Amcor reiterated outlook, uptick in plastics

Company News

by Jessica Amir

Global packaging company, Amcor (ASX:AMC) is holding its Annual General Meeting today, saying it's on track to close to close the Bemis combination, to create a global leading packaging firm in the first quarter of the calendar year 2019. 

It also says it’s seeing encouraging signs for continued growth in the first quarter of FY2019 and cost reductions are on track. It also noted no change in its outlook and its flexibles and rigid plastics division will be modestly higher than the first half of 2018. 

This was a sign some brokers were looking for as Citi last announced if their guidance was reinterred, its share price should hold steady and it will keep its neutral rating and price target of $14.50. 

Since announcing its merger with Bemis in August, AMC shares have fallen over 10 per cent, underperforming the general market. However, Citi says the share price drop is likely also the back of rising US bond yields, higher oil prices. 

Shares in Amcor are trading 0.38 per cent higher to $13.17 . 

Jessica Amir

Finance News Network
Jessica joined FNN in January 2017 with a passion for equities and funds management. As Head of News, she has been a broadcast journalist for over seven years, specialising in finance. She has been a journalist with Sky News Business, ABC 1, ABC's The Business and ABC24. She’s also worked as a TV reporter for regional Channel 7 and 9. She also previously worked as a financial planner and real estate agent.