Ball Corporation announces $4 billion buyback plan

WESTMINSTER, Colo. - Ball Corporation (NYSE: NYSE:BALL), a supplier of sustainable aluminum packaging solutions and currently trading near its 52-week low, has announced a new share repurchase program authorized by its board of directors. The company, which InvestingPro analysis shows is currently undervalued, is set to buy back up to $4 billion of its common stock, replacing all previous repurchase authorizations.

Alongside the repurchase initiative, Ball Corporation’s board declared a quarterly cash dividend of 20 cents per share, which is payable on March 17, 2025, to shareholders of record as of March 3, 2025. The company has maintained dividend payments for 52 consecutive years, demonstrating strong commitment to shareholder returns. Howard Yu, the executive vice president and chief financial officer, stated that the increased share repurchase authorization will support the company’s multi-year capital return strategy to its shareholders.

Ball Corporation, which employs 16,000 people globally, reported net sales of $12.06 billion for the year 2023, excluding its divested aerospace business. With a market capitalization of $16.5 billion and revenue growth of 8.48% in the last twelve months, the company’s focus on innovative and sustainable packaging solutions has positioned it as a significant player in the industry, catering to beverage, personal care, and household products customers. InvestingPro subscribers can access detailed analysis of Ball Corporation’s financial health, which is currently rated as GOOD, along with additional valuable insights in the comprehensive Pro Research Report.

In addition to the financial announcements, Ball Corporation will hold its fourth quarter 2024 earnings call on Tuesday, February 4, 2025, at 9 a.m. Mountain time. A webcast of the live call will be available, and a replay, along with a written transcript, will be posted on the company’s website within 48 hours after the call’s conclusion.

Investors and interested parties can find more information about Ball Corporation’s financials and upcoming events on the company’s website. The information in this article is based on a press release statement from Ball Corporation.

In other recent news, Ball Corporation, a global leader in aluminum packaging, has been the subject of positive analyst attention and has reported encouraging financial results. Mizuho (NYSE:MFG) upgraded Ball Corp ’s stock rating from Neutral to Outperform, citing the company’s strong position in the beverage can sector and its strategic financial management. The firm maintained its price target for the company at $67.00, implying a potential upside of 16% from the current levels.

In terms of financial performance, Ball Corporation reported a rise in third-quarter earnings, with comparable diluted earnings per share (EPS) increasing from $0.83 in Q3 2023 to $0.91 in Q3 2024. The company returned approximately $1.4 billion to shareholders through dividends and share repurchases year-to-date, with expectations to exceed $1.6 billion for the full year.

Moreover, Ball Corporation recently acquired Alucan Entec, enhancing its sustainable aluminum packaging capacity in Europe. These recent developments suggest Ball Corporation’s resilience and potential for continued performance in the market. The company expects mid-single-digit growth in comparable diluted EPS for 2024 and strong adjusted free cash flow, indicating confidence in its growth prospects.

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