Sealed Air Set to Report Q2 Earnings: What Lies Ahead for the Stock?

Core Insights - Sealed Air Corporation (SEE) is set to report its second-quarter 2025 results on August 5, with net sales estimated at $1.32 billion, reflecting a 1.9% decline year-over-year [1][6] - The consensus estimate for earnings is 72 cents per share, indicating a year-over-year decline of 13.3% and a 1.4% decrease in estimates over the past 60 days [2][6] Financial Performance - Sealed Air has a history of exceeding earnings estimates, with an average surprise of 20.6% over the last four quarters [4] - The company's earnings per share (EPS) for the last four quarters were reported as follows: 0.81, 0.75, 0.79, and 0.83, with respective surprises of 20.90%, 11.94%, 19.70%, and 29.69% [5][4] Segment Analysis - The Food segment is projected to generate net sales of $891 million, a 0.3% decline from the previous year, with a slight volume decrease of 0.2% [10][9] - The Protective segment is expected to see net sales of $424 million, down 6% year-over-year, continuing a trend of volume declines for 13 consecutive quarters [11][8] - Overall, Sealed Air's volumes are anticipated to dip by 1.7%, with a minimal pricing growth of 0.1% for the quarter [11] Strategic Initiatives - The company's "Reinvent SEE Strategy" is expected to enhance productivity and mitigate supply chain challenges, positively impacting operating margins in the upcoming quarter [12] Stock Performance - Over the past year, Sealed Air's stock has decreased by 20%, compared to a 7.9% decline in the industry [13]