Five-star Citigroup analyst bullish on both stocks

Our “Expert Spotlight” article today brings you two of the top picks Citigroup Senior Analyst Anthony Pettinari is betting on. Pettinari is primarily focused on the consumer goods sector and he is bullish on packaging companies Crown Holdings, Inc. (NYSE: CCK) and Ball Corporation (NYSE: BALL).

High levels of inflation and an impending recession have not spared the consumer goods sector so far this year. Since the packaging industry is closely linked to this sector, it has also experienced difficult times. However, with the packaging industry expected to experience a CAGR of 2.94% between 2022 and 2027 and reach a value of $218.12 billion, according to a report by Intelligence of Mordorinvesting in companies such as Crown Holdings and Ball Corporation can prove to be a fruitful move.

Pettinari remains bullish on those two names, and his impressive track record is a testament to his successful stock-picking abilities.

Pettinari’s position among TipRanks experts

According to the TipRanks star ranking system, Anthony Pettinari, an alumnus of the prestigious Columbia University, ranks #246 out of 7,991 analysts in the TipRanks universe and #324 out of 21,313 total experts, including managers. hedge funds, Wall Street analysts, corporate insiders. , financial bloggers and individual investors.

Pettinari’s stock-picking success rate stands at 64%, while his average yield per rating is an impressive 17.20%.

The average analyst returns relative to the S&P 500 and the benchmark sector are 4.30% and 3.40%, respectively.

Of its 429 ratings, 62% are buys, 37.06% have a hold rating, and 0.93% have a sell rating.

Notably, according to TipRanks, Pettinari’s most profitable choice was Lennar Corporation (LEN) between April 15, 2020 and April 15, 2021, yielding an impressive return of 161.20%.

Now, let’s take a closer look at his top two picks.

Pettinari remains bullish on Crown Holdings

Founded in 1892, Crown Holdings is a specialty packaging company that manufactures metal beverage and food cans, metal aerosol containers and metal closures. Currently, the company has a market capitalization of $10.94 billion.

In its latest second-quarter results, Crown Holding released impressive numbers, with revenue and profit beating Street estimates. Revenue for the quarter was $3.51 billion, up 22.9% from a year earlier. Still, earnings per share (EPS) of $2.10 was down 3.2% from the year-ago quarter.

Notably, the company is expected to release its third quarter results on October 19, 2022.

Pettinari remains optimistic about the title. The analyst reiterated a Buy rating with a price target of $116, implying upside potential of 28.5% from current levels.

Meanwhile, the analyst enjoys a hit rate of 73% and an average profit of 15.61% on the stock.

Overall, the consensus among analysts for Crown Holdings shares is a strong buy based on 13 buys and two holds. CCK’s average price target of $123.85 implies upside potential of 37.2% from current levels. Stocks are down 11.9% over the past year.

Pettinari is still optimistic about Ball Corporation

Founded in 1880, Ball Corporation is the world’s largest manufacturer of recyclable metal food and beverage containers. Additionally, the company has various business interests, including aerospace technology. The company’s current market cap is $18.02 billion.

The company’s latest results for the second quarter were mixed, with revenue up but EPS down from the year-ago quarter. Ball Corporation’s net sales for the quarter were $4.13 billion, representing growth of 19.5% over the prior year. Still, EPS was down 4.7% from the year-ago quarter at $0.82.

The analyst has selected a Hold rating with a price target of $64, implying upside potential of 13.6% from current levels. Meanwhile, Pettinari enjoys an 88% win rate and an average profit of 27.78% on the stock.

Overall, the consensus among analysts for Ball Corporation shares is one block based on three buys, 11 blocks and one sell. The BALL average price target of $71.71 implies a potential upside of 27.2% from current levels. Shares are down 34.9% over the past year.

The packaging industry can ride out headwinds

Currently, the packaging industry continues to face headwinds. However, as consumption patterns begin to improve, the packaging sector is also expected to grow. To that end, Anthony Pettinari’s top picks are two of the biggest players in the packaging industry, and by adding them to their portfolios, investors can benefit.

Like Pettinari, the TipRanks Expert Center brings you the picks and opinions of many hedge fund managers, Wall Street analysts, corporate insiders, financial bloggers, and individual investors whose advice can help investors achieve impressive returns.

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Garland K. Long