Avery Dennison Reports Strong 2025 Financial Results
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Should l Buy AVY?
Source: Businesswire
- Adjusted EPS: In 2025, Avery Dennison achieved an adjusted EPS of $9.53, demonstrating the resilience of its business model despite tariff impacts and softer consumer demand, thus reflecting strong financial performance.
- Free Cash Flow Generation: The company generated over $700 million in adjusted free cash flow in 2025 while maintaining a 16.4% adjusted EBITDA margin, indicating that its effective productivity strategies played a crucial role in sustaining profitability.
- Shareholder Returns: In 2025, Avery Dennison returned $861 million to shareholders through dividends and share repurchases, showcasing disciplined capital allocation and enhancing shareholder trust and satisfaction.
- Future Outlook: The company expects first-quarter 2026 EPS to range from $2.27 to $2.33, with adjusted EPS projected between $2.40 and $2.46, excluding restructuring charges, reflecting confidence in future growth.
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Analyst Views on AVY
Wall Street analysts forecast AVY stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for AVY is 205.38 USD with a low forecast of 188.00 USD and a high forecast of 234.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
8 Analyst Rating
7 Buy
1 Hold
0 Sell
Strong Buy
Current: 187.090
Low
188.00
Averages
205.38
High
234.00
Current: 187.090
Low
188.00
Averages
205.38
High
234.00
About AVY
Avery Dennison Corporation is a global materials science and digital identification solutions company. The Company provides a range of branding and information solutions that optimize labor and supply chain efficiency, reduce waste, advance sustainability, circularity and transparency, and connect brands and consumers. Its Materials Group segment manufactures and sells pressure-sensitive label materials, films for graphic and reflective products, performance tapes and other adhesive products for industrial, medical and other applications, as well as fastener solutions. Its Solutions Group segment designs, manufactures and sells a variety of branding and information solutions, including brand and price tickets, tags and labels (including radio-frequency identification (RFID) inlays), and related services, supplies and equipment. It serves an array of industries worldwide, including home and personal care, apparel, general retail, e-commerce, logistics, food and grocery, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Avery Dennison Set to Announce Q4 Earnings on February 4
- Earnings Announcement: Avery Dennison is set to release its Q4 earnings on February 4 before the market opens, with consensus EPS estimated at $2.38, indicating stable profitability year-over-year.
- Revenue Expectations: The anticipated revenue for Q4 is $2.28 billion, reflecting a 4.1% year-over-year growth, showcasing the company's robust growth potential despite economic uncertainties.
- Historical Performance: Over the past two years, Avery Dennison has beaten EPS estimates 50% of the time, indicating consistency in market analysis, but also highlighting significant performance volatility.
- Estimate Revisions: In the last three months, EPS estimates have seen no upward revisions and three downward adjustments, while revenue estimates have faced four downward revisions, suggesting a cautious market outlook on the company's future performance.
See More
Avery Dennison Q4 Earnings Beat Expectations Despite Revenue Miss
- Earnings Beat: Avery Dennison (AVY) reported adjusted earnings of $2.45 per share for Q4, surpassing analysts' expectations of $2.38, demonstrating the company's profitability and resilience in a dynamic environment.
- Revenue Growth Lags: Although revenue increased by 4% year-over-year to $2.27 billion, it fell short of Wall Street's forecast of $2.28 billion, reflecting weak market demand and pricing pressures.
- Significant Shareholder Returns: In Q4, Avery returned $191 million to shareholders through dividends and share repurchases, with total shareholder returns for the year reaching $861 million, highlighting the company's ongoing commitment to its investors.
- Optimistic Outlook: The company forecasts Q1 2026 earnings between $2.27 and $2.33 per share, with adjusted earnings expected to be between $2.40 and $2.46, aligning with market expectations and indicating management's confidence in future performance.
See More
Avery Dennison Reports Q4 Net Income Decline Despite Sales Increase
- Net Income Decline: Avery Dennison reported a net income of $166.4 million for Q4, down from $174 million last year, indicating challenges in cost management despite increased sales.
- Slight EPS Drop: The earnings per share stood at $2.15, a slight decrease from $2.16 year-over-year, reflecting a minor weakening in profitability, although adjusted EPS increased.
- Sales Growth: The company achieved net sales of $2.27 billion in Q4, up from $2.19 billion the previous year, indicating strong market demand, yet this did not translate into improved net income.
- Future Outlook: Avery Dennison expects Q1 2026 earnings per share to range between $2.27 and $2.33, demonstrating cautious optimism for future performance despite current profitability pressures.
See More
Avery Dennison Declares Quarterly Dividend of $0.94
- Quarterly Dividend Announcement: Avery Dennison has declared a quarterly dividend of $0.94 per share, consistent with previous distributions, indicating the company's stable cash flow and profitability, which is likely to attract income-seeking investors.
- Dividend Yield: The forward yield of 2.01% reflects the company's appeal in the current market environment, potentially increasing investor interest in its stock as a reliable income source.
- Payment Schedule: The dividend is payable on March 18, with a record date of March 4 and an ex-dividend date also on March 4, providing shareholders with a clear timeline that aids in financial planning.
- Market Reaction Expectations: Although the dividend announcement does not present any major surprises, the stable dividend policy may help support the stock price to some extent, particularly amid market volatility, thereby bolstering investor confidence.
See More
Avery Dennison Q4 2025 Earnings Beat Expectations
- Earnings Beat: Avery Dennison reported a Q4 non-GAAP EPS of $2.45, exceeding expectations by $0.07, indicating stable profitability amidst market challenges.
- Revenue Miss: The total revenue of $2.27 billion, up 3.7% year-over-year, fell short of expectations by $10 million, reflecting weak market demand and increased competitive pressures.
- Stable Sales Performance: Excluding currency effects, sales increased by 1% year-over-year, suggesting that the company's core market performance remained consistent with the previous year, indicating stable market share.
- Cautious Outlook: The company provided Q1 2026 EPS guidance of $2.27 to $2.33, with adjusted EPS guidance of $2.40 to $2.46, slightly above consensus, reflecting management's cautious optimism about future performance.
See More
Avery Dennison Reports Q4 Earnings Decline
- Earnings Decline: Avery Dennison reported a net income of $166.4 million for Q4, translating to $2.15 per share, which is a decrease from $174.0 million and $2.16 per share in the same quarter last year, indicating pressure on profitability.
- Adjusted Earnings Resilience: Excluding items, the adjusted earnings stood at $189.4 million or $2.45 per share, reflecting some resilience in earnings despite the overall decline in net income.
- Revenue Growth: The company's revenue for the fourth quarter rose by 3.9% to $2.271 billion compared to $2.185 billion last year, showcasing a positive sales performance amidst challenging conditions.
- Future Guidance: The company provided EPS guidance for the next quarter in the range of $2.40 to $2.46, indicating management's confidence in a potential recovery despite the current earnings decline.
See More
Avery Dennison Set to Announce Q4 Earnings on February 4
- Earnings Announcement: Avery Dennison is set to release its Q4 earnings on February 4 before the market opens, with consensus EPS estimated at $2.38, indicating stable profitability year-over-year.
- Revenue Expectations: The anticipated revenue for Q4 is $2.28 billion, reflecting a 4.1% year-over-year growth, showcasing the company's robust growth potential despite economic uncertainties.
- Historical Performance: Over the past two years, Avery Dennison has beaten EPS estimates 50% of the time, indicating consistency in market analysis, but also highlighting significant performance volatility.
- Estimate Revisions: In the last three months, EPS estimates have seen no upward revisions and three downward adjustments, while revenue estimates have faced four downward revisions, suggesting a cautious market outlook on the company's future performance.
See More
Avery Dennison Q4 Earnings Beat Expectations Despite Revenue Miss
- Earnings Beat: Avery Dennison (AVY) reported adjusted earnings of $2.45 per share for Q4, surpassing analysts' expectations of $2.38, demonstrating the company's profitability and resilience in a dynamic environment.
- Revenue Growth Lags: Although revenue increased by 4% year-over-year to $2.27 billion, it fell short of Wall Street's forecast of $2.28 billion, reflecting weak market demand and pricing pressures.
- Significant Shareholder Returns: In Q4, Avery returned $191 million to shareholders through dividends and share repurchases, with total shareholder returns for the year reaching $861 million, highlighting the company's ongoing commitment to its investors.
- Optimistic Outlook: The company forecasts Q1 2026 earnings between $2.27 and $2.33 per share, with adjusted earnings expected to be between $2.40 and $2.46, aligning with market expectations and indicating management's confidence in future performance.
See More
Avery Dennison Reports Q4 Net Income Decline Despite Sales Increase
- Net Income Decline: Avery Dennison reported a net income of $166.4 million for Q4, down from $174 million last year, indicating challenges in cost management despite increased sales.
- Slight EPS Drop: The earnings per share stood at $2.15, a slight decrease from $2.16 year-over-year, reflecting a minor weakening in profitability, although adjusted EPS increased.
- Sales Growth: The company achieved net sales of $2.27 billion in Q4, up from $2.19 billion the previous year, indicating strong market demand, yet this did not translate into improved net income.
- Future Outlook: Avery Dennison expects Q1 2026 earnings per share to range between $2.27 and $2.33, demonstrating cautious optimism for future performance despite current profitability pressures.
See More
Avery Dennison Declares Quarterly Dividend of $0.94
- Quarterly Dividend Announcement: Avery Dennison has declared a quarterly dividend of $0.94 per share, consistent with previous distributions, indicating the company's stable cash flow and profitability, which is likely to attract income-seeking investors.
- Dividend Yield: The forward yield of 2.01% reflects the company's appeal in the current market environment, potentially increasing investor interest in its stock as a reliable income source.
- Payment Schedule: The dividend is payable on March 18, with a record date of March 4 and an ex-dividend date also on March 4, providing shareholders with a clear timeline that aids in financial planning.
- Market Reaction Expectations: Although the dividend announcement does not present any major surprises, the stable dividend policy may help support the stock price to some extent, particularly amid market volatility, thereby bolstering investor confidence.
See More
Avery Dennison Q4 2025 Earnings Beat Expectations
- Earnings Beat: Avery Dennison reported a Q4 non-GAAP EPS of $2.45, exceeding expectations by $0.07, indicating stable profitability amidst market challenges.
- Revenue Miss: The total revenue of $2.27 billion, up 3.7% year-over-year, fell short of expectations by $10 million, reflecting weak market demand and increased competitive pressures.
- Stable Sales Performance: Excluding currency effects, sales increased by 1% year-over-year, suggesting that the company's core market performance remained consistent with the previous year, indicating stable market share.
- Cautious Outlook: The company provided Q1 2026 EPS guidance of $2.27 to $2.33, with adjusted EPS guidance of $2.40 to $2.46, slightly above consensus, reflecting management's cautious optimism about future performance.
See More
Avery Dennison Reports Q4 Earnings Decline
- Earnings Decline: Avery Dennison reported a net income of $166.4 million for Q4, translating to $2.15 per share, which is a decrease from $174.0 million and $2.16 per share in the same quarter last year, indicating pressure on profitability.
- Adjusted Earnings Resilience: Excluding items, the adjusted earnings stood at $189.4 million or $2.45 per share, reflecting some resilience in earnings despite the overall decline in net income.
- Revenue Growth: The company's revenue for the fourth quarter rose by 3.9% to $2.271 billion compared to $2.185 billion last year, showcasing a positive sales performance amidst challenging conditions.
- Future Guidance: The company provided EPS guidance for the next quarter in the range of $2.40 to $2.46, indicating management's confidence in a potential recovery despite the current earnings decline.
See More
