SON
Sonoco Products Co
Price:  
46.8 
USD
Volume:  
898,945
United States | Containers & Packaging

SON Fair Value

-17 %
Upside

What is the fair value of SON?

As of 2025-07-10, the Fair Value of Sonoco Products Co (SON) is 38.83 USD. This value is based on the Peter Lynch's Fair Value formula. With the current market price of 46.8 USD, the upside of Sonoco Products Co is -17%.

Is SON a good investment?

With the market price of 46.8 USD and our fair value calculation, Sonoco Products Co (SON) is not a good investment. Investing in SON stocks now will result in a potential loss of 17%.

46.8 USD
Stock Price
38.83 USD
Fair Price
FAIR VALUE CALCULATION

SON Fair Value

Peter Lynch's formula is:

SON Fair Value
= Earnings Growth Rate x TTM EPS
SON Fair Value
= 25 x 1.55
SON Fair Value
= 38.83

The earnings growth rate we use in the formula is the average growth rate of net income/earnings over the last 5 years. If the average growth rate is smaller than 5%, we set it to 5%. If it is larger than 25%, we set it to 25%. If the TTM EPS is negative, Peter Lynch Fair Value's result can be unreliable.

Historical Earnings
12-202012-202112-202212-202312-20245Y Avg
Net income207.5-85.48466.44474.96163.95245
YoY growth-28.9%-141.2%645.7%1.8%-65.5%82.4%

SON Fair Value - Peers Benchmarking

Market Cap (mil)EPS Fair Value Upside
a
Amcor PLC22,5920.45.69-41.9%
Packaging Corp of America18,3639.696.94-52.5%
Avery Dennison Corp14,3488.9223.4621.8%
Westrock Co13,2971.25.91-88.5%
Graphic Packaging Holding Co6,7712.151.37128.9%
Sealed Air Corp4,769214.49-55.3%
UFP Technologies Inc1,9098.2205.81-16.9%
Cascades Inc935-0-0.2-102.1%
Reno De Medici SpA5440.63.12115.7%
Imaflex Inc680.12.82117%

SON Fair Value - Key Data

Market Cap (mil)4,616
P/E30.1x
Forward P/E37.8x
EPS1.55
Avg earnings growth rate82.4%
TTM earnings153

SON Fair Value - Formula's Origin

Peter Lynch is one of the most legendary investors/fund managers of all time. His philosophy for stock investing is very simple and straightforward: he invests in stocks that are undervalued, meaning its P/E is less than or equal to its earnings growth rate. He believes that if a stock is trading at its fair value, the PEG ratio, which was also invented by him, should be 1.

Therefore, his formula to determine a company's fair value is:

Peter Lynch Fair Value = Earnings Growth Rate * EPS * PEG

PEG is set to 1 so we can ignore it in the calculation. Based on the formula, if the earnings growth rate of a company is 15%, Peter Lynch is willing to buy its share up to P/E = 15.