AVY Stock Falls -11% On Executive Chairman’s Share Sale Amid Sector Weakness
Avery Dennison (AVY) – a provider of pressure-sensitive labels, packaging, adhesives, and medical fasteners. – hit a 7-day losing streak, with cumulative losses over this period amounting to -11%. The company’s market cap has crashed by about $1.6 Bil over the last 7 days and currently stands at $13 Bil.
The stock has YTD (year-to-date) return of 3.7% compared to -0.9% for S&P 500. This calls for a re-evaluation of the stock’s valuation to find out whether this is an opportunity or a trap.
What Triggered The Slide?
[1] Executive Chairman Sells Shares
- Executive Chairman sold 40,000 shares in early March
- Stock declined for 5 consecutive days through March 6
- Impact: Increased Selling Pressure, Negative Investor Sentiment
[2] Broader Market Volatility and Sector Weakness
- Industrials sector faced pressure from geopolitical tensions
- Weak February jobs report
- Impact: Sector-wide sell-off, Rotation out of industrial stocks
Opportunity or Trap?
Below is our take on valuation.
There are several things to fear in AVY stock given its overall Weak operating performance and financial condition. This isn’t appropriately reflected in the stock’s Moderate valuation which is why we think it is Unattractive (For details, see Buy or Sell AVY).
But here is the real interesting point.
You are reading about this -11% move after it happened. The market has already priced in the news. To avoid the next loser before the headlines, you need predictive signals, not notifications. Our High Quality Portfolio has a risk model designed to reduce exposure to losers.
Returns vs S&P 500
The following table summarizes the return for AVY stock vs. the S&P 500 index over different periods, including the current streak:
| Return Period | AVY | S&P 500 |
|---|---|---|
| 1D | -1.2% | -0.2% |
| 7D (Current Streak) | -11.2% | -1.4% |
| 1M (21D) | -8.5% | -2.2% |
| 3M (63D) | -2.3% | -1.3% |
| YTD 2026 | -3.7% | -0.9% |
| 2025 | -0.7% | 16.4% |
| 2024 | -5.9% | 23.3% |
| 2023 | 13.7% | 24.2% |
Take a look at what history tells you about whether past dips like this have been buying opportunities or traps: AVY Dip Buyer Analysis.
Gains and Losses Streaks: S&P 500 Constituents
There are currently 10 S&P constituents with 3 days or more of consecutive gains and 101 constituents with 3 days or more of consecutive losses.
| Consecutive Days | # of Gainers | # of Losers |
|---|---|---|
| 3D | 6 | 37 |
| 4D | 0 | 31 |
| 5D | 2 | 5 |
| 6D | 0 | 9 |
| 7D or more | 2 | 19 |
| Total >=3 D | 10 | 101 |
Key Financials for Avery Dennison (AVY)
Last 2 Fiscal Years:
| Metric | FY2024 | FY2025 |
|---|---|---|
| Revenues | $8.8 Bil | $8.9 Bil |
| Operating Income | $1.1 Bil | $1.1 Bil |
| Net Income | $704.9 Mil | $688.0 Mil |
Last 2 Fiscal Quarters:
| Metric | 2025 FQ3 | 2025 FQ4 |
|---|---|---|
| Revenues | $2.2 Bil | $2.3 Bil |
| Operating Income | $281.1 Mil | $281.5 Mil |
| Net Income | $166.3 Mil | $166.4 Mil |
The losing streak AVY stock is currently on doesn’t inspire much confidence among investors. In contrast, Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 — the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.