BLL - Ball downgraded at RBC as earnings seen weighed by multiple headwinds

Ball Corp. (NYSE:BLL) -7% in Friday's trading after RBC Capital downgraded shares to Sector Perform with an $81 price target, cut from $100, citing inflationary cost pressures in EMEA, the suspension of its Russian operations and weakness in Brazil. "While we still like the beverage can space, we cannot ignore the challenges not in Ball's control over the next several quarters," including $50M in input cost inflation this year due to higher energy and freight/logistics costs, RBC's Arun Viswanathan writes. The analyst estimates Ball's (BLL) suspension of Russian operations will cause a $100M-$120M annual EBITDA headwind assuming a Q3 exit from the region. Ball (BLL) earlier reported lower than forecast Q1 adjusted earnings while revenues rose 19% Y/Y to $3.72B.

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Ball downgraded at RBC as earnings seen weighed by multiple headwinds