Published on 30 Nov 2021 on Zacks via Yahoo Finance

Crown Holdings (CCK) Bets on Beverage Can Demand, Costs High

Crown Holdings, Inc. CCK has been witnessing strong demand across all product lines with demand for beverage cans being particularly strong, courtesy of consumers’ growing preference for the same. The company’s investments in construction of new plants, addition of production lines to existing facilities and strategic acquisitions to make the most of this trend will act as a key catalyst. Inflated raw material and freight costs, and supply chain issues remain headwinds.

Upbeat Guidance for 2021

Crown Holdings delivered year-over-year improvement in both sales and earnings per share in the third quarter of 2021. Strong performances in the North American beverage and food businesses, and the Transit Packaging business led to improved results. It helped offset global inflationary and supply chain pressures, and lower volumes in Vietnam due to extensive lockdown measures in the country to stem the spread of COVID-19.