HBK Sorce Advisory LLC has significantly expanded its holdings in Sonoco Products Company (NYSE:SON) by acquiring 20,220 shares during the third quarter of 2023. The transaction is valued at approximately $862,000, reflecting the fund’s confidence in the industrial products company.
Institutional Investments Surge
This acquisition follows a trend of increasing investment in Sonoco Products by various institutional investors. Notably, Raymond James Financial Inc. raised its stake by 11.0% in the first quarter, bringing its total ownership to 136,553 shares, valued at around $6.45 million. Similarly, Northwestern Mutual Wealth Management Co. increased its holdings by an impressive 103.3%, now owning 4,100 shares worth approximately $194,000.
Other notable transactions include Quarry LP, which increased its position by 56.5%, and Ancora Advisors LLC, which lifted its stake by 14.7%, now holding 33,477 shares valued at about $1.58 million. Institutional investors collectively own 77.69% of Sonoco’s stock, indicating strong institutional confidence in the company.
Insider Trading Activity
In addition to institutional investments, insider trading activity has also been noteworthy. Chief Financial Officer Paul Joachimczyk purchased 20,500 shares on October 29, at an average price of $39.50 per share, totaling $809,750. This acquisition increased his ownership significantly, reflecting a strong belief in the company’s future prospects.
Director John R. Haley also participated in insider buying, acquiring 2,506 shares at an average price of $39.87 per share on October 28, for a total of $99,914.22. Following this transaction, his total shareholding rose to 23,310 shares, valued at approximately $929,369.70.
Financial Performance and Market Standing
As of the latest trading session, Sonoco Products Company opened at $43.97. The company has experienced fluctuations, with a one-year low of $38.65 and a high of $50.09. Sonoco’s market capitalization stands at $4.34 billion, accompanied by a price-to-earnings ratio of 6.98 and a price-to-earnings-growth ratio of 0.80. The company also maintains a debt-to-equity ratio of 1.14, with a current ratio of 0.92 and a quick ratio of 0.58.
In its latest quarterly earnings report, released on June 22, Sonoco reported earnings of $1.00 per share, with a net margin of 8.82%. The company generated revenues of $1.35 billion for the quarter. Looking ahead, analysts predict earnings per share of 6.1 for the current year.
Dividend Announcement
Sonoco also announced a quarterly dividend of $0.53 per share, which was paid to investors of record on November 10. This represents an annualized dividend of $2.12 and a yield of 4.8%. The company’s dividend payout ratio currently stands at 33.65%, demonstrating a commitment to returning value to shareholders.
As a global provider of diversified packaging solutions, Sonoco serves various sectors, including food and beverage, personal care, and healthcare. With operations spanning over 30 countries, the company continues to leverage its extensive network to meet the evolving needs of its clients.
For more detailed insights into Sonoco Products and its performance, stakeholders can access additional resources and updates through credible financial news platforms.
