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Smurfit Westrock Stock: Is Wall Street Bullish or Bearish?
Yahoo Finance· 2026-02-11 13:29
Core Viewpoint - Smurfit Westrock Plc is facing ongoing margin pressures due to higher input costs and a challenging demand environment, leading to stock performance fluctuations [2][4]. Group 1: Company Overview - Smurfit Westrock Plc is a global leader in sustainable paper-based packaging, headquartered in Dublin, Ireland, with a market capitalization of $23.01 billion [1]. Group 2: Stock Performance - Over the past 52 weeks, Smurfit Westrock's stock has declined by 14.5%, but it has increased by 18.3% year-to-date (YTD) [2]. - The stock reached a 52-week low of $32.73 in November and has since risen by 39.8% from that level [2]. - In comparison, the S&P 500 Index has gained 14.4% over the past 52 weeks and 1.4% YTD, indicating that Smurfit Westrock has underperformed the broader market over the past year but outperformed year-to-date [3]. Group 3: Operational Changes - The company announced the permanent closure of a paper machine at its La Tuque, Quebec mill, which had an annual production capacity of 127,000 tons for solid bleached sulfate (SBS), due to ongoing scale and cost challenges [4]. - Additionally, the extrusion facility in Pointe-aux-Trembles, Quebec, will also be closed, aligning operations with market realities [4]. Group 4: Financial Performance - For the fourth quarter, Smurfit Westrock reported marginal growth in net sales to $7.58 billion, while adjusted EPS fell by 27.7% year-over-year (YOY) to $0.34 [4]. - Analysts expect the company's profit to increase by 36.4% YOY to $3 per share on a diluted basis for the current fiscal year [4].