Smurfit Westrock up; Jefferies upgrades to 'buy', raises PT
16/06/2025 11:41
** U.S.-listed shares of cardboard box maker Smurfit Westrock SW.N SWR.L up 4% at $43.59 premarket ** Jefferies upgrades to "buy" from "hold", raises PT by $11 to $55 ** Says SW is set to close gap with peers in results and valuation, sees better alignment with U.S. investor expectations raising valuation multiple ** Notes SW trades at significant discount to peers Packaging Corp of America PKG.N and International Paper IP.N ** Believes co can achieve increased results from contract re-negotiations to reflect market pricing, willingness to walk away from unprofitable segments and introducing shelf-ready packaging in U.S., which helps customers cut costs and boosts sales ** Brokerage downgrades Packaging Corp of America to "hold" from "buy", cuts PT by $40 to $205; shares down marginally before the bell ** Cites co's flattening competitive edge, stock being limited by premium valuation ** However, sees PKG being "best in class", says volumes will snap back from market share gains in second half of year ** YTD, up to last close, PKG and SW down 16.3% and 22% respectively (Reporting by Neil J Kanatt in Bengaluru) ((Neil.JKanatt@thomsonreuters.com;))