tiprankstipranks
Ratings

O-I Glass: ‘Fit to Win’ Initiatives Drive Buy Rating Amid Projected Profit and Cash Flow Growth

O-I Glass: ‘Fit to Win’ Initiatives Drive Buy Rating Amid Projected Profit and Cash Flow Growth

O-I Glass (OIResearch Report), the Consumer Cyclical sector company, was revisited by a Wall Street analyst yesterday. Analyst Gabrial Hajde from Wells Fargo reiterated a Buy rating on the stock and has a $16.00 price target.

Discover the Best Stocks and Maximize Your Portfolio:

Gabrial Hajde has given his Buy rating due to a combination of factors that suggest O-I Glass is poised for significant improvement. The company’s focus on its ‘Fit to Win’ initiatives is expected to drive substantial enhancements in profits and free cash flow, despite a challenging market environment. These self-help measures are aimed at making O-I Glass more competitive across various substrates, with management projecting considerable benefits in the coming years.
In particular, the company anticipates achieving $175-200 million in benefits by 2025, increasing to over $300 million by 2027. Additionally, the financial projections for 2025 are optimistic, with expected improvements in operating results, lower capital expenditures, and a reduced tax rate. These initiatives and projections support the reiterated price target of $16, as O-I Glass works to instill confidence in investors and capitalize on its strategic plans.

In another report released yesterday, Truist Financial also maintained a Buy rating on the stock with a $15.00 price target.

OI’s price has also changed slightly for the past six months – from $11.290 to $12.060, which is a 6.82% increase.

1