Assessing Amcor (NYSE:AMCR) Valuation as a 1‑for‑5 Reverse Stock Split Reshapes Its Share Structure

Amcor (NYSE:AMCR) just confirmed it will move ahead with a 1 for 5 reverse stock split in mid January 2026, a structural shift that will immediately reshape the share count and optics.

See our latest analysis for Amcor.

That move lands after a choppy stretch where the 1 year total shareholder return is down 6.6 percent, and the year to date share price return of negative 11.3 percent signals fading momentum despite underlying earnings growth.

If this shake up has you rethinking where to look next, it might be worth scanning fast growing stocks with high insider ownership for other companies where insiders are backing the growth story with their own capital.

With earnings still growing, the share price lagging, and analysts seeing upside from here, the key question is whether Amcor is quietly undervalued or if the market is already pricing in its next leg of growth.

Most Popular Narrative Narrative: 20.4% Undervalued

With Amcor last closing at $8.29 versus a narrative fair value near $10.41, the gap hinges on aggressive synergy capture and margin rebuild.

The integration of Berry Global with Amcor is expected to yield $650 million in synergies by fiscal 2028 (with $260 million in fiscal 2026), primarily through cost reduction, procurement optimization, and operational efficiencies, which should support sustained EPS and margin expansion. The combined product and technology portfolio following the Berry acquisition allows Amcor to address evolving e commerce and home delivery trends, offering advanced packaging solutions suited to these markets, which can drive incremental volume and revenue opportunities over the medium to long term.

Read the complete narrative.

Curious how much earnings power those synergies could unlock, and what kind of revenue trajectory and profit margin reset sits behind that fair value? The narrative leans on a multi year jump in top line growth, a sharp profitability uplift, and a richer future earnings multiple that does not usually get attached to a mature packaging name.

Result: Fair Value of $10.41 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, persistent volume softness and slower than expected Berry integration could quickly erode the upside case and force a rethink on margins and valuation.

Find out about the key risks to this Amcor narrative.

Another Way Of Looking At Value

On earnings, the picture flips. Amcor trades on about 32.9 times profits versus roughly 20 times for both peers and the wider North American packaging space, and above a fair ratio near 24.7 times, which hints at valuation stretch rather than hidden bargain. Is the premium really justified?

See what the numbers say about this price — find out in our valuation breakdown.

Build Your Own Amcor Narrative

If this view does not quite align with your own, or you prefer to dig into the numbers yourself, you can build a custom Amcor storyline in just a few minutes, Do it your way.

A great starting point for your Amcor research is our analysis highlighting 3 key rewards and 5 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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