BMO Capital analyst John McNulty has maintained their bullish stance on AVY stock, giving a Buy rating yesterday.
John McNulty has given his Buy rating due to a combination of factors that suggest Avery Dennison is well-positioned to handle current economic challenges. Despite some temporary setbacks in the apparel sector, particularly related to tariffs and inflationary pressures on raw materials, the company is expected to maintain stability due to its strong ties to consumer products and staples.
Additionally, Avery Dennison’s global sourcing capabilities and growth in the RFID sector are anticipated to support earnings growth even in a challenging environment. The company’s management has indicated that the impact of tariffs on input costs will be minimal and that they are taking proactive steps to mitigate these effects. Furthermore, the company’s ability to adapt to changes in the global apparel industry, combined with its significant EPS growth potential in the coming years, underpins the Buy rating.
According to TipRanks, McNulty is a 2-star analyst with an average return of 0.3% and a 47.11% success rate. McNulty covers the Basic Materials sector, focusing on stocks such as DuPont de Nemours, Air Products and Chemicals, and Chemours Company.
In another report released yesterday, Robert W. Baird also maintained a Buy rating on the stock with a $210.00 price target.