We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Ball Corporation to Cease Production at Springdale Plant
Read MoreHide Full Article
Due to an overall decline in food-can demand, Ball Corporation recently announced that it will cease food-can production at its Springdale, AR, tinplate food and aerosol packaging manufacturing plant in fourth-quarter 2017.
Global food and aerosol-can sales unit volumes have declined in recent years primarily due to lower consumer spending. Notably, changes in preferences for products and packaging by consumers of pre-packaged food and beverage cans significantly impacted the company's sales.
The Springdale plant closure is the result of the above-mentioned factors. The plant, however, will continue to produce and assemble aerosol cans, cut and coat flat sheet steel, and produce components used by other Ball Corporation food and aerosol facilities.
Further, employees of the plant will be provided benefits, including outplacement and severance pay, in accordance with company policies. During the second quarter, Ball Corporation ramped down its Charlotte, NC regional support center. Recently, the company announced the termination of production at three beverage packaging plants in Birmingham, AL; Chatsworth, CA; and Longview, TX.
Moreover, Ball Corporation believes the decline in its food-can business is likely to persist due to timing issues with some customers. In addition, one of the company’s large customers is experimenting with an alternative substrate which remains a concern for volume.
Concerns regarding the company’s food-can business and escalating expenses have hurt Ball Corporation’s share price performance. The company has underperformed the industry to which it belongs in a year’s time. The stock has gained around 2.2%, while the industry recorded growth of 5.7%.
Zacks Rank & Stocks to Consider
Ball Corporation currently has a Zacks Rank #5 (Strong Sell).
KION GROUP has an expected long-term earnings growth rate of 7%.
Lawson Products has an expected long-term earnings growth rate of 15%.
Komatsu has an expected long-term earnings growth rate of 12.7%.
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +18.8% from 2016 - Q1 2017, our top stock-picking screens have returned +157.0%, +128.0%, +97.8%, +94.7%, and +90.2% respectively.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - Q1 2017, the composite yearly average gain for these strategies has beaten the market more than 11X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
Image: Bigstock
Ball Corporation to Cease Production at Springdale Plant
Due to an overall decline in food-can demand, Ball Corporation recently announced that it will cease food-can production at its Springdale, AR, tinplate food and aerosol packaging manufacturing plant in fourth-quarter 2017.
Global food and aerosol-can sales unit volumes have declined in recent years primarily due to lower consumer spending. Notably, changes in preferences for products and packaging by consumers of pre-packaged food and beverage cans significantly impacted the company's sales.
The Springdale plant closure is the result of the above-mentioned factors. The plant, however, will continue to produce and assemble aerosol cans, cut and coat flat sheet steel, and produce components used by other Ball Corporation food and aerosol facilities.
Ball Corporation Price
Ball Corporation Price | Ball Corporation Quote
Further, employees of the plant will be provided benefits, including outplacement and severance pay, in accordance with company policies. During the second quarter, Ball Corporation ramped down its Charlotte, NC regional support center. Recently, the company announced the termination of production at three beverage packaging plants in Birmingham, AL; Chatsworth, CA; and Longview, TX.
Moreover, Ball Corporation believes the decline in its food-can business is likely to persist due to timing issues with some customers. In addition, one of the company’s large customers is experimenting with an alternative substrate which remains a concern for volume.
Concerns regarding the company’s food-can business and escalating expenses have hurt Ball Corporation’s share price performance. The company has underperformed the industry to which it belongs in a year’s time. The stock has gained around 2.2%, while the industry recorded growth of 5.7%.
Zacks Rank & Stocks to Consider
Ball Corporation currently has a Zacks Rank #5 (Strong Sell).
Better-ranked stocks in the same sector include KION GROUP AG (KIGRY - Free Report) , Lawson Products, Inc. and Komatsu Ltd. (KMTUY - Free Report) . All three stocks flaunt a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
KION GROUP has an expected long-term earnings growth rate of 7%.
Lawson Products has an expected long-term earnings growth rate of 15%.
Komatsu has an expected long-term earnings growth rate of 12.7%.
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +18.8% from 2016 - Q1 2017, our top stock-picking screens have returned +157.0%, +128.0%, +97.8%, +94.7%, and +90.2% respectively.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - Q1 2017, the composite yearly average gain for these strategies has beaten the market more than 11X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
See Them Free>>