Sealed Air (SEE) AI Stock Analysis

• Market Cap: $6.08B
• Dividend Yield: 1.93%
• Average Volume (3M): 3.74M
• Price to Earnings (P/E): 15.4
• Beta (1Y): 0.94
• Revenue Growth: -1.22%
• EPS Growth: -0.76%
• Country: US
• Employees: 16,400
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Packaging & Containers
• EPS (TTM): 0.87
• Shares Outstanding: 147,124,530
• 10 Day Avg. Volume: 4,440,819
• 30 Day Avg. Volume: 3,737,023
• PEG Ratio: -0.87
• Price to Book (P/B): 7.88
• Price to Sales (P/S): 0.91
• P/FCF Ratio: 9.69
• Enterprise Value/Market Cap: 1.51
• Enterprise Value/Revenue: 1.73
• Enterprise Value/Gross Profit: 5.79
• Enterprise Value/Ebitda: 9.44
• 1Y Price Target: $43.26
• Price Target Upside: 4.85% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 14
• EPS Forecast (FY): 3.32
• Revenue Forecast (FY): $5.30B

• Rating: 71 Outperform
• Price Target: $46.00 ▲(11.49% Upside)

Sealed Air's overall stock score reflects a strong financial position with effective cash generation and leverage management. The technical analysis indicates positive momentum, and the valuation suggests fair pricing. The acquisition announcement adds a significant positive outlook, though challenges in the Food segment and macroeconomic uncertainties remain.

Positive Factors

Acquisition by CD&R

The acquisition by CD&R is expected to accelerate Sealed Air's transformation and growth, providing strategic resources and focus to enhance its core business segments.

Cash Flow Growth

Strong cash flow growth indicates effective cash generation and operational efficiency, providing financial flexibility for future investments and debt management.

Protective Segment Growth

Growth in the Protective segment highlights successful strategic initiatives and market demand, supporting long-term revenue potential and competitive positioning.

Negative Factors

Food Segment Challenges

Challenges in the Food segment, especially in North America, could impact revenue and margins, necessitating strategic adjustments to address market dynamics.

Negative Net Price Realization

Negative net price realization can pressure profitability, highlighting the need for effective cost management and pricing strategies to maintain margins.

Macroeconomic Uncertainty

Macroeconomic uncertainties may affect consumer demand and industrial production, posing risks to revenue growth and necessitating adaptive business strategies.

Sealed Air Business Overview & Revenue Model

Company Description

Sealed Air Corporation (NYSE: SEE) is a global leader in packaging solutions, specializing in protective packaging, food packaging, and cleaning and hygiene products. Founded in 1960 and headquartered in Charlotte, North Carolina, the company operates through various segments including Food Care, Product Care, and Diversey Holdings. Sealed Air's core products include bubble wrap, shrink films, and food packaging solutions designed to enhance product shelf life and safety, thereby serving a wide range of industries including food and beverage, e-commerce, and consumer goods.

How the Company Makes Money

Sealed Air generates revenue primarily through the sale of its packaging products and solutions across its various business segments. Key revenue streams include the Food Care segment, which provides packaging solutions that extend the shelf life of food products, and the Product Care segment, which offers protective packaging materials for e-commerce and industrial applications. The company also derives income from its Diversey Holdings segment, which focuses on cleaning and hygiene solutions. Significant partnerships with major retailers and manufacturers, as well as ongoing innovation in sustainable packaging solutions, contribute to Sealed Air's earnings by meeting the evolving demands of customers and helping them optimize their supply chain efficiencies.

Sealed Air Financial Statement Overview

Summary

Sealed Air shows strong revenue growth and improved leverage management, with a significant increase in free cash flow. However, declining profitability margins and reliance on debt financing are concerns.

Income Statement

Sealed Air's income statement shows a solid performance with a TTM gross profit margin of 30.1% and a net profit margin of 7.2%. The company has demonstrated a positive revenue growth rate of 11.6% in the TTM period, indicating a strong recovery from previous declines. However, the EBIT and EBITDA margins have decreased compared to previous years, suggesting potential cost pressures.

Balance Sheet

The balance sheet reflects a significant improvement in the debt-to-equity ratio, which decreased to 0.25 in the TTM period, indicating better leverage management. The return on equity remains strong at 43.2%, showcasing efficient use of equity. However, the equity ratio is relatively low, suggesting a reliance on debt financing.

Cash Flow

Cash flow analysis reveals a robust free cash flow growth rate of 115.3% in the TTM period, highlighting improved cash generation. The operating cash flow to net income ratio is moderate at 0.27, while the free cash flow to net income ratio is healthy at 0.65, indicating good cash conversion. However, the operating cash flow has decreased compared to previous periods.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.33B	5.39B	5.49B	5.64B	5.53B	4.90B
Gross Profit	1.59B	1.63B	1.64B	1.77B	1.68B	1.61B
EBITDA	975.70M	987.30M	940.60M	1.08B	1.08B	974.80M
Net Income	385.00M	264.70M	341.60M	491.60M	506.80M	502.90M
Balance Sheet
Total Assets	7.08B	7.02B	7.20B	6.21B	6.23B	6.08B
Cash, Cash Equivalents and Short-Term Investments	282.50M	371.80M	346.10M	456.10M	561.00M	548.70M
Total Debt	4.27B	4.51B	4.79B	3.75B	3.77B	3.84B
Total Liabilities	5.89B	6.40B	6.65B	5.87B	5.98B	5.91B
Stockholders Equity	1.19B	624.50M	549.50M	344.10M	248.70M	172.50M
Cash Flow
Free Cash Flow	385.90M	507.80M	272.00M	376.00M	496.60M	555.90M
Operating Cash Flow	578.60M	728.00M	516.20M	613.30M	709.70M	737.00M
Investing Cash Flow	-169.00M	-232.50M	-1.38B	-243.00M	-125.70M	-159.80M
Financing Cash Flow	-513.80M	-432.80M	755.70M	-446.70M	-575.80M	-261.70M

Sealed Air Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 41.26
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SEE, the sentiment is Positive. The current price of 41.26 is below the 20-day moving average (MA) of 42.11, above the 50-day MA of 38.48, and above the 200-day MA of 32.51, indicating a neutral trend. The MACD of 0.72 indicates Positive momentum. The RSI at 53.87 is Neutral, neither overbought nor oversold. The STOCH value of 12.24 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SEE.

Sealed Air Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
REYN	75 Outperform	$5.10B	16.81	14.32%	3.79%	0.76%	-17.69%
SEE	71 Outperform	$6.08B	15.37	40.42%	1.93%	-1.22%	-0.76%
SLGN	68 Neutral	$4.34B	13.94	14.58%	1.94%	11.10%	6.54%
GEF	67 Neutral	$3.42B	78.96	2.08%	3.13%	-17.63%	-80.32%
SON	63 Neutral	$4.26B	4,449.48	6.39%	4.87%	8.31%	-99.39%
GPK	62 Neutral	$4.58B	9.15	16.24%	2.83%	-3.93%	-27.37%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

Sealed Air Corporate Events

Sealed Air Ends Go-Shop Period for Merger

On December 17, 2025, Sealed Air Corporation announced the expiration of the 30-day ‘go-shop’ period outlined in its merger agreement with funds affiliated with Clayton, Dubilier & Rice. The agreement, valuing the company at $10.3 billion, marks Sealed Air’s transition to becoming a privately-held entity, expected to close by mid-2026. The announcement, which involved soliciting alternative acquisition proposals without success, signals a significant shift in operations, positioning the company for potentially enhanced focus under private ownership, with implications for shareholders and its market standing.

Sealed Air Announces Departure of Food Division President

On November 20, 2025, Sealed Air Corporation announced that Steven Flannery, the President of Food, will be leaving the company effective immediately. The company confirmed that there will be no changes to the severance package entitled to Mr. Flannery as per the previously disclosed Executive Severance Plan.

Sealed Air Announces Acquisition by CD&R for $10.3B

On November 17, 2025, Sealed Air Corporation announced its acquisition by CD&R in an all-cash transaction valued at $10.3 billion, with stockholders receiving $42.15 per share, representing a 41% premium. The transaction, expected to close in mid-2026, aims to accelerate Sealed Air’s transformation and growth, enhancing its ability to invest in its Food and Protective businesses while maintaining a customer-first approach. Upon completion, Sealed Air will become a privately held company, with its headquarters remaining in Charlotte, North Carolina, and its common stock no longer traded on the NYSE.