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Jesup & Lamont Initiates Coverage on Sonoco (SON) with a Buy

May 29, 2009 9:42 AM EDT
SON Hot Sheet
Rating Summary:
    4 Buy, 7 Hold, 1 Sell

Rating Trend: = Flat

Today's Overall Ratings:
    Up: 16 | Down: 7 | New: 23
Jesup & Lamont initiates coverage on Sonoco Products (NYSE: SON) with a Buy. Price target $30.

Jesup analyst says, "Imminent liquidity issues among SON's two largest tube and core competitors will provide an opportunity for the company to offset division volume declines in the tube and core products. SON's Consumer Segment should ramp up volumes of recently introduced products, expand operating margins and announce new product wins in 2H09. We believe the market share gains and continued growth in the Consumer Segment will enable Sonoco to emerge from the economic recession with greater earnings power. Strong cash flow will lead to further debt reduction and continued high payout ratio (currently around 30% of cash flow from operations)."

To see more analyst ratings on SON Click Here.

Sonoco Products Company (Sonoco) is a manufacturer of industrial and consumer packaging products and a provider of packaging services, with 327 locations in 35 countries.

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