Analyst George Staphos of Bank of America Securities maintained a Buy rating on O-I Glass (OI – Research Report), retaining the price target of $14.00.
George Staphos has given his Buy rating due to a combination of factors including the potential upside to the price objective and the valuation of O-I Glass. The company’s ‘Fit to Win’ (FTW) program is anticipated to significantly improve operational efficiency and reduce costs, which could help in reinflating the company’s currently depressed valuation multiples.
The FTW program is expected to deliver substantial financial benefits in the coming years, with Phase A already discussed in the market. However, further visibility and confidence in both Phase A and the upcoming Phase B are crucial for combating ongoing enterprise value pressure. Additionally, while volume trends have been weak, particularly in Europe, there is potential for improvement in the Americas, which could further enhance the company’s financial performance and support the Buy rating.
According to TipRanks, Staphos is a 4-star analyst with an average return of 5.3% and a 52.38% success rate. Staphos covers the Consumer Cyclical sector, focusing on stocks such as Sealed Air, Packaging, and Sonoco Products.
In another report released on March 11, Wells Fargo also reiterated a Buy rating on the stock with a $16.00 price target.
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