Latest Ratios: P/E Ratio -24.1x · EV/EBITDA 25.5x · ROE 13.4%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $5.0B | $4.3B | $4.9B | $5.5B | $6.0B | $5.8B | $6.0B | $6.2B | $5.4B | $5.4B | $5.4B |
| Enterprise Value | $9.2B | $8.6B | $11.7B | $8.6B | $9.3B | $7.4B | $7.4B | $8.1B | $6.6B | $6.6B | $6.2B |
| P/E Ratio → | -24.10 | 10.96 | 29.61 | 11.64 | 12.86 | — | 28.90 | 21.43 | 17.14 | 30.54 | 18.75 |
| P/S Ratio | 0.68 | 0.58 | 0.91 | 1.02 | 1.02 | 1.03 | 1.14 | 1.16 | 1.00 | 1.06 | 1.12 |
| P/B Ratio | 1.38 | 1.20 | 2.12 | 2.27 | 2.89 | 3.12 | 3.14 | 3.44 | 3.01 | 3.06 | 3.40 |
| P/FCF | 12.47 | 12.57 | 11.01 | 10.63 | 33.25 | 135.19 | 11.72 | 27.16 | 12.73 | 32.34 | 25.29 |
| P/OCF | 7.23 | 6.30 | 5.82 | 6.26 | 11.77 | 19.31 | 8.50 | 14.66 | 9.10 | 15.34 | 13.45 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.14 | 2.21 | 1.58 | 1.59 | 1.33 | 1.42 | 1.51 | 1.23 | 1.30 | 1.29 |
| EV / EBITDA | 25.52 | 6.95 | 16.71 | 9.26 | 10.65 | 10.16 | 12.03 | 11.45 | 9.84 | 10.40 | 8.68 |
| EV / EBIT | 12.91 | 8.49 | 49.63 | 13.80 | 16.57 | — | 22.52 | 18.07 | 15.01 | 17.62 | 12.43 |
| EV / FCF | — | 24.75 | 26.60 | 16.57 | 51.54 | 174.43 | 14.56 | 35.18 | 15.73 | 39.54 | 29.05 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 20.9% | 20.9% | 21.5% | 22.1% | 20.9% | 19.0% | 20.0% | 19.7% | 19.3% | 19.0% | 19.8% |
| Operating Margin | 9.5% | 9.5% | 6.2% | 10.8% | 9.6% | 8.7% | 6.8% | 8.7% | 8.1% | 8.2% | 10.6% |
| Net Profit Margin | 5.3% | 5.3% | 3.1% | 8.7% | 8.0% | -1.5% | 4.0% | 5.4% | 5.8% | 3.5% | 6.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 13.4% | 13.4% | 6.9% | 21.1% | 23.8% | -4.5% | 11.1% | 16.2% | 17.7% | 10.5% | 18.3% |
| ROA | 3.3% | 3.3% | 1.7% | 6.7% | 7.7% | -1.7% | 4.0% | 6.0% | 6.9% | 4.1% | 7.2% |
| ROIC | 6.3% | 6.3% | 3.3% | 8.1% | 9.5% | 10.6% | 7.6% | 10.4% | 10.9% | 11.6% | 15.5% |
| ROCE | 8.3% | 8.3% | 4.5% | 10.4% | 12.7% | 13.3% | 9.6% | 12.9% | 12.4% | 12.4% | 16.2% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.26 | 1.26 | 3.19 | 1.33 | 1.70 | 1.00 | 1.05 | 1.10 | 0.78 | 0.83 | 0.67 |
| Debt / EBITDA | 3.73 | 3.73 | 10.41 | 3.47 | 4.04 | 2.52 | 3.25 | 2.82 | 2.06 | 2.30 | 1.48 |
| Net Debt / Equity | — | 1.16 | 3.00 | 1.27 | 1.59 | 0.91 | 0.76 | 1.02 | 0.71 | 0.68 | 0.50 |
| Net Debt / EBITDA | 3.42 | 3.42 | 9.79 | 3.32 | 3.78 | 2.29 | 2.34 | 2.61 | 1.88 | 1.89 | 1.12 |
| Debt / FCF | — | 12.18 | 15.59 | 5.95 | 18.29 | 39.24 | 2.83 | 8.02 | 3.00 | 7.20 | 3.75 |
| Interest Coverage | 4.32 | 4.32 | 1.37 | 4.61 | 5.56 | -1.52 | 4.41 | 6.70 | 6.99 | 6.50 | 9.15 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.05 | 1.05 | 0.79 | 1.76 | 1.35 | 1.09 | 1.21 | 1.08 | 1.40 | 1.56 | 1.68 |
| Quick Ratio | 0.60 | 0.60 | 0.54 | 1.24 | 0.73 | 0.72 | 0.91 | 0.72 | 0.95 | 1.09 | 1.22 |
| Cash Ratio | 0.15 | 0.15 | 0.11 | 0.12 | 0.13 | 0.11 | 0.37 | 0.10 | 0.11 | 0.25 | 0.32 |
| Asset Turnover | — | 0.67 | 0.42 | 0.76 | 0.83 | 1.10 | 0.99 | 1.05 | 1.18 | 1.11 | 1.22 |
| Inventory Turnover | 5.30 | 5.30 | 4.10 | 7.02 | 4.23 | 8.06 | 9.30 | 8.57 | 8.81 | 8.60 | 10.29 |
| Days Sales Outstanding | — | 49.59 | 74.54 | 49.92 | 59.94 | 55.60 | 53.14 | 55.14 | 57.51 | 57.24 | 51.05 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 4.1% | 4.8% | 4.2% | 3.6% | 3.1% | 3.1% | 2.9% | 2.7% | 3.0% | 2.9% | 2.7% |
| Payout Ratio | 52.5% | 52.5% | 124.1% | 41.6% | 40.1% | — | 83.2% | 58.3% | 51.5% | 87.3% | 51.1% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | 9.1% | 3.4% | 8.6% | 7.8% | — | 3.5% | 4.7% | 5.8% | 3.3% | 5.3% |
| FCF Yield | 8.0% | 8.0% | 9.1% | 9.4% | 3.0% | 0.7% | 8.5% | 3.7% | 7.9% | 3.1% | 4.0% |
| Buyback Yield | 0.2% | 0.3% | 0.2% | 0.2% | 0.1% | 3.8% | 0.1% | 0.2% | 0.3% | 0.1% | 2.0% |
| Total Shareholder Yield | 4.4% | 5.0% | 4.4% | 3.8% | 3.2% | 6.9% | 3.0% | 2.9% | 3.3% | 3.0% | 4.7% |
| Shares Outstanding | — | $100M | $99M | $99M | $99M | $100M | $101M | $101M | $101M | $101M | $102M |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying SON stock.
Sonoco Products Company's current P/E ratio is -24.1x. The historical average is 18.3x.
Sonoco Products Company's current EV/EBITDA is 25.5x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 8.7x.
Sonoco Products Company's return on equity (ROE) is 13.4%. The historical average is 14.2%.
Based on historical data, Sonoco Products Company is trading at a P/E of -24.1x. Compare with industry peers and growth rates for a complete picture.
Sonoco Products Company's current dividend yield is 4.14% with a payout ratio of 52.5%.
Sonoco Products Company has 20.9% gross margin and 9.5% operating margin.
Sonoco Products Company's Debt/EBITDA ratio is 3.7x, indicating high leverage. A ratio between 2-4x is manageable but warrants monitoring.
Key Metrics
Top Statement Risk
Goodwill impairment and acquisition leverage
Metrics are mathematically derived from official filings.
Discount Reflects Impairment, Not Deep Value
Sonoco's forward P/E of 8.70 and forward EV/EBITDA of 6.55 sit below Silgan's 7.84x and well below Packaging Corp's 13.86x, suggesting the market prices persistent cost pressure or further write-downs rather than a re-rating to peer multiples.
The 12.38 TTM P/E and 1.35 P/B appear optically cheap against Amcor-era packaging valuations, but trailing earnings were depressed by the 2026Q3 impairment, so the TTM multiple is likely overstating expensiveness rather than signaling a bargain. Meanwhile, the 4.2% dividend yield above the peer group's 1.4-4.9% range may reflect a required risk premium for leverage and integration risk, and the 14.09 P/FCF versus 8.70 forward P/E gap suggests free cash flow, not reported earnings, is the cleaner anchor for valuation work.
Impairment Masks Compressing Core Margins
Sonoco's operating margin swung from 9.2% in 2025Q2 to -31.2% in 2026Q3, per Sonoco's reported quarterly income statements, a distortion driven by non-cash charges, while the underlying gross margin quietly compressed from 22.0% to 19.9% over the same period.
The 210 basis point gross margin erosion appears consistent with resin, OCC, and logistics inflation outpacing contractual price/cost lag, meaning true earning power likely sits closer to the 10.2% operating margin printed in 2026Q2 than to the headline loss. Notably, the 11.5% FCF margin in 2026Q3 despite the operating loss implies the impairment is substantially non-cash, so normalized net margin may be closer to the 4-6% range observed across 2024-2026 quarters, which would leave valuation multiples somewhat less stretched than the TTM P/E implies.
Acquired Capital Earning Below Sector Returns
As compiled from Sonoco's reported ratio data, return on invested capital has held between 1.3% and 1.9% over the last four quarters, versus Packaging Corp's 12.6% and AptarGroup's 10.7%, indicating the Ball acquisition's capital base is generating returns well below the peer median.
The -6.2% ROIC in 2026Q3 reflects the impairment, but the more telling signal is that ROIC never exceeded 1.9% even in pre-impairment quarters, suggesting the acquisition-led scale has not translated into higher returns on the enlarged asset base. With ROE of -22.8% on a shrunken $2.8B equity base, investors should monitor whether the capital redeployment toward consumer packaging restores ROIC toward the 7-8% range that peers like GPK and SLGN sustain, or whether returns remain structurally capped by the industrial segment's cyclicality.
Deleveraging Progress Offset by Coverage Strain
Sonoco's debt-to-equity has improved from 3.01x to 1.62x over six quarters, yet interest coverage fell to -13.80 in 2026Q3 from 4.44 in Q2, based on Sonoco's reported quarterly balance sheets, suggesting headline deleveraging has not yet restored debt-service comfort.
D/EBITDA of 14.83x in 2026Q2 compares unfavorably with Silgan's 2.03x debt-to-equity profile and Packaging Corp's 0.95x, implying Sonoco remains the most levered name in the peer set even after paying down roughly $2.8B of debt since 2025Q1. The swing in coverage from 9.97x in 2025Q4 to negative territory in Q3 appears driven by the impairment rather than operating cash flow deterioration, but with $4.6B of debt against a $183.1M cash position, refinancing terms and covenant headroom warrant close monitoring.
Trailing P/E Fails This Business Model
The 12.38 TTM P/E is the most commonly misapplied ratio for Sonoco, since multiple quarters in the trailing period produced losses or near-zero net margins that render trailing earnings analytically meaningless, per Sonoco's reported quarterly results and reported ratio data.
For an acquisitive, asset-heavy packaging company with recurring non-cash charges such as impairment and restructuring, TTM earnings systematically misstate both the denominator and the sustainability of the multiple; EV/EBITDA of 7.38x, adjusted for legacy pension and environmental remediation obligations embedded in the enterprise value, is the more reliable cross-company comparison. Similarly, the 1.35 P/B should be read against a book value recently reduced by roughly $900M of goodwill write-down, so the ratio may reflect a shrinking equity base rather than an attractive entry point, and P/FCF is arguably the more durable lens for this business model.