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Sep 17 2020, 08:05 IST/BST
Paper & Packaging
Positive US dynamics will support European pricing efforts
- Sectors : Paper & Packaging
- Companies : Mondi | Smurfit Kappa Group | DS Smith
Ratings
Ratings and price correct at time of issue
| Company | Rating | Date | Previous Rating | Date | Closing Price |
|---|---|---|---|---|---|
| DS Smith | NEUTRAL | 03/04/19 | Outperform | 18/05/18 | 289p |
| Mondi | NEUTRAL | 05/05/20 | Outperform | 19/06/12 | 1580.5p |
| Smurfit Kappa Group | OUTPERFORM | 30/06/09 | N/A | N/A | 3350c |
DAVY VIEW
Corrugated demand in both Europe and the US has proved much more resilient through the pandemic. We believe structural growth drivers have contributed to this; in particular, the sharp increase in e-commerce deliveries and the nascent shift from plastics to paper-based packaging. This demand strength will help absorb new containerboard capacity increases and support industry efforts to implement the recently announced price increases in Europe. We will explore this and other themes with the management of DS Smith, Mondi Group and Smurfit Kappa Group (SKG) at our Davy Industrials Conference later today.
