor PLC (AMCR, Financial) has attracted attention from nine analysts offering one-year price targets. The current average target price stands at $11.27, with projections ranging from a high of $13.00 to a low of $10.00. This suggests an average upside potential of 22.52% from the present stock price of $9.20. Investors looking for additional detailed estimate data can explore the Amcor PLC (AMCR) Forecast page.
Reflecting market sentiment, the consensus recommendation from ten brokerage firms for Amcor PLC (AMCR, Financial) is an average rating of 2.3, signifying an "Outperform" status. This rating scale ranges from 1 to 5, where 1 equals a Strong Buy, and 5 denotes a Sell.
Understanding Amcor's GF Value and Market Potential
According to GuruFocus estimates, the projected GF Value for Amcor PLC (AMCR, Financial) in one year is $10.55. This valuation implies a potential upside of 14.67% from the current price of $9.20. The GF Value represents GuruFocus' assessment of the fair trading value of the stock, calculated by analyzing historical trading multiples and the business's past growth, alongside future performance estimates. Investors can find more detailed data on this valuation on the Amcor PLC (AMCR) Summary page.
