O-I Glass (OI): Is the Stock Undervalued After Recent Momentum?

O-I Glass (OI) has been on investors’ radar after its recent stock moves, with the share price up 4% over the past month. The company’s year-to-date results show a 23% gain, sparking fresh interest in its performance.

See our latest analysis for O-I Glass.

O-I Glass’s 1-month share price return of 7.4% hints that momentum is building once again, especially on the heels of a strong year-to-date performance. The real test will be whether buyers stick around, especially since the 1-year total shareholder return of just 2.1% shows hesitation remains, despite a steadier run over five years.

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With shares trading nearly 26% below the average analyst price target and fundamentals showing a recent earnings turnaround, the question is clear: could O-I Glass be undervalued now, or is the market already pricing in future growth?

Most Popular Narrative: 16.9% Undervalued

O-I Glass's most popular narrative places a fair value of $15.89 per share on the stock, which is 16.9% above the most recent close. The market's discount suggests investors are weighing cautious optimism against turnaround hopes, with future earnings potential at the heart of the debate.

Strategic network optimization and divestiture of non-core assets, together with reduced inventories, are lowering operating costs and capital intensity. These actions are directly supporting stronger free cash flow and an improved earnings profile going forward.

Read the complete narrative.

Curious what’s powering that double-digit discount to fair value? Behind this headline number lies a dramatic shift in margins, future profit levels, and bold profitability assumptions that could flip the script on O-I Glass. Unlock the full narrative to see which quantitative levers are forecast to drive big upside and why analysts are split about the company’s next chapter.

Result: Fair Value of $15.89 (UNDERVALUED)

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

However, persistent demand weakness and increasing competition from alternative packaging could challenge O-I Glass’s turnaround. These factors could potentially dampen the case for a substantial upside.

Find out about the key risks to this O-I Glass narrative.

Build Your Own O-I Glass Narrative

If your own analysis takes a different view or you prefer to dig deeper into the details, you can shape your own perspective on O-I Glass in just a few minutes, right here: Do it your way

A great starting point for your O-I Glass research is our analysis highlighting 4 key rewards and 1 important warning sign 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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