10 Best Packaging Stocks to Buy According to Analysts

2. Pactiv Evergreen Inc. (NASDAQ:PTVE)

Average Upside Potential: 23.46%

Number of Hedge Fund Holders: 16

Pactiv Evergreen Inc. (NASDAQ:PTVE) is a leading manufacturer of fresh food and beverage packaging in North America. The firm’s products range from food containers, hot and cold cups, plates and bowls, lids, wraps, and cutlery to meat and poultry trays, egg cartons, and reclosable beverage cartons. PTVE supplies its products to full and quick-service restaurants, food and beverage producers, supermarkets, food service distributors, retailers, food packers, and processors.

PTVE serves as a powerhouse in the fresh food and beverage packaging industry with a large, well-invested manufacturing base and a hub-and-spoke distribution network. The firm has over 14,000 employees across more than 50 manufacturing facilities in North America. It has a broad portfolio encompassing over 14,000 individual products in fourteen different materials. The company is a trusted partner to leading global brands and creates innovative products used 5 billion times each week in the United States alone.

The second quarter marked a significant milestone in the transformational journey of PTVE as it announced an agreement to sell its Pine Bluff mill and Waynesville extrusion facility to Suzano, which will enable the firm to focus on its core North American converting operations. However, the overall second-quarter results were impacted by end-market weakness and temporary operational disruptions at Pine Bluff Mill. PTVE is also implementing Footprint Optimization strategic initiative to optimize its manufacturing and warehousing footprint. This move is expected to improve operating efficiency and result in meaningful cost savings beginning in 2025 and beyond.

Pactiv Evergreen Inc. (NASDAQ:PTVE) is another attractive packaging stock to buy according to analysts. The firm has a leading position in food and beverage packaging with broad material expertise and an extensive manufacturing and distribution network.