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Sealed Air (SEE): Revisiting Valuation After a Sharp Short-Term Share Price Rebound

Simply Wall St · 2d ago

Sealed Air (SEE) has quietly staged a comeback, with the stock up roughly 14% over the past month and almost 27% in the past 3 months, drawing fresh attention from value minded investors.

See our latest analysis for Sealed Air.

That surge sits against a more muted backdrop, with the share price still only modestly higher over five years based on total shareholder return. This suggests recent momentum may reflect investors warming to improving fundamentals and valuation rather than a long running rally.

If Sealed Air’s rebound has you thinking about what else might be gathering pace, it could be worth exploring fast growing stocks with high insider ownership as a source of fresh ideas.

With the shares trading below analyst targets yet already rebounding sharply, the key question now is whether Sealed Air still offers undervalued upside or whether the market has largely priced in its next leg of growth.

Most Popular Narrative: 7.5% Undervalued

With Sealed Air last closing at $41.74 against a narrative fair value of $45.13, the valuation case leans toward upside if assumptions hold.

The analysts have a consensus price target of $39.286 for Sealed Air based on their expectations of its future earnings growth, profit margins and other risk factors. However, there is a degree of disagreement amongst analysts, with the most bullish reporting a price target of $50.0, and the most bearish reporting a price target of just $31.0.

Read the complete narrative.

Curious how modest revenue growth, rising margins and a lower future earnings multiple can still support a higher value than today? Want to see the full playbook?

Result: Fair Value of $45.13 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, sustained weakness in high margin beef volumes, or prolonged pricing pressure in protective packaging, could challenge analysts’ optimism and cap Sealed Air’s upside.

Find out about the key risks to this Sealed Air narrative.

Build Your Own Sealed Air Narrative

If the consensus view does not quite match your thinking, or you would rather dive into the numbers yourself, you can shape a custom view in minutes, Do it your way.

A great starting point for your Sealed Air research is our analysis highlighting 4 key rewards and 1 important warning sign that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.