Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments.
Sonoco Products Co's 3-Year RORE % for the quarter that ended in Mar. 2026 was 65.96%.
The industry rank for Sonoco Products Co's 3-Year RORE % or its related term are showing as below:
SON's 3-Year RORE % is ranked better than 85.29% of 374
companies
in the Packaging & Containers industry
Industry Median: 0.295
vs SON: 65.96
Sonoco Products Co (NYSE:SON) 3-Year RORE % Explanation
Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.
There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 3-year period is chosen.
Be Aware
Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.
Sonoco Products Co 3-Year RORE % Related Terms
Sonoco Products Co 3-Year RORE % Historical Data
* Premium members only.
The historical data trend for Sonoco Products Co's 3-Year RORE % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Packaging & Containers subindustry, Sonoco Products Co's 3-Year RORE %, along with its competitors' market caps and 3-Year RORE % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Sonoco Products Co 3-Year RORE % vs Packaging & Containers Industry
For the Packaging & Containers industry and Consumer Cyclical sector, Sonoco Products Co's 3-Year RORE % distribution charts can be found below:
* The bar in red indicates where Sonoco Products Co's 3-Year RORE % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of 3-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Mar. 2026 and 3-year before.
Sonoco Products Co (SON) has a 3-Year RORE % of 65.96 as of Mar. 2026. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on Sonoco Products Co and its competitors. According to the industry distribution chart, Sonoco Products Co ranks #55 out of 374 companies in the Packaging & Containers industry, placing it in the top 14.7%.
Is Sonoco Products Co's 3-Year RORE % too high?
Sonoco Products Co's current 3-Year RORE % is 65.96. The Packaging & Containers industry median 3-Year RORE % is 0.30. Sonoco Products Co's value of 65.96 is 22259.3% above this industry median. Based on the distribution chart, Sonoco Products Co ranks #55 out of 374 companies in the Packaging & Containers industry, which is in the top quartile — a strong position relative to peers. Overall, Sonoco Products Co has a GF Score™ of 77/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Sonoco Products Co's 3-Year RORE % compare to REYN and SLGN?
According to the Packaging & Containers industry distribution chart, Sonoco Products Co ranks #55 out of 374 companies for 3-Year RORE %. This places Sonoco Products Co in the top 15% of its industry — outperforming the majority of peers. The industry median 3-Year RORE % is 0.30. Sonoco Products Co's value of 65.96 is 22259.3% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year RORE % for a Packaging & Containers company?
The median 3-Year RORE % among Packaging & Containers companies is 0.30, based on 374 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year RORE % significantly above this median, while those in the bottom quartile fall well below. However, 3-Year RORE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Sonoco Products Co's current 3-Year RORE % of 65.96 is 22259.3% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 3-Year RORE % mean?
A high 3-Year RORE % can signal that a stock is expensive relative to its fundamentals. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on Sonoco Products Co and its competitors. For the Packaging & Containers industry, the median 3-Year RORE % is 0.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sonoco Products Co's current 3-Year RORE % is 65.96. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sonoco Products Co stock overvalued right now?
Based on GuruFocus' analysis, Sonoco Products Co (SON) is currently considered Modestly Undervalued. The stock's GF Value™ is $72.73, compared to a current price of $57.42 — trading 21.1% below its estimated fair value. The current 3-Year RORE % is 65.96 and 22259.3% above the Packaging & Containers industry median of 0.30. Sonoco Products Co's overall GF Score™ is 77/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year RORE % calculated?
3-Year RORE % is calculated from a company's financial statements. For Sonoco Products Co (SON), the current 3-Year RORE % is 65.96 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Sonoco Products Co (SON) Overvalued in 2026?
Based on GuruFocus' analysis, Sonoco Products Co stock appears to be undervalued.
The current stock price of $57.42 is trading 21.1% below its estimated GF Value™ of $72.73.
GuruFocus considers Sonoco Products Co to be Modestly Undervalued.
Key valuation signals for SON:
3-Year RORE %: 65.96
GF Value™: $72.73 vs. price of $57.42 (21.1% below fair value)
Industry Position: 22259.3% above the Packaging & Containers median (#55 of 374)
No single metric tells the full story. See the SON stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sonoco Products Co is engaged in the manufacture and supply of consumer and industrial packaging products, offering paper, metal, and plastic packaging solutions across multiple end markets. The company has two reportable segments: Consumer Packaging and Industrial Paper Packaging. The Consumer Packaging segment provides rigid packaging solutions mainly for food, beverage, household, personal care, and pharmaceutical products, while the Industrial Paper Packaging segment produces paper-based packaging materials such as tubes, cores, and protective packaging, supported by paper mills and recycling operations, serving industrial and consumer markets. It generates the majority of its revenue from the Consumer Packaging segment.
77GF Score
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