Analyst Note| Charles Gross |
In the fourth quarter, Crown continued to benefit as people spent more time at home because of the COVID-19 pandemic. Aluminum beverage cans remained in high demand, which we expect to continue heading into 2021. Food can volumes were also robust. Only the transit segment remains a true work in progress, with the business still recovering from the global recession. We anticipate another year of robust earnings growth in 2021, with adjusted earnings per share nearing the high end of management's guidance at $6.75. We've slightly increased our fair value estimate to $68 per share from $67, mainly due to the time value of money. Our narrow moat rating is unchanged.