Dublin, Ireland-based Smurfit Westrock Plc (SW) manufactures, distributes, and sells containerboard, corrugated containers, and other paper-based packaging products. Valued at a market cap of $25.5 billion, the company primarily serves food and beverage, e-commerce, retail, consumer goods, industrial, and foodservice markets. It is expected to announce its fiscal Q2 earnings for 2025 before the market opens on Wednesday, July 30.
Ahead of this event, analysts expect this packaging company to report a profit of $0.57 per share, down 17.4% from $0.69 per share in the year-ago quarter. The company has missed Wall Street’s earnings estimates in three of the last four quarters, while topping on another occasion. In Q1, SW’s EPS of $0.73 outpaced the forecasted figure by 12.3%.
For fiscal 2025, analysts expect SW to report a profit of $2.88 per share, up 38.5% from $2.08 per share in fiscal 2024. Furthermore, its EPS is expected to grow 22.6% year-over-year to $3.53 in fiscal 2026.
SW stock has gained 2.4% over the past 52 weeks, lagging behind both the S&P 500 Index's ($SPX) 18.3% rise and the Consumer Discretionary Select Sector SPDR Fund’s (XLY) 24.5% return over the same time frame.
On May 1, SW plummeted 3.7% after its Q1 earnings release. The company posted revenue of $7.7 billion, marking a significant 161.3% year-over-year (YoY) increase. Its adjusted EBITDA also rose sharply by 163.6% annually to $1.3 billion, with the adjusted EBITDA margin improving by 20 basis points to 16.4%.
Good results across all three segments, with notable progress in North America, supported its results. Additionally, its EPS remained flat at $0.73 over the past year, but topped the analyst expectations of $0.73.
Wall Street analysts are highly optimistic about SW’s stock, with an overall "Strong Buy" rating. Among 14 analysts covering the stock, 10 recommend "Strong Buy," two indicate "Moderate Buy," and two advise “Hold.” The mean price target for SW is $56.07, indicating a 14.8% potential upside from the current levels.
