Avery Dennison Corp. (AVY)

Avery Dennison's (AVY - Analyst Report) third quarter adjusted EPS of $0.48 fell short of the Zacks Consensus Estimate of $0.59 and the $0.62 in the year-ago quarter. Avery Dennison has reduced its fiscal 2011 EPS guidance to between $2.15 and $2.30 due to apprehensions of continued weakness in volumes.

The Office and consumer products segment s volumes and sales have shown continued weakness due to weak end market demand and increased competition in the label category. Margins have been affected due to increased investment in demand creation, consumer promotions, and innovation, as well as lower volume.

Given lower volume expectations, higher tax rate and weak results in two of its largest businesses -- Pressure-Sensitive Materials and Retail Branding and Information Solutions -- we downgrade our recommendation from Neutral to Underperform with a target price of $26.00.

Avery Dennison Corp. (AVY) : FULL ANALYST REPORT

Bear of the Day

Every day we feature one stock with a Zacks Recommendation of Sell that is set to underperform over the next 6+ months. We also provide you with free access to the in-depth research report on the stock. If you would like to see all our Buy and Sell rated stocks and in-depth research reports, then check out Zacks Premium.

Read the full analyst report on AVY

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Email	Print	Share	Rate Pos	Rate Neg

Zacks Blog: Zacks Bull and Bear of the Day Highlights: Eaton, Avery Dennison, Duke Energy, Westar Energy and Progress Energy
(ETN, AVY, DUK, WR, PGN)	04/30/12

Zacks Blog: Newell Beats, Reiterates Outlook
(AVY, NWL, JAH, CBE, BEAM)	04/27/12

Zacks Blog: Mixed Quarter for Bemis
(BMS, AVY, SEE)	04/26/12

Zacks Blog: Avery Dennison Trumps Estimates
(AVY, MMM, BMS)	04/25/12

Zacks Blog: 3M Beats Estimate
(MMM, AVY, DD, JNJ)	04/24/12

DJIA	12496.15	-6.66	-0.05%
NASD	2850.12	0.00	0.00%
S&P 500	1318.86	2.23	0.17%

Avery Dennison Corp. (AVY)

Related Content

More Zacks Resources

More Zacks Links