BALL

A month has gone by since the last earnings report for Ball (BALL). Shares have lost about 0.3% in that time frame, outperforming the S&P 500. Will the recent negative trend continue leading up to its next earnings release, or is Ball due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts. Ball reported comparable earnings of $1.03 per share for the second quarter of 2026, up 14.4% year over year. The figure surpassed the Zacks Consensus Estimate of 99 cents by 4%, supported by higher shipments and favorable price/mix. On a reported basis, the company’s earnings per share (EPS) from continuing operations were 83 cents compared with the prior-year quarter’s 76 cents. Revenues climbed 19.7% to $3,997 million and beat the consensus mark of $3,666 million by 9%. The company’s top-line increase reflected higher volumes and favorable price/mix, mainly attributable to higher aluminum prices. Global shipment growth of 4.3% exceeded Ball’s long-term volume growth range of 2-3%. Cost of sales, excluding depreciation and amortization, increased 22.7% year over year to $3.30 billion. Gross profit rose 7.6% year over year to $697 million. However, gross margin contracted to 17.4% from 19.4%. Selling, general and administrative expenses increased 19% to $163 million. Comparable operating earnings rose 7.7% to $433 million, but operating margin declined to 10.8% from 12%. The Beverage Packaging North and Central America segment’s revenues increased 24.4% year over year to $2 billion. The improvement reflected higher volumes and favorable price/mix, primarily tied to higher aluminum prices. Segment shipment volume increased by a low-single-digit percentage. Comparable operating earnings declined 2.4% to $207 million. Higher operating expenses, increased volume-related costs and plant start-up spending more than offset favorable price/mix, including the timing of metal cost pass-throughs to customers. Segment margin fell to 10.3% from 13.1%. Sales in the Beverage Packaging EMEA segment rose 10.6% to $1.24 billion, aided by higher shipments and favorable price/mix and contributions from the acquired Benepack business. Comparable operating earnings increased 6.6% to $162 million. Higher volume and pricing benefits offset increased costs, while segment shipments grew at a mid-single-digit rate. The Beverage Packaging South America segment’s revenues rose 23.9% year over year to $591 million, driven by higher prices, primarily attributable to higher aluminum prices and higher volume. For the first six months of 2026, cash used in operating activities was $169 million against outflow of $333 million in the prior-year period. Working-capital requirements remained significant at $1.012 billion, while capital expenditures increased to $302 million from $177 million. Free cash flow was negative $471 million and adjusted free cash flow was negative $575 million after accounting for $104 million of cash taxes related to the Aerospace disposition. Ball ended the second quarter with $491 million in cash and equivalents. Total debt was $7.22 billion, producing net debt of $6.729 billion. Net leverage stood at 3.16 times comparable EBITDA, while interest coverage was 6.65 times. Management maintained its expectation for comparable earnings growth of more than 10% in 2026 and free cash flow exceeding $900 million. Ball also continues to target approximately $600 million of capital expenditures and net leverage of around 2.7 times. The company returned $222 million through dividends and share repurchases during the first half. It remains on track to return at least $800 million to shareholders by year-end while funding long-term projects, including the ramp-up of its Millersburg facility and the integration of Benepack. In the past month, investors have witnessed a downward trend in estimates review. Currently, Ball has a strong Growth Score of A, though it is lagging a lot on the Momentum Score front with a D. However, the stock was allocated a grade of B on the value side, putting it in the second quintile for this investment strategy. Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in. Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, Ball has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Ball Corporation (BALL) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Ball’s second quarter results surpassed Wall Street’s expectations for both revenue and adjusted earnings, yet the market reacted negatively as investors focused on declining operating margins. Management cited strong global demand for aluminum cans, with CEO Ron Lewis highlighting a 4.3% increase in global volumes and continued momentum across regions. However, Lewis acknowledged that North American capacity remained "notably tight," limiting the company’s ability to fully capitalize on special events like the World Cup and America 250. CFO Dan Rabbitt pointed to start-up costs at the Millersburg facility as a key factor in margin compression, even as disciplined cost management and favorable product mix helped support earnings growth. Is now the time to buy BALL? Find out in our full research report (it’s free). Revenue: $4.00 billion vs analyst estimates of $3.64 billion (19.7% year-on-year growth, 9.8% beat) Adjusted EPS: $1.03 vs analyst estimates of $0.99 (4.3% beat) Operating Margin: 8.7%, down from 10.3% in the same quarter last year Market Capitalization: $16.57 billion While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Ghansham Panjabi (Baird) asked about the impact of major summer events on North American volumes; CEO Ron Lewis clarified that capacity was too tight for material upside, but these events reinforced confidence in growth plans. Anthony Pettinari (Citi) inquired about the timing of start-up costs and seasonal cadence; Lewis explained that most start-up costs would occur in the second half, and the Millersburg plant had begun commercial production, with full benefits expected in 2027. George Staphos (Bank of America) questioned why operating leverage was muted despite volume growth; CFO Dan Rabbitt attributed this to start-up friction and strong demand stressing the network, while noting that the overall enterprise delivered solid operating earnings growth. Hillary Cacanando (Deutsche Bank) probed whether North American can volume growth was driven by substrate shift or new product launches; Lewis responded that cans continue to take share from other substrates and new launches typically favor cans, especially in multipacks and varied sizes. Anojja Shah (UBS) asked about growth in the aerosol segment and competitive dynamics; Lewis and Rabbitt said the personal and home care business delivered high growth and remains accretive, with competition in the U.S. having limited direct impact due to Ball’s strong position in Mexico. In the coming quarters, the StockStory team will be monitoring (1) the operational ramp-up of the Millersburg facility and Benepack integration in EMEA, (2) margin stabilization as start-up costs are absorbed and productivity initiatives take effect, and (3) sustained volume growth in South America and continued share gains for aluminum cans. Progress on these milestones will be critical for Ball to maintain its growth trajectory and achieve its long-term financial targets. Ball currently trades at $62.54, down from $65.15 just before the earnings. Is the company at an inflection point that warrants a buy or sell? Find out in our full research report (it’s free for active Edge members). ALSO WORTH WATCHING: Top 5 Momentum Stocks. The best time to own a great stock is when the market is finally noticing it. These aren’t just high-quality businesses. Something is happening with them right now. Elite fundamentals meet near-term momentum — both boxes checked at the same time. Find out which stocks our AI platform is flagging this week. See this week’s Strong Momentum stocks — FREE. Get Our Strong Momentum Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,552% between June 2020 and June 2025). Find your next big winner with StockStory today.

Image source: The Motley Fool. Tuesday, Aug. 4, 2026 at 8:30 a.m. ET Head of Investor Relations - Brandon Potthoff Chief Executive Officer - Ron Lewis Senior Vice President and Chief Financial Officer - Dan Rabbitt Operator: Greetings, and welcome to the Ball Corporation Second Quarter 2026 Earnings Conference Call. [Operator Instructions] As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Brandon Potthoff, Head of Investor Relations. Brandon Potthoff: Good morning, everyone. This is Ball Corporation's conference call regarding the company's second quarter 2026 results. During this call, we will reference our second quarter 2026 earnings presentation available through this webcast and on our website at investors.ball.com. The information provided during this call will contain forward-looking statements. Actual results or outcomes may differ materially from those that may be expressed or implied. We assume no obligation to update any forward-looking statements made today. Some factors that could cause the results or outcomes to differ are described in the company's latest Form 10-K, other SEC filings and in today's earnings release and earnings presentation. If you do not already have our earnings release, it is available on our website at ball.com. Information regarding the use of non-GAAP financial measures may also be found in the notes section of today's earnings release. In addition, this presentation and the release include a summary of noncomparable items as well as a reconciliation of comparable net earnings and diluted earnings per share calculations. I would now like to turn the call over to our CEO, Ron Lewis. Ron Lewis: Thank you, Brandon. Today, I'm joined by Dan Rabbitt, Senior Vice President and Chief Financial Officer. I will provide some brief introductory remarks and discuss second quarter and first half 2026 financial performance and our outlook for the remainder of 2026. Dan will touch on key metrics, and then we will finish up with closing comments and a question-and-answer session. As we begin, I want to reinforce the same big picture message we have discussed in prior quarters because it remains central to how we think about Ball's long-term value creation. The fundamentals supporting our business remain firmly in place. Packaged liquid volume continues to grow globally and aluminum cans continue to gain share as consumers, customers and retailers prioritize convenience, performance and sustainability. These trends continue to support a durable runway of demand for our products. Within that growing market, Ball remains well positioned. Across our regions, we continue to benefit from long-term customer partnerships, a well contracted portfolio, disciplined capacity management and an unmatched global footprint. Together, those advantages support strong utilization and consistent commercial performance. We are pairing those operating advantages with financial discipline. Through the first half of 2026, our results have reinforced our confidence in the framework we laid out for the year, supported by a healthy balance sheet and a capital allocation approach grounded in EVA. We remain focused on investing where we can earn attractive returns and returning capital to shareholders. Operationally, our teams continue to make progress. Standardization, cost discipline and the Ball Business System are helping us reduce complexity, improve productivity and create a more repeatable operating model as volumes grow. When you bring together attractive industry fundamentals, strong customer relationships, disciplined execution, financial strength and an operating system built for continuous improvement, Ball remains well positioned to deliver on our 2026 objectives and create long-term value for shareholders. Our first half results reinforce the resilience of our business and the consistency of our execution even as the external environment remains complex. The strategy we have discussed in prior quarters remains clear, consistent and grounded in four strategic pillars, and our first half performance provides further evidence that it is working. First, we remain focused on executing in our core business. That discipline shows up through service, cost management and ongoing efforts to improve operational consistency across our plants and regions. Second, we stay close to our customers and maximize the strength of our global network, long-term customer partnerships, strong service levels and a balanced footprint give us the flexibility to respond quickly and reliably. Third, we continue to accelerate the substrate shift to aluminum and expand into targeted categories. Aluminum's sustainability and performance advantages remain compelling and we are focused on translating these advantages into disciplined growth. Fourth, we manage complexity to our advantage. Our scale, standardization and systems help us stay focused on the levers we control and build more repeatable performance over time. The Ball Business System connects these priorities across the organization helping us standardize best practices, improve productivity and drive continuous improvement. At the center of that system are our people and culture, low ego, high collaboration and a shared commitment to doing the right things the right way. That consistency is what supports our first half performance and gives us confidence in our ability to deliver on our 2026 objectives while continuing to create value long term. That is where the Ball Business System and EVA come together. One, helping us to operate with greater consistency, the other, guiding how we allocate capital to create long-term value. In the second quarter and first half, that discipline showed up in our financial performance while we continue to focus on delivering operational results in line with our Ball Business System goals. It is also why our 2026 framework remains unchanged, 10-plus percent comparable diluted EPS growth, strong free cash flow and consistent returns to shareholders. With that context, let me address how those priorities translated into our second quarter and first half results. Turning to our second quarter performance. We continue to build on the solid start we discussed last quarter. Global volumes improved 4.3% year-over-year with growth in each region, reflecting continued momentum across our portfolio and keeping us on track with the full year volume outlook we outlined earlier this year. Comparable operating earnings grew 7.7% year-over-year, supported by disciplined cost management commercial performance and continued progress through the Ball Business System, even as we absorbed the previously discussed North American start-up costs. That performance flowed through to the bottom line, with comparable diluted EPS growth of 14.4%, reflecting operating earnings performance and capital allocation. Our first half performance reinforces our confidence in delivering 10-plus percent comparable diluted EPS growth for the full year. We also remain focused on shareholder returns and remain on track to return approximately $800 million to shareholders in 2026. Operationally, we continue to advance our priorities, including integrating Benepack to expand our EMEA capacity and continuing to make progress at our Millersburg facility, which remains on track toward full ramp-up in 2027. Overall, this was a solid second quarter and first half that reinforced the resilience of our business and our confidence in the 2026 framework. With that context, I'll let Dan walk through the details of our second quarter financial performance and provide more color on our expectations for the balance of 2026. Over to you, Dan. Daniel Rabbitt: Thank you, Ron. I'll walkthrough our second quarter 2026 financial performance and provide additional context on the first half and our expectations for the balance of the year. Overall, the business continued to perform well in the second quarter. Global shipped beverage can volumes increased 4.3% year-over-year, supported by growth across each region and continued progress against our full year expectations. Across both the quarter and the first half, our teams remain focused on service, cost discipline and improving the controllable performance drivers that support our 2026 framework. As Ron noted, comparable operating earnings increased 7.7% year-over-year and comparable diluted EPS increased 14.4%, aided by disciplined performance and capital allocation tailwinds. Our first half performance remains consistent with the financial framework we laid out in 2026. In North and Central America, volumes increased low single digits year-over-year, consistent with our expectations for full year growth at the low end of our long-term 1% to 3% range. Demand remained constructive in energy drinks and nonalcoholic beverages. Segment comparable operating earnings declined 2.4% year-over-year as higher costs, including approximately $5 million of start-up costs were partially offset by favorable price mix, including the timing of metal pass-through to our large customers who procure their own aluminum. We continue to expect full year start-up costs to total approximately $35 million, with roughly $30 million expected in the second half. In EMEA, volumes increased mid-single digits year-over-year, supported by underlying demand and the contribution from Benepack, partially offset by last year's sale of our Saudi Arabian business. Segment comparable operating earnings increased 6.6% year-over-year, reflecting higher volume and favorable price mix, partially offset by higher costs. We continue to make progress integrating the Hungary and Belgium facilities for 2026 with the inclusion of Benepack, we continue to expect volume growth above the top end of our long-term 3% to 5% range. In South America, volumes increased mid-teens year-over-year as the region moved past first quarter customer timing and inventory impacts. Segment comparable operating earnings increased 64% year-over-year, driven by higher volumes and favorable price/mix. Looking ahead, we continue to expect volume growth at the low end of our long-term 4% to 6% range in 2026. Now focusing on modeling details for 2026. As Ron noted, with the resilience of our business and our pass-through models, we continue to expect to be on track with our long-term 10%-plus comparable diluted EPS growth goal. We anticipate free cash flow of greater than $900 million in 2026. Our 2026 full year effective tax rate on comparable earnings is expected to be slightly above 23%. Full year 2026 interest expense is expected to be in the range of $310 million. CapEx is expected to be in line with GAAP D&A in 2026. Full year 2026 reported adjusted corporate undistributed costs recorded in other nonreportable are expected to be in the range of $175 million. We anticipate year-end 2026 net debt to comparable EBITDA to be around 2.7x, and we will repurchase at least $600 million of shares, which will bring our total capital return to shareholders to $800 million in 2026. And last week, Ball's Board declared its quarterly cash dividend. And with that, I'll turn it back to Ron. Ron Lewis: Thanks, Dan. In summary, the key message is that we are delivering against the framework we laid out for 2026. Through the first half, we grew global volumes, expanded comparable diluted EPS and generated strong earnings performance and remained on track with our free cash flow and capital return priorities. That progress reflects the consistency of our strategy and the discipline of our team. We continue to stay close to our customers, manage the levers we control, invest through an EVA lens and use the Ball Business System to improve how we operate across the company. Importantly, our first half results reinforce our confidence in the full year framework. We remain focused on delivering 10-plus percent comparable diluted EPS growth generating strong free cash flow and returning approximately $800 million to shareholders in 2026. We know there is still work ahead and our teams remain focused on the operating and commercial priorities that matter most in the second half. But the first half demonstrates that the strategy is consistent, the framework is intact and Ball remains well positioned to create long-term value for shareholders. Thank you. And with that, Christine, we are ready for questions. Operator: [Operator Instructions] Our first question comes from the line of Ghansham Panjabi with Baird. Ghansham Panjabi: Ron, I know comparisons are a bit tougher in the beverage North America and Central America segment given your performance from last year. But sort of looking back, how did the flagship events over the summer, including America 250 and the World Cup impact your volumes? Was that material in any way? Or will you supply constraint just given your footprint position at this point? Ron Lewis: We said coming into the year in North America that we were running notably tight and that certainly is the case. And so we didn't see any really meaningful growth in North America due to America 250 or World Cup. But what it did do coming into this quarter and, quite frankly, Q3 that we've just started, it gave us a lot of confidence in the growth that we were going to see and that flowed through. I mean we served our customers with distinction and the best of our ability, but the fact of the matter is we are trying to bring this new plant up in Millersburg, and until we do that, we will be notably tight until we can get that capacity up and running. Ghansham Panjabi: And then in Europe, adjusting for Benepack and some of the portfolio moves there and segment realignment, et cetera, what were underlying volumes during the second quarter? And was that consistent with your expectations going in for 2Q. Ron Lewis: Thanks, Ghansham. Let me answer the high level and then I'll let Dan do some of the details. But in general, our long-term growth outlook is 3% to 5% growth, what we've said is with the acquisition of Benepack for the full year, we should be exceeding that on an annualized basis. And for sure, our organic business was right in line with what our long-term growth outlook is. But there is some puts and takes in there with the change in the sector. So let me let Dan kind of detail that out for, if you don't mind. Daniel Rabbitt: Ghansham, yes, I think really, we grew our volumes second quarter a little less than 500 million unit cans compared to last year. The way to think about where it came from was our legacy businesses now in that segment are really the traditional Europe footprint that we've had for a while now and some Asian assets. And when you look at it, we really -- those delivered mid-single-digit growth in the -- for that segment. And the puts and takes that kind of neutralize each other was the integration of the Benepack business, and that came with some cans, but it also was offset by the loss of the Saudi Arabian business as well. So good performance, it was really all done on our -- on the assets that we brought into the year, and we're overall pleased with where they stand. Operator: Our next question comes from the line of Anthony Pettinari with Citi. Anthony Pettinari: The detail and the full year outlook are extremely helpful. I'm just wondering if there's any finer point you could put on kind of the cadence from 3Q to 4Q versus maybe kind of a normal seasonal cadence. I mean you talked about the start-up costs, and I think you talked about them in second half. I'm just wondering if we could expect those to be more weighted towards 3Q or 4Q? Or if there are changes in energy costs in EMEA? Or just any kind of thoughts on what the 3Q, 4Q cadence might look like versus a "normal" year? Ron Lewis: Anthony, thanks for the question. So what we have said is we expect roughly $35 million worth of startup costs in the year. We've detailed about $5 million of those in the first half of the year, really in the second quarter. And for Q3, Q4, to be frank, like it's a little challenging for us to give you a specific number. We still expect to see the $30 million of the $35 million flow into the back half of the year. What I will say is really great news for us is our plant in Millersburg is now making commercial cans as of last month, and we're looking forward to ramping that up, and you should expect to see the full benefit of that in 2027. We're just in the process of getting it ramped up. So I wouldn't want to provide any more details than just the back half. I hope that's okay. Anthony Pettinari: No, no, that's fair. And then maybe just a related question. I don't know if you can give maybe some additional thoughts or color on the South American market and your individual markets there given -- thoughts on the second half, given the 2Q outperformance. Some of your peers have maybe expressed some conservatism towards the end of the year. I'm just wondering if you can give any more thoughts given the really strong quarter that you had there. Ron Lewis: We're quite frankly, really pleased with our performance in South America. We noted last quarter that we were going to see a good second quarter when we knew that, that was coming through. And I mentioned how we were doing relative to our Q1 performance when we talked about April. So firstly, South America can be volatile. We know that quarter to quarter. And it's driven by customer activity that we have the privilege to serve, what time of year it is, et cetera, et cetera. So I think I would start by just saying, let's not get too fixated on any one given quarter. Last quarter, we were down a little bit. This quarter, we were up a lot. For the full year, we are focused on delivering against our long-term growth outlook of 4% to 6%. And we came into the year saying we'd be on the low end of that range. We have even more confidence that we'll be at least at the low end of that range and maybe even into the middle of that range on a full year basis. So Q1 and Q2 kind of offset and we more than make up. We're right in that -- we're right where we're supposed to be for the full year as we sit here today through the first half of the year. Other than that, we're just focused on serving our customers. The can market in general -- I would say, can market in general in South America is very healthy. What is unique to us, and you mentioned it, is that we are the can maker in South America that makes cans in more countries than anybody else. So we have a privileged place in the region. What happened in the quarter, we drove strong mid-teen volume growth combined with a really good network, really good operational performance, really good commercial performance, and that delivered meaningful flow through. I don't want to comment anything specifically about individual countries other than to say outside of Brazil, which is the predominance of our business. All of the countries that are also in South America for us generally are accretive to our business, and this quarter was no exception. So I would summarize the quarter by saying, we have a privileged customer portfolio, and they enjoyed success from World Cup, and we benefited from their success. Operator: Our next question comes from the line of George Staphos with Bank of America. George Staphos: I wanted to spend my first question on operations. And then second question, dig into the volume outlook. Ron, if we look at the results, and they were certainly at least in line with your guidance, in North and Central America, though, even if we add back the start-up costs, I think EBIT would have been -- comparable EBIT would have been about flat despite volume growth. And so recognizing there is inflation with Millersburg, I'm sure there are other factors that maybe hit the network. Can you talk why you didn't see your normal or your at least targeted operating leverage. And then within Europe as well, we had mid-single-digit volume growth. I don't think we saw if I did my calculations right, the normal lift in EBIT relative to volume, was that Dan just a function of the different moving pieces, 1 year versus the other in terms of the businesses there? How should we think about that? Ron Lewis: I'll start, and then I'll ask Dan to add a little color, if you don't mind. Starting in North America, we are notably tight as we've said, coming into the year. And we did have volume growth in the quarter and the first half of the year in North America. So with those high utilization rates and quite frankly, some good volume growth that we knew was coming through, it equates to some operational friction, no doubt. And that puts pressure on everything, on the way we plan on scheduling, on labor, on freight, maintenance, et cetera, et cetera, and a little shout out to our teams that work in our plants, it's extremely hot. Like as I walk in our plants, it's an environment that is challenging to work in. So thanks to them. And that's why, quite frankly, we're investing for growth. We bought a plant in Florida, as you know. It's fully operational for us and fully integrated into our network, and now we're bringing up this new plant in Millersburg, Oregon and that will relieve some pressure and obviously support our customers and help us to deliver operating leverage in the long-term. From a European perspective, I would just say the acquisition that we made of the two plants, one in Belgium and one in Hungary. We knew that we are also quite tight in Europe, and these were two acquisitions that helped from that capacity standpoint. But we also knew that we needed to get them ramped up and into our network. That will take us more or less the full year of 2026, and so we're similarly tight there, and it's similarly hot, and we are managing through that process. But from an overall puts and takes, maybe Dan, you could take the back half of that question. Daniel Rabbitt: Yes, as we think about the quarter, I think we have to say that the demand -- the volume demand was really strong, strong in all of our markets. And our two biggest markets both U.S. -- the North America and the EMEA segment really came in with limited capacity, so we were pretty tight coming in. Volumes and orders came in really strong. So it obviously put a little stress and strain on our network. So -- but really, when you look at it, we never really wanted or had intended to be evaluated on every segment, every quarter on operating leverage. It's just not the way the business works. And you pointed out, obviously, that we came up a little short in North America. And that really does come from the fact that we are -- we saw some start-up costs and also with the strong demand, it really just challenged us to deliver at times. And these are good problems to have because they're based on orders and strong demand. But I think that's the main takeaway. I think the operating leverage in rest of the company was pretty good. And actually for the enterprise at large, it was fabulous. 8% operating earnings growth, we don't do much better than that ever. And so that's a great mark. George Staphos: Yes. I appreciate that, Dan. I just wanted to peer under the hood, so to speak. Point of clarification. Was there any operational friction costs related to Benepack in 2Q that in some ways we should adjust for? And then the second question, Ron, you talked about strength, obviously, in energy and nonalcoholic beverages. So what are you seeing and implying in terms of the outlook for alcohol, for beer? Has there been any change in momentum in some of the ready-to-drink in other categories? Ron Lewis: First, on your question on Benepack operational friction. These are plants. One is a brand-new start-up plant, so we need to think of the plant in Hungary, it's just a start-up plant, and the plant in Belgium, we are working diligently to get to 24/7 operations just like the plant in Hungary. So I would say, in general, we're right on track with what we expected from those plants, but they are not accretive to our overall business yet, and that's what we said we were getting when we bought those plants. And we're excited about them. We're really pleased. From a category perspective, I think you're maybe talking specifically about North America... George Staphos: That's right. Ron Lewis: We -- yes, so I'll start by saying this. The can is winning. It continues to win. It's been winning for years. We have shown volume growth across our business, all of last year, in fact, accelerating last year. So we've now completed our sixth quarter of growth. We expect that to continue for the foreseeable future. And we had a really strong quarter, 4%-plus volume growth on the back of a comparable 4%-plus volume growth in Q2 of last year and a plus 4% volume growth in all of 2025. That's above what we expect from our long-term outlook. As far as categories, as I said, the can is winning, and we're focused on supporting all of our customers. I would say the other thing about the dynamics of the beverage industry is the can is used to deliver value to consumers, be it in a single format or really in the multipack format. And we have a great customer portfolio. So we're seeing growth even in a really tight capacity environment for us. As it relates to individual categories, I couldn't say more than what you see in all of the data that you all analyze and quite frankly, share with us. So beer along with soft drinks and energy is delivering growth ultimately for our business, and for the can industry overall. Operator: Our next question comes from the line of Gabe Hajde with Wells Fargo. Gabe Hajde: I wanted to maybe ask -- a piggyback, I guess, on George's question a little bit differently. I think there kind of had been some commentary about alcohol as part of the portfolio being about 40% and maybe over time getting closer to 30%. I'm just curious if under kind of your purview and as you look at things, is that still sort of part of the initiatives across the organization. And again, I appreciate that you're servicing customers and making sure that they have everything they need. Is it maybe just natural attenuation if you're kind of projecting beer to be down low single digits in volume metric terms and then the can continue to win. Just help us think about that maybe over the medium term? Ron Lewis: As I said, the can is winning. And as far as the category goes, beer is an important category for us, and it's an important category for the can industry, but it's certainly not our only category nor is it our biggest category. And as you can see from our overall volumes relative to other substrates, the can does continue to win, and that's because of other categories continuing to pick up the pace. So I would just say, number one, consumers want convenience. That means they're going to drink more from packaged beverages. And when they drink more from a packaged beverage, more often than not, they're continuing and will continue to accelerate the pace of buying a can versus another substrate. And we have the privilege and right to win in that environment. So I think regardless of what is being sold in that can, the can will continue to grow. And we're going to help all of our customers to win in that regard. Gabe Hajde: Appreciate that. Also I think last call, you mentioned being kind of 90% sold out in North America -- or I should say, contracted, excuse me, in North America and then 50%, I think, through the end of the decade. Are there any updates there? And then specific maybe to Europe, I think you mentioned picking up some business over there, just anything material that we should be mindful of maybe going into '27? Ron Lewis: So first of all, on our outlook for contracted volumes, we don't intend to provide a quarterly guidance on these calls as to what our outlook is on a -- we provided that anecdotally, I would say there's been no material change. To that, we are more than 50% sold out through the end of the decade. We said that before, and that's still true. And the reason we shared that before is just to give you confidence that demand is out there from our customers, but it's more of an anecdotal comment. We don't plan to update that on a quarterly basis. As it relates to Europe, Europe is the land of opportunity. Can penetration rates are lower than anywhere else in the regions we serve. Sustainability tailwinds are stronger in Europe, they are in any other region we serve, and there is more investment in can filling capacity anywhere else in the regions we serve. So Europe is an absolute land of opportunity. And you can see it in our as well as our primary competitors volume growth this quarter and over the last several years. Now as it relates to customers and contracts, et cetera, I would just say overall volume growth, nothing specific to any given customer or business we won that I would call out. Again, we will -- given the acquisition we made, finish above the high end of our 3% to 5% growth outlook for the year in Europe or in our EMEA business. So we're really pleased with it, and we're going to continue to serve our customers with distinction there because they are really growing with the can. Operator: Our next question comes from the line of Edlain Rodriguez with Mizuho. Edlain Rodriguez: A quick question on the volumes by segment. Like how do you think your regional volumes did compare with the market, essentially like did they lag or outpace the respective markets? Ron Lewis: So let me just review where we said we would be for the full year, and then I'll tell you what I feel from the quarter perspective. For the full year, we said we will be in this 2% to 3% long-term outlook, we -- maybe towards the high end of that range. And we said North America would be on the low end of our 1% to 3% range, we said EMEA would be above our 3% to 5% range and South America would be on the low end of our 4% to 6% range. In the quarter, I would say we grew low single digits, right in line with what we expected in North America, some were higher, some were lower. In EMEA, we grew right in line with the mid-single digits as we called out. I think we were right in line with market probably in both of those geographies. And clearly, the standout with South America, where we grew mid-teens and the market was more flattish to up slightly. So that's probably the puts and takes by region on our volumes in the quarter. Edlain Rodriguez: No. That's fair. And also, can you talk about capital allocation? And should we expect about $200 million of share repurchase in each of the remaining quarters? Or will there be more nuance to that? Daniel Rabbitt: This is Dan. I'm going to take that question. From a capital allocation perspective, specific to share repurchases, we're still standing by the guidance that we've been holding out all year. And that is that we would repurchase around $600 million worth of shares and deliver close to another $200 million in dividend for a total of $800 million of return back to the shareholders. So that still holds true. Through the first half of the year, we've done about $100 million of those share repurchases. And that was also what was contemplated as well, because of the back half nature of our free cash flow, and it comes in the back half of the year, and we really didn't want to take on the risk on the balance sheet by leveraging up to make those share repurchases. Operator: Our next question comes from the line of Hillary Cacanando with Deutsche Bank. Hillary Cacanando: I know can is winning, and it seems like there's still substrate shift going on in Europe. But in North America, would you say the volume growth is still coming from substrate shift? Or is it more from new product launches? And if so, are there any new products or category coming out over the next year that you're really excited about? Ron Lewis: What I can say is looking at the data that we get and that I'm sure you all pour over, the overall beverage market in North America is relatively flat while the can grows over the last year in that 2% to 3% range, while other substrates declined similarly 2% to 3%, something like this. So overall, the can just continues to take share in the normal course of business. As far as our -- what we see from the market, our customers, certainly, when it comes to launching new products and categories, more often than not, it is in a can. And the great news is when our customers choose the can, they lean into it with the ability to deliver value to consumers through different sizes, different multipack capacities, and that allows them to meet the kind of the customers -- their customers and their consumers where they are. So that innovation with respect to sizes in pack size configuration really helps the can to win and our customers to win with the can. Hillary Cacanando: And then just a quick, I guess, a modeling question. I know Millersburg start-up cost is $35 million in 2026. Are you expecting anything in 2027? Or we're pretty much done in terms of spending in 2026? Daniel Rabbitt: Yes. This is Dan. I'll take that. So really, the first part of your statement is really what we expect on the startup cost. The $5 million that came in, in this quarter and then really upwards of $30 million more in the second half of this year. And so it's very much on plan, and the plan was really for it to be a contributor next year. And so we're making cans there, and we're -- well, not on a continuous basis, of course, but that's really what the ramp up is all about getting it up to speed, so it can be productive for next year. Hillary Cacanando: So no start-up costs building into 2027? Daniel Rabbitt: That's correct. Operator: Our next question comes from the line of Mike Roxland with Truist. Michael Roxland: Congrats on all the progress. My first question is in terms of -- just trying to get an early read on how volumes are shaping up for '27, realizing that you're more than 90% sold. Obviously, you opened Millersburg last month, and you expect a full ramp in '27. When should that occur, like '27, mid '27? And similar question for Benepack, when do you expect to open those assets full next year? Ron Lewis: Mike, thanks for the question, and thanks for the congratulatory comments. It gives me a chance to accept them on behalf of our 16,000 Ball employees who are working very hard to support our customers and deliver really great value for our shareholders and all of their colleagues. So on behalf of those 16,000 colleagues in mind, thank you, and I accept your congratulatory comments. As for 2027, we aren't concerning ourselves too much with guidance on 2027 on this call. What I will say, and I reiterate is we grew 4-plus percent in Q2 on the back of 4-plus percent growth last year for the full year and 4% in the second quarter last year. So this is our sixth consecutive quarter of growth, and that's just a clear evidence and sign that the can is winning and will continue to win on a go-forward basis. For the long term, we are confident in our 2% to 3% volume growth outlook. So that's what you should continue to model for us. And quite frankly, this year, we will again probably finish above that, certainly above the 2% to 3%, so slightly above that. And next year, we expect to be in that range. As it relates to Millersburg, again, I said we started making commercial cans there last month. We expect to deliver pretty much the full value of that plant, let's say, certainly beginning sometime in the first quarter, I would say. We may not have it ramped completely on January 1, but we should expect to have pretty much the full value of that plant in 2027. As it relates to Benepack, similarly, this year is about integrating those assets they should be fully ramped and operational, running as a part of our network and being accretive, just as they normally would do any other plant start-up. So we got some big opportunities to deliver good value to ourselves and to our customers in 2027 as a result of those investments. Michael Roxland: Very clear. And just one quick follow-up on the volumes. Where do volumes stand currently for July thus far by region? And any early read or your order books look like for August thus far, realizing earlier in the month? Ron Lewis: So I would say we're right on track in July results from our quarter and full year. It's still very much summer in the Northern Hemisphere and extremely warm and a lot of activity. So really we have great confidence in our Q3 plan based on our July and month-to-date August numbers. Nothing special to call out there other than we're right on our plan. Operator: Our next question comes from the line of Josh Spector with UBS. Anojja Shah: It's Anojja Shah, sitting in for Josh. I know it's a pretty small -- it's a smaller category, but I wanted to talk about the other category, and it seems like your aerosol business did pretty well in 2Q. Can you just talk about what went right? And is this kind of a new run rate for you in aerosols? And then separately, one of your aerosol competitors just announced an expansion in Pennsylvania. Can you talk about the competitive environment you're seeing there right now? Ron Lewis: We're really pleased to get to talk about our -- what we call our personal and home care business. I would just say consistently, and this quarter is no exception, our personal and home care business is accretive to our overall volume growth and our operating earnings growth. And while it's relatively small, we really like our PHC business, and we -- it gives me the chance to thank all the people, all of my colleagues that work in our personal and home care business. So we like it. We like it going forward. And we think that investment in this business by us or competitors is good because there's continued demand, just really positive, and we see good outlook for it. Daniel Rabbitt: Yes, this is Dan. I would overlay just a couple of things. One is, obviously, this business at times grows even higher rates than our beverage can business does. So in this quarter, it really was no exception to that. So high single digits for the quarter. But I would say a lot of it has to do with the industry dynamics. And for North America, it really consists of two markets. It consists of the U.S. and Mexico. We happen to be located in Mexico. And so when a competitor really comes up in Pennsylvania or in the U.S., it's almost like it's not necessarily relevant in some regards because our competition really are those who are down in Mexico. Anojja Shah: And then there was a pretty big change to Section 232 in July that I think includes some incentives for domestic production of aluminum. Do you expect any near- to medium-term impact? I know you have an immediate pass-through on aluminum, but maybe this could mean some relief for end consumers that could have a potentially positive impact on your volumes here in North America? Ron Lewis: The short answer is no. We aren't seeing any impacts. And also, no, we don't foresee any big change relative to tariff and trade policies in the U.S. or globally for that matter. We just can't forecast or predict them. And we understand that what was offered, but -- in terms of the Section 232 changes, but they're just not material enough to really move the needle. It does give me a chance to say that we and the industry are concerned and keep an eye on aluminum price, because the cost of aluminum, while it is a pass-through model does ultimately affect end consumer demand and our customers. So the can continues to win and grow even in that elevated cost environment for aluminum, but we would very much like to see aluminum prices lower. And I think the investments that are happening in the industry, be it smelting or rolling, we encourage and we're excited about those investments as they come online, be it in the U.S. or anywhere else in the world. Operator: Our next question comes from the line of Matt Roberts with Raymond James. Matthew Roberts: Really quick, Brandon, on your volumes? Are you saying above 2% to 3% or the high end? Just a clarification on the comments. Ron Lewis: Yes, Matt. So I said on the -- for this year, the 2% to 3%, we should be at or above. It's hard for us to call it. But I would say right now, as we sit at the half year, we're right in the middle of that range. So we expect to see some acceleration of volume growth in the back half of this year. And we'll be, I would just say, call it 3% is probably good enough for right now. That's probably the best I could do it in prognosticating how we'll finish the year. Matthew Roberts: And then really just one other from me. Thinking about incremental capacity in Millersburg in '27, recognizing, certainly, network the lead valves, capacity creates from operational and cost perspective. But is there any change in product mix from that facility? Any difference in standard and specialty shipped in '27? Or is Millersburg in line with the system average like would be the operating leverage impact? Is it really all from cost or any mix? Ron Lewis: So again, we're really happy with our investment in the Pacific Northwest. It's a long way to ship cans there. So we're excited to have capacity back in that region. We started producing last month. It was an important milestone for us. It's also important to know this is a one-line plant. It will be fully ramped up in 2027, but it is still only a one-line plant. And it's only making standard-sized cans. So you won't see a mix shift impact from that plant. So it will be more or less in line. I will say there is a continued move from standard cans to more what we call sleek cans, et cetera. So there -- you will continue to see mix shift, but it won't be as a result of this plant coming back up -- coming online in 2027 at a full ramp-up. Operator: Our next question is a follow-up from Gabe Hajde with Wells Fargo. Gabe Hajde: Ron, I guess, as you think about North America or [indiscernible] a 1% to 3% growing geography for you all. I know you're adding Millersburg and that's going to give you some relief in the Pacific Northwest. But I think I've heard you say at least three times like things are pretty tight and it's not optimal for the system, generally speaking. Again, appreciating you know the seasonality, you guys build inventories in the spring, et cetera, et cetera. But I want to understand, as you look across the system, are there other areas for you to add a little bit, I'll call it creep capacity, whether it's decorators in the back end or additional lines or anything that you'd be adding in North America would require new four walls and brick-and-mortar? Ron Lewis: Thanks, Gabe. I appreciate that additional question because it does give me a chance to talk a little bit about those opportunities. One, I would say, let's start with the industry itself. I would characterize the can-making industry in North America as healthily tight. There's been many quarters of volume growth. It is the reason why we're building and bringing this new plant up and online. And I think we will continue to be disciplined in our investments. Backed by -- any investment we make will be backed by long-term offtake agreements with our most strategic customers where we have built relationships and earned their trust over decades. As it relates to where else can we debottleneck? Of course, we can always pursue debottlenecking. We have a number of projects that we've been working on this year in a number of our plants that we don't go into great detail on because it's the normal course of business. But yes, the answer is we expect to deliver efficiency and productivity in our network each and every year. So hopefully, that answers your question, Gabe. All right. I think we have time for one more question. Operator: Our final question comes from the line of Phil Ng with Jefferies. John Dunigan: This is John on for Phil. I just wanted to touch on a couple of points. First, we've had a couple of capacity announcements in India. I know you guys have some capacity there. Just wondering what you're seeing from competition market growth from that standpoint? And then jumping over to South America. Could you quantify in any way the amount of World Cup volumes that came through in the quarter? I mean I know it's not necessarily easy, but just thinking for a modeling purpose how much of a drag that could be next year? And then I'll follow up with one more question. Appreciate it. Ron Lewis: So firstly, as it relates to India, we talk about Europe and EMEA as a land of opportunity and India is accretive to that comment. It is a land of opportunity in a land of opportunity. Can growth is more than teens in that region and has been for a while. We, as you said, have announced capacity expansion in one of our two plants on top of a capacity expansion we've already done. And as you see lots of announcements for capacity growth. So it's an exciting part of the world backed by governmental changes that we believe will be strongly accretive to can growth in the long term. So we're excited about India and we're excited to have a business there that's been thriving for many, many years. As it relates to World Cup in South America, again, we had open capacity because it is the winter lower season there. We have an unrivaled customer portfolio and their success promoting World Cup was our success. It's hard to put a number on what would be the impact of that. What I will say is we plan to grow at the low end, maybe the middle of our 4% to 6% growth in the year, and that's right where we expect to deliver in the long term. So rather than put a number on it, I will just say it should not be meaningful over a year-to-year basis. We still intend to grow 4% to 6% next year on top of a really strong 4% to 6% growth this year. John Dunigan: And then one of your larger North American beer customers has made some investments in their metal can packaging operations, to expand some of their growing brands. I mean, they're relatively small, but I'm just wondering if this is more of a factor of how tight you guys are currently running in North America? Or maybe it's a little bit of a focus growing in some of the other faster-growing categories than necessarily mass beer? But any thoughts you can provide around that and maybe your mix in North America and how you're thinking about it going forward would be very helpful. Ron Lewis: Honestly, I don't think we have enough information to comment on what our customers are doing relative to building or buying capacity. I would just say we're -- we support all of our customers, obviously, and we are tight as is the industry, and that's a good thing for this industry. So I don't really want to comment on other people's capacity and what they're doing, if you don't mind. I think that was our last question. I just will finish by saying thanks to everybody for your interest in us, for your -- investors on this line for your investment in us, for the -- for all of you analysts for continuing to help us tell our story, your partnership in doing that, we appreciate that very much. And we look forward to talking with all of you a lot more about our business and sharing our story, because we are really excited about this. First half of the year, we delivered exactly as we expected to do. It's a reflection of how the can continues to win and the long-term nature and the resilient nature of this business and this industry that we have the privilege to participate in and be a leading market participant and run. So thank you very much on behalf of all of my colleagues at all for your interest in us, and we look forward to talking with you all again very soon. Operator: Ladies and gentlemen, this does conclude today's teleconference. You may disconnect your lines at this time. Thank you for your participation, and have a wonderful day. Before you buy stock in Ball, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Ball wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $411,427!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,335,252!* Now, it’s worth noting Stock Advisor’s total average return is 965% — a market-crushing outperformance compared to 215% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of August 11, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has positions in and recommends Ball. The Motley Fool has a disclosure policy. Ball (BALL) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Find your next quality investment with Simply Wall St's easy and powerful screener, trusted by over 7 million individual investors worldwide. Ball (BALL) has drawn fresh attention after reporting second quarter 2026 earnings alongside a new dividend declaration, giving investors updated numbers on both business performance and cash returns. Sales for the quarter were reported at US$3,997 million compared with US$3,338 million a year earlier, with net income of US$221 million compared with US$212 million. Basic and diluted earnings per share from continuing operations were US$0.83, compared with US$0.77 and US$0.76 respectively a year ago. For the first half of 2026, Ball reported sales of US$7,600 million compared with US$6,435 million for the same period in 2025. Net income was US$426 million compared with US$391 million, with basic earnings per share from continuing operations at US$1.60 compared with US$1.41, and diluted earnings per share at US$1.59 compared with US$1.40. Alongside these results, the board affirmed a cash dividend of US$0.20 per share, payable on September 15, 2026, to shareholders of record on September 1, 2026. This combination of reported earnings and an upcoming dividend provides context for how investors may think about Ball stock today. See our latest analysis for Ball. Ball shares last closed at US$63.45, with a 90 day share price return of 9.93% and an 18.93% year to date share price return. The 1 year total shareholder return of 19.08% contrasts with a 5 year total shareholder return that is down 23.60%. This suggests momentum has picked up more recently than over the longer term as investors weigh the latest earnings and dividend confirmation. If Ball's latest earnings update has you thinking about where else capital could work hard, it may be a good time to review 37 power grid technology and infrastructure stocks After Ball's recent share price gain and the fresh confirmation of its dividend, investors now face a choice: accept today's terms or wait for a lower entry that may not appear. How do the current valuation markers compare with that trade off? At a last close of US$63.45 versus a narrative fair value of US$70.79, the most followed view sees Ball trading at a discount that hinges on specific growth and margin assumptions. Read the complete narrative. Want to see what justifies that higher fair value for Ball? The narrative leans on steadily rising revenue, firmer margins and a richer earnings multiple. Curious which of those levers does most of the heavy lifting? Result: Fair Value of $70.79 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, there are still clear pressure points for Ball that could unsettle this narrative, especially if a major customer in South America weakens or aluminum input costs remain volatile. Find out about the key risks to this Ball narrative. The most followed narrative suggests Ball is undervalued versus a fair value of US$70.79, yet the share price already trades on a P/E of 17.8x. That is higher than the global packaging industry at 16x, but below peer average at 19.7x and our fair ratio of 19.3x. Does that mix point to more upside or a limited margin of safety? See what the numbers say about this price — find out in our valuation breakdown. Feeling torn between the positive signals and the concerns raised around Ball? Take a moment to weigh both sides for yourself with 3 key rewards and 1 important warning sign If Ball has sharpened your focus on what makes a stock compelling, now is the moment to size up a few more possibilities before the next opportunity slips by. Spot potential income pillars by scanning companies with robust payouts and reliable track records through 8 dividend fortresses Hunt for mispriced opportunities by checking companies that combine quality fundamentals with room for a rerating using screener containing 21 high quality undiscovered gems Prioritise resilience by reviewing companies that carry lower overall risk profiles with 83 resilient stocks with low risk scores This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include BALL. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Ball Corporation recently reported past second-quarter 2026 results, with sales rising to US$3,997 million and net income reaching US$221 million, alongside a maintained quarterly dividend of US$0.20 per share. Earnings per share from continuing operations improved year over year on both a basic and diluted basis, underlining progress in profitability alongside revenue growth. Next, we'll examine how Ball's higher year-on-year sales and earnings may influence its existing investment narrative and risk-reward profile. Invest in the nuclear renaissance through our list of 89 elite nuclear energy infrastructure plays powering the global AI revolution. To own Ball, you need to believe in sustained demand for aluminum packaging and the company’s ability to protect margins despite cost and customer pressures. The latest quarter’s higher sales and earnings support that case, but do not materially change the near term focus on managing input cost volatility as the key catalyst and customer concentration as the biggest ongoing risk. The reaffirmed quarterly dividend of US$0.20 per share alongside Ball’s Q2 2026 earnings is particularly relevant here, as it highlights the company’s commitment to returning cash to shareholders even while it works through margin, mix, and operational efficiency challenges that shape its risk reward profile. But while recent results look solid, investors still need to be aware of how concentrated customer exposure could... Read the full narrative on Ball (it's free!) Ball’s narrative projects $15.4 billion revenue and $1.2 billion earnings by 2029. Uncover how Ball's forecasts yield a $70.79 fair value, a 12% upside to its current price. Some of the most optimistic analysts were already penciling in about US$15.7 billion in revenue and US$1.3 billion in earnings by 2029, so this earnings beat may either reinforce that bullish view or highlight how sensitive it is to risks like underused new capacity and changing packaging preferences, reminding you that smart people can look at the same numbers and reach very different conclusions. Explore 5 other fair value estimates on Ball - why the stock might be worth as much as 98% more than the current price! Don't just follow the ticker - dig into the data and build a conviction that's truly your own. A great starting point for your Ball research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision. Our free Ball research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Ball's overall financial health at a glance. Right now could be the best entry point. These picks are fresh from our daily scans. Don't delay: Outshine the giants: these 16 early-stage AI stocks could fund your retirement. Uncover the next big thing with 20 elite penny stocks that balance risk and reward. Rare earth metals are the new gold rush. Find out which 28 stocks are leading the charge. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include BALL. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Interested in Ball Corporation? Here are five stocks we like better. Ball reported solid second-quarter results: Global beverage-can volumes rose 4.3%, comparable operating earnings increased 7.7%, and comparable diluted EPS grew 14.4% year over year. Management reaffirmed its 2026 outlook for more than 10% comparable diluted EPS growth, free cash flow above $900 million, roughly 3% global volume growth, and approximately $800 million in shareholder returns. Regional performance was strongest in South America, where operating earnings surged 64%, while EMEIA delivered mid-single-digit volume growth. North American earnings declined 2.4% because of higher costs and startup expenses, although the market remains capacity-constrained. Corrugated Cash Flow: Hiding in Packaging Stocks Ball (NYSE:BALL) reported higher second-quarter beverage can volumes and earnings, with management reaffirming its 2026 outlook for more than 10% comparable diluted earnings-per-share growth, free cash flow above $900 million and approximately $800 million in shareholder returns. Global shipped beverage can volumes rose 4.3% from a year earlier in the second quarter, with growth in each operating region. Comparable operating earnings increased 7.7%, while comparable diluted EPS grew 14.4%, supported by operating performance and capital allocation, according to Chief Executive Officer Ron Lewis. → SpaceX’s First Earnings Report Could Decide Whether Shorts or Bulls Have Control Berry Global, The Backbone Of Consumer Packaging You Should Own Lewis said the company’s performance through the first half reinforced its confidence in its full-year financial framework. Ball continues to expect global volume growth around 3% for 2026, based on comments made during the call, and plans to return about $800 million to shareholders through at least $600 million in share repurchases and roughly $200 million in dividends. North and Central America recorded low-single-digit volume growth during the quarter, in line with Ball’s expectation for full-year growth at the low end of its long-term 1% to 3% range. Demand was constructive in energy drinks and non-alcoholic beverages, management said. → Financials Hit Record Highs as the AI Trade Unravels—Can They Keep Leading? However, comparable operating earnings in the segment declined 2.4% year over year. Chief Financial Officer Dan Rabbitt said the decline reflected higher costs, including about $5 million in startup costs, partly offset by favorable price mix and the timing of metal pass-through arrangements with large customers that procure their own aluminum. Ball expects approximately $35 million of startup costs in 2026, with roughly $30 million anticipated during the second half. Lewis said the company’s Millersburg, Oregon, facility began making commercial cans in July and is expected to provide substantially its full value during 2027 as it ramps up. The plant is a one-line facility producing standard-size cans. → Why Rare Earth Processing Could Be the Real 2027 Opportunity Lewis said North America remains “notably tight” from a capacity perspective. While summer events including America 250 and the World Cup did not create meaningful additional growth for Ball in the region, they provided confidence in demand trends, he said. In Europe, the Middle East, India and Africa, or EMEIA, volumes increased by the mid-single digits. Segment comparable operating earnings rose 6.6%, driven by higher volume and favorable price mix, partly offset by higher costs. The company said growth included the contribution from Benepack, while the prior sale of its Saudi Arabian business partly offset the acquired volume. Ball continues to expect EMEIA volume growth above the upper end of its long-term 3% to 5% range for 2026 with Benepack included. The company is integrating acquired facilities in Hungary and Belgium, and Lewis said those assets are expected to be fully ramped, integrated into the network and accretive in 2027. South America posted mid-teens volume growth after moving past customer timing and inventory effects that affected the first quarter. Comparable operating earnings in the region climbed 64% from a year earlier, driven by higher volumes and favorable price mix. Management said South American volumes benefited from customer activity tied to the World Cup, though Lewis said the company does not expect that effect to be meaningful on a year-over-year basis. Ball maintained its full-year expectation for regional growth at the low end of its long-term 4% to 6% range, while Lewis said the company now has more confidence it could reach the middle of that range. Lewis described North American can manufacturing capacity as “healthily tight” and said Ball will remain disciplined on investments. He said any major investment would be supported by long-term offtake agreements with strategic customers. The company is also pursuing routine debottlenecking, productivity and efficiency projects across its plant network. Ball said it remains more than 50% contracted through the end of the decade, though management does not plan to provide quarterly updates on that measure. Lewis said the company’s customer relationships, global footprint and contracted portfolio support its capacity utilization and commercial performance. In North America, management said overall beverage demand has been relatively flat, while cans have continued to gain share against other packaging substrates. Lewis attributed that trend to consumer demand for convenience and to customers’ ability to offer products in varied can sizes and multipack configurations. Ball also cited growth in its personal and home care, or aerosol, business. Rabbitt said the business grew at a high-single-digit rate in the second quarter and can at times grow faster than the company’s beverage can business. He noted Ball’s North American aerosol operations are located in Mexico. In India, Lewis said can growth has been above the teens and described the market as a significant opportunity within EMEIA. Ball has announced expansion at one of its two Indian plants following a previous expansion in the country, he said. For 2026, Ball expects its effective tax rate on comparable earnings to be slightly above 23%, interest expense of about $310 million, and capital expenditures in line with GAAP depreciation and amortization. Adjusted corporate undistributed costs are projected to range around $175 million. The company expects year-end net debt to comparable EBITDA of approximately 2.7 times. Rabbitt said Ball had repurchased about $100 million of shares through the first half, reflecting the company’s expectation that free cash flow would be weighted toward the second half of the year. Management said it does not expect recent Section 232 changes or broader tariff and trade policies to have a material near- to medium-term impact. While aluminum costs are generally passed through, Lewis said higher aluminum prices can ultimately affect consumers and customers, and the company would prefer to see aluminum prices decline. Ball Corporation is a leading provider of sustainable aluminum packaging solutions and advanced aerospace technologies. Headquartered in Broomfield, Colorado, the company serves customers in the beverage, food and aerosol markets through a global network of manufacturing facilities. With an emphasis on sustainability and innovation, Ball designs and produces metal cans, bottles and ends that support recycling and reduce environmental impact. The company's packaging segment specializes in beverage cans for soft drinks, beer and energy drinks, as well as metal packaging for food and personal care applications. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Ball Q2 Earnings Call Highlights" was originally published by MarketBeat. 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Ball (BALL) reported $4 billion in revenue for the quarter ended June 2026, representing a year-over-year increase of 19.7%. EPS of $1.03 for the same period compares to $0.90 a year ago. The reported revenue compares to the Zacks Consensus Estimate of $3.67 billion, representing a surprise of +9.03%. The company delivered an EPS surprise of +4.04%, with the consensus EPS estimate being $0.99. While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health. Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance. Here is how Ball performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Net Sales- Other: $158 million versus $126.5 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a -20.2% change. Net Sales- Beverage packaging, EMEA: $1.24 billion versus the three-analyst average estimate of $1.25 billion. The reported number represents a year-over-year change of +18.3%. Net Sales- Beverage packaging, South America: $591 million versus $562.96 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +23.9% change. Net Sales- Beverage packaging, North and Central America: $2.01 billion versus the three-analyst average estimate of $1.74 billion. The reported number represents a year-over-year change of +24.4%. Comparable operating earnings- Beverage packaging, North and Central America: $207 million versus the three-analyst average estimate of $213.78 million. Comparable operating earnings- Other: $-18 million versus $-31.76 million estimated by three analysts on average. Comparable operating earnings- Beverage packaging, EMEA: $162 million compared to the $167.05 million average estimate based on three analysts. Comparable operating earnings- Beverage packaging, South America: $82 million compared to the $63.47 million average estimate based on three analysts. View all Key Company Metrics for Ball here>>> Shares of Ball have returned +3.5% over the past month versus the Zacks S&P 500 composite's +1.7% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Ball Corporation (BALL) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

This article first appeared on GuruFocus. Global Volumes: Increased 4.3% year-over-year in Q2 2026, with growth in each region. Comparable Operating Earnings: Grew 7.7% year-over-year in Q2 2026. Comparable Diluted EPS: Increased 14.4% year-over-year in Q2 2026. North and Central America Volumes: Increased low single digits year-over-year in Q2 2026. North and Central America Segment Comparable Operating Earnings: Declined 2.4% year-over-year in Q2 2026, impacted by approximately $5 million of start-up costs. EMEA Volumes: Increased mid-single digits year-over-year in Q2 2026. EMEA Segment Comparable Operating Earnings: Increased 6.6% year-over-year in Q2 2026. South America Volumes: Increased mid-teens year-over-year in Q2 2026. South America Segment Comparable Operating Earnings: Increased 64% year-over-year in Q2 2026. Free Cash Flow: Expected to be greater than $900 million in 2026. Effective Tax Rate: Expected to be slightly above 23% for full year 2026. Interest Expense: Expected to be in the range of $310 million for full year 2026. Capital Expenditures: Expected to be in line with GAAP D&A in 2026. Net Debt to Comparable EBITDA: Expected to be around 2.7 times at year-end 2026. Shareholder Returns: On track to return approximately $800 million to shareholders in 2026, including at least $600 million in share repurchases. Warning! GuruFocus has detected 8 Warning Signs with ROK. Is BALL fairly valued? Test your thesis with our free DCF calculator. Release Date: August 04, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Global volumes grew 4.3% year-over-year in Q2 2026, with growth in every region, driven by strong demand for aluminum cans. Comparable diluted EPS increased 14.4% year-over-year in Q2, supported by strong operating earnings and capital allocation. The company remains on track to deliver 10%+ comparable diluted EPS growth for the full year 2026, with a strong first half performance. South America segment saw a 64% increase in comparable operating earnings, driven by mid-teens volume growth and favorable price/mix. The company is on track to return approximately $800 million to shareholders in 2026, including at least $600 million in share repurchases. The Millersburg facility has begun producing commercial cans, with full ramp-up expected in 2027, which will alleviate capacity constraints and drive future growth. The company's EVA-based capital allocation and Ball Business System are driving operational improvements and cost discipline. The company is well positioned for long-term growth with a strong contracted portfolio and a global footprint, with more than 50% of volumes contracted through the end of the decade. North and Central America segment comparable operating earnings declined 2.4% year-over-year, impacted by higher costs and start-up costs at Millersburg. The company is operating with tight capacity in North America and EMEA, leading to operational friction and limiting the ability to fully capitalize on demand. Start-up costs for Millersburg are expected to total approximately $35 million in 2026, with $30 million expected in the second half, pressuring near-term earnings. The integration of Benepack facilities in EMEA is not yet accretive, with full benefits expected only in 2027. The company faces potential headwinds from elevated aluminum prices, which, despite pass-through models, could impact consumer demand. The company's share repurchases are back-half weighted, with only $100 million completed in the first half, due to free cash flow seasonality. The company's volume growth in North America is expected to be at the low end of its 1% to 3% long-term range, reflecting capacity constraints. The company's EMEA volume growth is partly offset by the sale of its Saudi Arabian business, which reduces overall segment growth. Q: How did the flagship events over the summer, including America 250 and the World Cup, impact your volumes? Was that material in any way? A: Ron Lewis (CEO) stated that while the company was running notably tight in North America and did not see meaningful growth from these events, they provided confidence in the growth that flowed through. He noted that the company is trying to bring the new Millersburg plant up and will remain notably tight until that capacity is operational. Q: Can you provide more color on the cadence of start-up costs for Millersburg between Q3 and Q4, and what the expectations are for the plant's ramp-up? A: Ron Lewis (CEO) confirmed that the company expects roughly $35 million in start-up costs for the year, with about $5 million in the first half and the remaining $30 million in the back half. He highlighted that the Millersburg plant is now making commercial cans and is on track for a full ramp-up in 2027, with the full benefit expected next year. Q: Given the strong Q2 performance in South America, can you provide more thoughts on the second half and the individual markets there? A: Ron Lewis (CEO) noted that South America can be volatile quarter-to-quarter, but the company is focused on delivering against its long-term growth outlook of 4% to 6%. He expressed increased confidence in hitting at least the low end of that range, possibly the middle, for the full year. He attributed the strong quarter to a privileged customer portfolio that benefited from World Cup success. Q: In North and Central America, EBIT was about flat despite volume growth, even after adding back start-up costs. Can you explain why you didn't see the normal operating leverage? A: Ron Lewis (CEO) explained that the company is notably tight, and high utilization rates combined with volume growth create operational friction, putting pressure on scheduling, labor, freight, and maintenance. Dan Rabbitt (CFO) added that strong demand challenged the network, but these are "good problems to have," and the enterprise-level operating earnings growth of 8% was excellent. Q: Is the mix of alcohol in your portfolio still expected to decrease over time, and how are you thinking about the beer category? A: Ron Lewis (CEO) stated that beer remains an important category but is not the only or biggest one. He emphasized that the can continues to win due to other categories picking up the pace, and regardless of what is sold in the can, the substrate will continue to grow as consumers prioritize convenience and sustainability. Q: Are there any updates on your contracted volume outlook for North America, and what are you seeing in Europe? A: Ron Lewis (CEO) said there has been no material change, with the company still more than 50% sold out through the end of the decade. He described Europe as a "land of opportunity" with lower can penetration rates, stronger sustainability tailwinds, and more investment in can filling capacity, leading to volume growth above the high end of the 3% to 5% long-term range. Q: How did your regional volumes compare with the market in the quarter? A: Ron Lewis (CEO) stated that North America grew low single digits, in line with expectations and the market. EMEA grew mid-single digits, also in line with the market. South America was the standout, growing mid-teens while the market was flattish to up slightly, driven by strong customer activity and World Cup success. Q: Can you talk about capital allocation and whether we should expect about $200 million of share repurchases in each of the remaining quarters? A: Dan Rabbitt (CFO) confirmed the company is on track to repurchase around $600 million of shares and deliver close to $200 million in dividends for a total of $800 million in 2026. He noted that through the first half, they've done about $100 million of repurchases, with the back-half nature of free cash flow driving the timing, as they didn't want to leverage up the balance sheet. Q: In North America, is volume growth still coming from substrate shift, or is it more from new product launches? A: Ron Lewis (CEO) noted that the overall beverage market in North America is relatively flat while the can grows 2% to 3%, indicating the can continues to take share. He highlighted that when customers launch new products, they more often than not choose a can, leveraging different sizes and multipack configurations to deliver value to consumers. Q: Are there any start-up costs expected for Millersburg in 2027, or are they done after 2026? A: Dan Rabbitt (CFO) confirmed that the $35 million in start-up costs are all expected in 2026, with the plan for the plant to be a contributor next year. He stated there are no start-up costs building into 2027, as the plant is already making commercial cans and the ramp-up is on track. Q: When should Millersburg and Benepack be fully ramped up, and what is the early read on July volumes? A: Ron Lewis (CEO) stated that Millersburg should deliver pretty much its full value beginning in Q1 2027, while Benepack should be fully ramped and accretive by 2027. He noted that July results are right on track with Q3 and full-year plans, with strong confidence based on July and month-to-date August numbers. Q: Can you talk about the aerosol business performance and the competitive environment, given a competitor's expansion in Pennsylvania? A: Ron Lewis (CEO) said the personal and home care business is accretive to overall volume and operating earnings growth, with a positive outlook. Dan Rabbitt (CFO) added that the business grew high single digits in the quarter, and since Ball's operations are in Mexico, a competitor's US expansion is not necessarily relevant to their competitive landscape. Q: Do you expect any near- to medium-term impact from the Section 232 changes on aluminum? A: Ron Lewis (CEO) stated there are no current impacts and no foreseeable big changes relative to tariff and trade policies. He noted that while aluminum is a pass-through model, the industry For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Ball (BALL) came out with quarterly earnings of $1.03 per share, beating the Zacks Consensus Estimate of $0.99 per share. This compares to earnings of $0.9 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +4.04%. A quarter ago, it was expected that this metal packaging company would post earnings of $0.85 per share when it actually produced earnings of $0.94, delivering a surprise of +10.59%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Ball, which belongs to the Zacks Containers - Metal and Glass industry, posted revenues of $4 billion for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 9.03%. This compares to year-ago revenues of $3.34 billion. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Ball shares have added about 23% since the beginning of the year versus the S&P 500's gain of 11%. While Ball has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Ball was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.06 on $3.6 billion in revenues for the coming quarter and $3.99 on $14.29 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Containers - Metal and Glass is currently in the top 23% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the broader Zacks Industrial Products sector, Amcor (AMCR), is yet to report results for the quarter ended June 2026. The results are expected to be released on August 12. This packaging company is expected to post quarterly earnings of $1.20 per share in its upcoming report, which represents a year-over-year change of +20%. The consensus EPS estimate for the quarter has been revised 0.1% higher over the last 30 days to the current level. Amcor's revenues are expected to be $6.06 billion, up 19.3% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Ball Corporation (BALL) : Free Stock Analysis Report Amcor PLC (AMCR) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Performance was driven by a 4.3% increase in global volumes, marking the sixth consecutive quarter of growth as aluminum cans continue to gain market share over other substrates. Management attributed the 14.4% comparable diluted EPS growth to disciplined cost management, favorable price/mix, and the execution of the Ball Business System. North American operations are currently running notably tight with high utilization rates, which created some operational friction and pressure on labor and freight costs during the quarter. South American results saw a significant 64% increase in operating earnings, fueled by mid-teens volume growth as the region recovered from prior inventory timing impacts and benefited from major sporting events. The EMEA segment's performance reflected the strategic integration of Benepack and underlying demand, though results were partially offset by the prior year's divestiture of the Saudi Arabian business. Strategic positioning remains focused on the 'EVA' (Economic Value Added) framework, prioritizing capital allocation toward high-return investments and consistent shareholder returns. Management reaffirmed its 2026 framework, targeting 10-plus percent comparable diluted EPS growth and free cash flow exceeding $900 million. The Millersburg facility is expected to reach full ramp-up in 2027, with approximately $30 million in start-up costs anticipated for the second half of 2026 to support this capacity expansion. Full-year volume growth is projected to be around 3%, with North America at the low end of the 1% to 3% range and EMEA exceeding the 3% to 5% range due to the Benepack acquisition. The company remains on track to return approximately $800 million to shareholders in 2026 through a combination of at least $600 million in share repurchases and quarterly dividends. Capital expenditures for 2026 are expected to align with GAAP depreciation and amortization, maintaining a disciplined approach to capacity management. Start-up costs for the Millersburg facility totaled approximately $5 million in the second quarter, with the majority of the $35 million annual budget weighted toward the second half of the year. Management noted that while aluminum costs are passed through to customers, elevated prices remain a concern as they can eventually impact end-consumer demand. The integration of Benepack assets in Hungary and Belgium is ongoing, with these facilities expected to become fully accretive to the network by 2027. Extreme heat in manufacturing plants was cited as a factor contributing to operational challenges and friction during the high-demand summer season. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management explained that high utilization and strong demand created 'operational friction' in scheduling, labor, and maintenance, which limited operating leverage in North America. The enterprise-wide operating earnings growth of 8% was highlighted as a strong result despite these localized regional pressures. The mid-teens volume growth in South America was partly attributed to customer success during the World Cup, though management cautioned against fixating on a single quarter due to regional volatility. Confidence was expressed in meeting or exceeding the low end of the 4% to 6% long-term growth range for the full year in South America. Management confirmed that more than 50% of volumes are sold out through the end of the decade, providing a durable runway for demand. The company emphasized that any new capacity investments will continue to be backed by long-term offtake agreements with strategic customers. Management stated that recent changes to Section 232 are not material enough to move the needle for the business. They expressed a preference for lower aluminum prices to support customer and consumer demand, despite the pass-through nature of their contracts.