Avery Dennison vs SQM

This page compares Avery Dennison Corporation and SQM (Chemical & Mining Co. of Chile Inc.) across business models, financial performance, and market context. It offers a neutral overview to help readers understand the differences and similarities between the two companies without providing advice. Educational content, not financial advice.

This page compares Avery Dennison Corporation and SQM (Chemical & Mining Co. of Chile Inc.) across business models, financial performance, and market context. It offers a neutral overview to help read...

About The Companies

Avery Dennison (AVY)

Avery Dennison Corporation (AVY) is a global materials science company best known for pressure-sensitive labels, adhesive technologies and solutions for retail, apparel and packaging. Investors should note its diversified revenue streams — from label and graphic materials to RFID and retail branding — which tie performance to consumer goods, e-commerce and packaging cycles. The company has a broad international footprint, long-standing customer relationships and technical capabilities in sustainable and specialty materials that can support steady demand, though growth depends on end-market activity and capital spending. Key risks include raw-material cost volatility, currency exposures, competition and cyclicality in retail and industrial demand. Avery Dennison typically generates stable cash flow but investors should check the latest financials, dividend policy and valuation. This is general educational information, not personalised investment advice; consider your own objectives and seek independent advice if needed.

SQM (SQM)

Chemical & Mining Co. of Chile Inc. (SQM) is a Chile-based producer of lithium, potassium nitrate, iodine and specialty fertilisers. As one of the world’s larger lithium suppliers, SQM benefits from demand for electric vehicle batteries and grid storage but remains exposed to commodity price cycles. The company’s operations are concentrated around salt flats in northern Chile, which can create regulatory, environmental and water‑use sensitivities. Revenue streams are diversified across fertilisers, industrial chemicals and specialty products, yet earnings can be cyclical and influenced by global agricultural demand, lithium pricing and currency moves. Investors should weigh potential upside from structural lithium demand against volatility, regulatory risk and operational concentration. Market capitalisation is about $11.97bn. This is general educational information only — not personal investment advice. Values can rise and fall and suitability depends on your circumstances; consult a qualified financial adviser for tailored guidance.

Comparison Snapshot

Key Financial Metrics

AVY

Metric

SQM

$14.11B

Market Cap

$17.62B

12.86%

Potential Profit

-2.34%

Buy

Analyst Rating

Hold

Which Baskets Do They Appear In?

Green Packaging Investment Theme: 18 Stocks (2025)

International Paper's $1.5 billion sale of its cellulose fibers unit signals a strategic pivot to its core sustainable packaging business. This move highlights a broader industry trend of portfolio optimization, creating potential growth opportunities for companies focused on eco-friendly packaging solutions and related industries.

Published: August 22, 2025

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Which Baskets Do They Appear In?

Green Packaging Investment Theme: 18 Stocks (2025)

International Paper's $1.5 billion sale of its cellulose fibers unit signals a strategic pivot to its core sustainable packaging business. This move highlights a broader industry trend of portfolio optimization, creating potential growth opportunities for companies focused on eco-friendly packaging solutions and related industries.

Published: August 22, 2025

Explore Basket

Investment Analysis

Avery Dennison

AVY

Pros

Delivered solid and above-expectation earnings in Q3 2025, showing portfolio strength and operational resilience.
Focused on high-value category growth, cost control, and disciplined capital allocation to drive profitable growth.
Strong liquidity position with over $530 million in cash and a manageable debt level around $3.55 billion.

Considerations

Organic sales growth remains flat or slightly negative, indicating challenges in expanding core markets organically.
Valuation appears relatively high with a price-to-earnings ratio above industry average, raising concerns of potential overvaluation.
Exposure to trade policy impacts, such as tariffs, which have led to decreased sourcing demand in some key categories.

SQM

Pros

Benefits from rising demand in lithium, potassium nitrate, and specialty plant nutrients amid growth in clean energy and agriculture.
Strong position as a leading global producer in key chemical and mining products with solid operational scale.
Exposure to secular growth trends, including electric vehicle battery materials and sustainable agriculture innovation.

Considerations

Significant exposure to commodity price volatility, particularly lithium and potash prices impacting earnings predictability.
Geopolitical and regulatory risks stemming from operating predominantly in Chile, including resource nationalism threats.
Capital expenditure and expansion plans carry execution and cost overrun risks in a dynamic global commodity market.

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About The Companies

Comparison Snapshot

Which Baskets Do They Appear In?

Green Packaging Investment Theme: 18 Stocks (2025)

Which Baskets Do They Appear In?

Green Packaging Investment Theme: 18 Stocks (2025)