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Amcor (AMCR) Unveils Recycle Technology for Small Plastic Bottles
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Amcor plc’s (AMCR - Free Report) Rigid Packaging (ARP) segment unveils an advanced technology that will enable small bottles to recycle.
ARP is applying this technology to 50 ml spirits bottles, which are served as little liquor bottles on airplanes. These bottles tend to be lost in the recycling process at most U.S. material recycling facilities (MRFs) due to their small size, in spite of their material being infinitely recyclable. They slip out of the sorting process, where broken glass is separated for disposal.
With a collapsed width of more than 5 cm, ARP’s new design allows these bottles to smoothly pass this step in the process, resulting which they no more slip through the cracks. The latest innovation supports Amcor's commitment to making all of the company’s packaging to be recyclable by 2025. Consumers’ growing awareness and consequent increase in demand for sustainable packaged products is a major growth scope for the company. Amcor has doubled the use of post-consumer recycled resin (PCR) in the last two years.
The company reported first-quarter fiscal 2022 adjusted earnings per share of 18 cents, which came in line with the Zacks Consensus Estimate. The bottom line increased 13% year over year from the 16 cents reported in the prior-year quarter. Revenues of $3,420 million rose 10% year over year and surpassed the consensus mark of $3,276 million.
Backed by its strong balance sheet and annual free cash flow in excess of $1 billion, Amcor continues to invest in growth and expand capacity in higher-growth segments like healthcare, protein and premium coffee or hot fill beverage containers and barrier films. Emerging markets will continue to be a key driver of organic growth. The company has more than $3 billion in annual sales from 27 profitable emerging market businesses. To meet ever-evolving consumer needs through innovation and stay ahead of the curve, the company invests around $100 million annually in R&D. In April, it announced a strategic investment in ePac, a relatively new start-up in the flexible packaging space. It is building two new state-of-the-art innovation centers at Ghent, Belgium and Jiangyin, China that will complement existing innovation centers in North America.
Amcor has begun constructing a new greenfield plant in China to add capacity to its business in high-growth market. The new state-of-the-art plant will be the largest in Amcor's China network and will commence operations by the end of calendar 2022 to support a range of global and local customers, primarily in the food and personal care segments.
Share Price Performance
In the past year, Amcor’s shares have gained 8.1% compared with the industry’s growth of 17.6%.
Encore Wire has an expected earnings growth rate of around 491% for the current year. The Zacks Consensus Estimate for the current-year earnings has been revised 37% upward in the past 60 days.
Encore Wire’s shares have surged 171% in the past year. The company has a trailing four-quarters earnings surprise of 271%, on average.
Heritage-Crystal has a projected earnings growth rate of around 553% for 2021. The Zacks Consensus Estimate for the current-year earnings has been revised upward by 9.3% in the past 60 days.
The company’s shares have appreciated 65% in a year. Heritage-Crystal has a trailing four-quarter earnings surprise of 62.3%, on average. It has a long-term earnings growth of 15%.
Casella Waste has an estimated earnings growth rate of around 6% for the current year. In the past 60 days, the Zacks Consensus Estimate for the current-year earnings has been revised upward by 11.4%.
The company’s shares have increased 44% in the past year. Casella Waste has a trailing four-quarter earnings surprise of 42.1%, on average. It has a long-term earnings growth of 14.2%.
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Amcor (AMCR) Unveils Recycle Technology for Small Plastic Bottles
Amcor plc’s (AMCR - Free Report) Rigid Packaging (ARP) segment unveils an advanced technology that will enable small bottles to recycle.
ARP is applying this technology to 50 ml spirits bottles, which are served as little liquor bottles on airplanes. These bottles tend to be lost in the recycling process at most U.S. material recycling facilities (MRFs) due to their small size, in spite of their material being infinitely recyclable. They slip out of the sorting process, where broken glass is separated for disposal.
With a collapsed width of more than 5 cm, ARP’s new design allows these bottles to smoothly pass this step in the process, resulting which they no more slip through the cracks. The latest innovation supports Amcor's commitment to making all of the company’s packaging to be recyclable by 2025. Consumers’ growing awareness and consequent increase in demand for sustainable packaged products is a major growth scope for the company. Amcor has doubled the use of post-consumer recycled resin (PCR) in the last two years.
The company reported first-quarter fiscal 2022 adjusted earnings per share of 18 cents, which came in line with the Zacks Consensus Estimate. The bottom line increased 13% year over year from the 16 cents reported in the prior-year quarter. Revenues of $3,420 million rose 10% year over year and surpassed the consensus mark of $3,276 million.
Backed by its strong balance sheet and annual free cash flow in excess of $1 billion, Amcor continues to invest in growth and expand capacity in higher-growth segments like healthcare, protein and premium coffee or hot fill beverage containers and barrier films. Emerging markets will continue to be a key driver of organic growth. The company has more than $3 billion in annual sales from 27 profitable emerging market businesses. To meet ever-evolving consumer needs through innovation and stay ahead of the curve, the company invests around $100 million annually in R&D. In April, it announced a strategic investment in ePac, a relatively new start-up in the flexible packaging space. It is building two new state-of-the-art innovation centers at Ghent, Belgium and Jiangyin, China that will complement existing innovation centers in North America.
Amcor has begun constructing a new greenfield plant in China to add capacity to its business in high-growth market. The new state-of-the-art plant will be the largest in Amcor's China network and will commence operations by the end of calendar 2022 to support a range of global and local customers, primarily in the food and personal care segments.
Share Price Performance
In the past year, Amcor’s shares have gained 8.1% compared with the industry’s growth of 17.6%.
Zacks Rank & Stocks to Consider
Amcor currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the Industrial Products sector include Encore Wire Corporation (WIRE - Free Report) , Heritage-Crystal Clean, Inc. and Casella Waste Systems, Inc. (CWST - Free Report) . All of these stocks flaunt a Zacks Rank #1 (Strong Buy), at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Encore Wire has an expected earnings growth rate of around 491% for the current year. The Zacks Consensus Estimate for the current-year earnings has been revised 37% upward in the past 60 days.
Encore Wire’s shares have surged 171% in the past year. The company has a trailing four-quarters earnings surprise of 271%, on average.
Heritage-Crystal has a projected earnings growth rate of around 553% for 2021. The Zacks Consensus Estimate for the current-year earnings has been revised upward by 9.3% in the past 60 days.
The company’s shares have appreciated 65% in a year. Heritage-Crystal has a trailing four-quarter earnings surprise of 62.3%, on average. It has a long-term earnings growth of 15%.
Casella Waste has an estimated earnings growth rate of around 6% for the current year. In the past 60 days, the Zacks Consensus Estimate for the current-year earnings has been revised upward by 11.4%.
The company’s shares have increased 44% in the past year. Casella Waste has a trailing four-quarter earnings surprise of 42.1%, on average. It has a long-term earnings growth of 14.2%.