Avery Dennison (AVY) stock surged 10.24% in pre-market trading on Thursday after the labeling and materials company reported second-quarter results that significantly exceeded Wall Street expectations and issued an optimistic full-year profit outlook.
The company posted adjusted earnings per share of $2.89, beating the analyst consensus of $2.47 by roughly 17% and climbing 19.4% from $2.42 a year earlier. Revenue rose 10.9% to $2.46 billion, surpassing the $2.30 billion estimate. The strong performance was driven by a 15.9% jump in Materials Group net sales, reflecting higher volumes and targeted price increases, along with margin expansion supported by productivity improvements.
Looking ahead, Avery Dennison forecast full-year adjusted EPS in a range of $10.00 to $10.30, above the $10.02 analyst consensus. The upbeat guidance reflects management’s confidence in sustained momentum, aided by higher prices, cost-saving measures, and robust demand in its materials business.
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