, a global packaging company for the health care, beauty and personal care, food, beverage, tobacco, and home and garden industries.
Of the 11 analysts covering the stock, 73% recommend a buy and the rest suggest a hold. There are no sell ratings on the stock. On average, analysts estimate 26.1% upside to $35.11 in value from current levels.
For the third quarter of 2011, the company reported a 9% increase in sales to $1.6 billion from $1.50 billion in the same quarter last year. Net income was $117 million, or 67 cents per share, swinging from net loss of $15 million, or 9 cents per share, in the third quarter prior fiscal. Capital spending for the first three quarters increased to $439 million from $136 million following the expansion of its corrugated packaging business in Brazil.
The company recently estimated its strategies should create annual growth of 5% to 10% for 2011. Also, focusing on commercial excellence, innovation and emerging markets, the company foresees additional revenue of $1 billion over the next three to five years.
Subsequent to the spinoff of its consumer and office products business, MWV believes that it will be able to focus on the global packaging markets. The merger with ACCO Brands, one of the world's largest office supply manufacturers, will result in MWV receiving 50.5% of the shares of ACCO Brands in a cash transaction totaling $460 million. The deal is seen completing in the first half of 2012.