Street View: Brokers see limited near-term upside in Orora as Saverglass struggles continue

ORORA

13/08/2026 20:10

** Australia's Orora Ltd ORA.AX on Thursday reported FY26 EBIT of A$248 million ($175.01 million), restareds share buyback 
** Packaging maker recorded A$740 million impairment on its Saverglass business and flagged weaker FY27 earnings

BROKERS CAUTIOUS ON SAVERGLASS OUTLOOK

** Citi maintains "neutral/high risk" rating at A$1.60 PT
** Says strong performance from cans offset by ongoing challenges at Saverglass, including price and product mix pressure and disruption linked to Middle East conflict
** Jefferies maintains "hold" rating
** Cuts FY27/FY28 EBIT forecasts by 5% and 3%, respectively, lowers EPS estimates by 15%-18%
** Says oversupply in European and North American bottling markets continues to pressure pricing, while weak spirits demand and de-premiumisation trends present further downside risks
** Morningstar cuts fair value estimate 18% to A$2.30/shr
** Says Saverglass impairment reflects weaker long-term outlook amid soft wine and spirits demand and uncertainty surrounding Middle East operations
** Lowers long-term revenue and margin assumptions for Saverglass, but expects continued growth and margin improvement in cans division

($1 = 1.4170 Australian dollars)

 (Reporting by Roshan Thomas in Bengaluru)
 ((Roshan.Thomas@thomsonreuters.com;))