The packaging and containers company said that it now expects its third quarter earnings to be about 5% lower than the third quarter in 2013. A 5% decrease would mean earnings of about 75 cents a share for the quarter, below the 88 cents a share analysts surveyed by FactSet estimate.
Owen-Illinois expects the lower earnings due to lower sales during the quarter. Sales volume in North American fell by low single-digits and Asia Pacific sales volume saw a double-digit decline compared to the year-ago quarter.
TheStreet Ratings team rates OWENS-ILLINOIS INC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate OWENS-ILLINOIS INC (OI) a BUY. This is driven by multiple strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had sub par growth in net income."
Highlights from the analysis by TheStreet Ratings Team goes as follows: