Avery Dennison Corporation (AVY), headquartered in Mentor, Ohio, is a leading global materials science and digital identification solutions company. Valued at $17.8 billion by market cap, the company provides a wide range of branding and information solutions. Its products and solutions include pressure-sensitive materials, radio frequency identification (RFID) inlays, tickets, tags, labels, and other converted products. The leading labeling and packaging materials and solutions provider is expected to announce its fiscal third-quarter earnings for 2024 on Wednesday, Oct. 23.

Ahead of the event, analysts expect AVY to report a profit of $2.32 per share on a diluted basis, up 10.5% from $2.10 per share in the year-ago quarter. The company has consistently surpassed Wall Street’s EPS estimates in its last four quarterly reports. 

For the full year, analysts expect AVY to report EPS of $9.41, up 19.1% from $7.90 in fiscal 2023. Its EPS is expected to rise 11.6% year over year to $10.50 in fiscal 2025. 

AVY stock has underperformed the S&P 500’s ($SPX) 33.1% gains over the past 52 weeks, with shares up 20.3% during this period. Similarly, it underperformed the Consumer Discretionary Select Sector SPDR Fund’s (XLY) 24% gains over the same time frame.

On Jul. 23, AVY shares closed down more than 1% after reporting its Q2 results. Its adjusted EPS of $2.42 exceeded Wall Street expectations of $2.25. The company’s revenue was $2.24 billion, exceeding Wall Street forecasts of $2.18 billion. AVY expects full-year adjusted EPS to be between $9.30 and $9.50.

Analysts’ consensus opinion on AVY stock is reasonably bullish, with a “Moderate Buy” rating overall. Out of 10 analysts covering the stock, six advise a “Strong Buy” rating, one suggests a “Moderate Buy” rating, two give a “Hold” rating, and one recommends a “Strong Sell.” AVY’s average analyst price target is $243.07, indicating a potential upside of 10.6% from the current levels. 

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