Sealed Air (SEE): Assessing a 6.9% Undervaluation After Recent Share Price Momentum

Sealed Air (SEE) has quietly outperformed the broader packaging space over the past quarter, and that kind of steady move usually signals that investors are starting to reassess the company’s earnings power and cash flow profile.

See our latest analysis for Sealed Air.

Zooming out, Sealed Air’s roughly 25% 90 day share price return stands out against a more modest 1 year total shareholder return of about 20%. This hints that positive momentum has only recently started building.

If Sealed Air’s renewed momentum has you rethinking where growth could come from next, this might be a good moment to discover fast growing stocks with high insider ownership.

With earnings growing modestly and the share price still sitting below analyst targets despite a strong recent run, the key question now is whether Sealed Air remains undervalued or if the market is already pricing in its next leg of growth.

Most Popular Narrative Narrative: 6.9% Undervalued

Against a last close of $42, the most followed narrative points to a fair value of about $45, framing Sealed Air as modestly mispriced.

The analysts have a consensus price target of $39.286 for Sealed Air based on their expectations of its future earnings growth, profit margins and other risk factors. However, there is a degree of disagreement amongst analysts, with the most bullish reporting a price target of $50.0, and the most bearish reporting a price target of just $31.0.

Read the complete narrative.

Want to see what justifies that higher fair value band? The narrative leans on rising margins, steady revenue momentum, and a lower future earnings multiple. Curious how those pieces fit together into this valuation story?

Result: Fair Value of $45.13 (UNDERVALUED)

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

However, a deeper and longer downturn in high margin beef packaging, or persistent pricing pressure in Protective, could quickly erode the upside in this narrative.

Find out about the key risks to this Sealed Air narrative.

Build Your Own Sealed Air Narrative

If this view does not quite align with your own or you would rather dig into the numbers yourself, you can build a custom perspective in just minutes: Do it your way.

A great starting point for your Sealed Air 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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