With a TTM operating cash flow of $1.03 billion, Avery Dennison Corporation (NYSE:AVY) is included among the 12 Cash-Rich Stocks to Buy Right Now.
On June 4, Argus lowered its price recommendation on Avery Dennison Corporation (NYSE:AVY) to $175 from $190. It reiterated a Buy rating on the stock. The firm said the company’s new RFID technology partnership with Walmart (WMT), along with its strategic acquisitions, could create meaningful upside over time. While tariffs remain a near-term risk to earnings growth in the coming quarters, the analyst believes management is well-positioned to manage those challenges.
During Avery Dennison’s Q1 2026 earnings call, CEO Deon Stander described the quarter as resilient despite mixed results across the company’s segments. He said the business delivered a solid start to 2026, with organic sales increasing 1%, driven by mid-single-digit growth in volume and mix. Adjusted EPS rose 7% year over year.
Stander also said geopolitical uncertainty had caused a significant shift in raw material inflation trends. According to him, the company is responding through targeted price increases and material reengineering efforts where necessary to help offset rising costs.
On the technology front, Stander highlighted the company’s continued investment in intelligent labels. He said Avery Dennison recently agreed to invest an additional $75 million in Wiliot and plans to create a dedicated joint go-to-market team focused on accelerating adoption across the retail, food, and logistics industries. He added that the initiative would further strengthen Avery Dennison’s role as Wiliot’s preferred commercial partner for inlays.
Avery Dennison Corporation (NYSE:AVY) is a global materials science and digital identification solutions company. It offers branding and information solutions designed to improve labor and supply chain efficiency, reduce waste, support sustainability and circularity efforts, increase transparency, and strengthen connections between brands and consumers.
While we acknowledge the potential of AVY as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
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