Barclays Raises Reynolds Consumer Products Price Target to $22.00, Analysts Predict 15.93% Upside

Reynolds Consumer Products (REYN) has received a price target boost from Barclays, with analyst Lauren Lieberman maintaining an "Equal-Weight" rating and raising the price target from $21.00 to $22.00, a 4.76% increase. The average target price for REYN is $26.14, with an upside of 15.93% from the current price. The estimated GF Value for REYN in one year is $27.05, suggesting a 19.96% upside.

Barclays has increased its price target for Reynolds Consumer Products (REYN) to $22, up from the previous $21, while maintaining an "Equal Weight" rating on the stock. This adjustment comes as the company continues to uphold its annual guidance despite ongoing aluminum price pressures that began earlier this year [1].

The firm noted that REYN has demonstrated resilience in the face of inflationary challenges, particularly within its aluminum-related operations. This stability has reinforced analyst confidence in the consumer goods manufacturer's ability to navigate current market conditions. The company operates through four key segments: Reynolds Cooking and Baking, Hefty Waste and Storage, Hefty Tableware, and Presto Products, catering to both branded and private-label markets [1].

Reynolds Consumer Products reported its second-quarter 2025 financial results, highlighting a net revenue of $938 million, down 1% from the prior year. Retail net revenues were flat, while non-retail revenues, which comprise aluminum sales to food service and industrial customers, increased by $12 million to $51 million. The company's adjusted net income for the quarter was $83 million, down from $97 million in the same period last year [2].

The company's financial health indicators show mixed results. The Altman Z-Score of 2.51 places it in the "grey area" of financial stability, and the balance sheet shows reasonable strength with a current ratio of 1.85 and a debt-to-equity ratio of 0.81. However, the quick ratio of 0.75 suggests potential liquidity constraints if inventory turnover slows. Operating margins stand at 14.14%, with net margins of 8.44%, though these have been trending downward in recent years [1].

The estimated GF Value for REYN in one year is $27.05, suggesting a 19.96% upside from the current price. Analyst sentiment appears cautiously optimistic, with a consensus recommendation of 2.5 (on a scale where 1=Buy, 5=Sell) and an average price target of $26.14, representing potential upside of approximately 16% from current levels [1].

References:
[1] https://www.gurufocus.com/news/3026312/barclays-lifts-price-target-for-reynolds-consumer-products-reyn
[2] https://www.gurufocus.com/news/3016128/reynolds-consumer-products-reports-second-quarter-2025-financial-results