Paper & Packaging

Subdued box demand but positive sentiment inflection

  • Sectors : Paper & Packaging
  • Companies : Mondi | Smurfit Kappa Group | DS Smith


Ratings and price correct at time of issue

Company Rating Date Previous Rating Date Closing Price
DS Smith OUTPERFORM 23/01/23 Neutral 03/04/19 346p
Mondi NEUTRAL 05/05/20 Outperform 19/06/12 1483.5p
Smurfit Kappa Group OUTPERFORM 30/06/09 N/A N/A 3904c


Despite subdued box demand, we believe de-rated valuations provide appealing 2023 risk/reward as cyclical sectors such as packaging re-rate long before recessions end. With easing cost pressures, we upgrade DS Smith from ‘Neutral’ to ‘Outperform’, while maintaining Mondi at ‘Neutral’. We reiterate our ‘Outperform’ rating on Smurfit Kappa Group (SKG) as our top European packaging pick ahead of its 2022E results on February 8th.

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Jan 23 2023, 16:35 GMT