📊 SON Key Takeaways
Is Sonoco Products Co (SON) a Good Investment?
Sonoco exhibits severe financial distress with negative free cash flow of $430M, indicating the company is destroying value despite positive net income. Critical liquidity crisis emerges with current ratio of 0.96 and interest coverage of only 1.0x, while carrying $3.5B in debt with negligible returns (ROE 1.9%, ROA 0.6%) and zero revenue growth.
Sonoco Products Co Key Strengths (SON)
- Stable industry position in essential paperboard packaging segment
- Positive gross margin of 20.6% demonstrates operational viability
- Operating income of $127.1M shows core business remains profitable
SON Stock Risks: Sonoco Products Co Investment Risks
- Severe negative free cash flow of $430M with negative operating cash flow despite positive net income
- Acute liquidity crisis: current ratio 0.96, quick ratio 0.57, with $3.5B debt against $3.6B equity
- Interest coverage ratio of 1.0x provides no buffer; one downturn could trigger covenant violations
- Zero revenue growth and stagnant profitability indicate structural market challenges
- Extreme returns on capital (ROE 1.9%, ROA 0.6%) suggest value destruction
Key Metrics to Watch
- Operating cash flow stabilization and path to positive free cash flow
- Interest coverage ratio maintenance and debt covenant compliance status
- Current and quick ratio trends indicating liquidity runway
- Revenue growth initiation and operating margin expansion
Sonoco Products Co (SON) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
SON Profit Margin, ROE & Profitability Analysis
SON vs Materials Sector: How Sonoco Products Co Compares
How Sonoco Products Co compares to Materials sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Sonoco Products Co Stock Overvalued? SON Valuation Analysis 2026
Based on fundamental analysis, Sonoco Products Co shows some fundamental concerns relative to the Materials sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Sonoco Products Co Balance Sheet: SON Debt, Cash & Liquidity
SON Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Sonoco Products Co's revenue has grown significantly by 34% over the 5-year period, indicating strong business expansion. The most recent EPS of $4.80 reflects profitable operations.
SON Revenue Growth, EPS Growth & YoY Performance
SON Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $1.7B | $54.4M | $0.55 |
| Q3 2025 | $1.4B | $50.9M | $0.51 |
| Q2 2025 | $1.3B | $90.8M | $0.92 |
| Q1 2025 | $1.3B | $54.4M | $0.55 |
| Q3 2024 | $1.7B | $50.9M | $0.51 |
| Q2 2024 | $1.6B | $90.8M | $0.92 |
| Q1 2024 | $1.6B | $65.2M | $0.66 |
| Q3 2023 | $1.7B | $122.2M | $1.24 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Sonoco Products Co Dividends, Buybacks & Capital Allocation
SON SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Sonoco Products Co (CIK: 0000091767)
📋 Recent SEC Filings
❓ Frequently Asked Questions about SON
What is the AI rating for SON?
Sonoco Products Co (SON) has an AI grade of D with 88% confidence, based on fundamental analysis of SEC EDGAR filings.
What are SON's key strengths?
Claude: Stable industry position in essential paperboard packaging segment. Positive gross margin of 20.6% demonstrates operational viability.
What are the risks of investing in SON?
Claude: Severe negative free cash flow of $430M with negative operating cash flow despite positive net income. Acute liquidity crisis: current ratio 0.96, quick ratio 0.57, with $3.5B debt against $3.6B equity.
What is SON's revenue and growth?
Sonoco Products Co reported revenue of $1.7B.
Does SON pay dividends?
Sonoco Products Co pays dividends, with $52.4M distributed to shareholders in the trailing twelve months.
Where can I find SON SEC filings?
Official SEC filings for Sonoco Products Co (CIK: 0000091767) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is SON's EPS?
Sonoco Products Co has a diluted EPS of $0.68.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is SON's fundamental grade?
Based on our AI fundamental analysis in May 2026, Sonoco Products Co has a D grade with 88% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is SON stock overvalued or undervalued?
Valuation metrics for SON: ROE of 1.9% (sector avg: 14%), net margin of 4.0% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.
What is SON's AI grade for 2026?
Our dual AI analysis gives Sonoco Products Co a combined D grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is SON's free cash flow?
Sonoco Products Co's operating cash flow is $-367.9M, with capital expenditures of $62.1M. FCF margin is -25.6%.
How does SON compare to other Materials stocks?
Vs Materials sector averages: Net margin 4.0% (avg: 10%), ROE 1.9% (avg: 14%), current ratio 0.96 (avg: 1.6).