O-I Glass, Inc. (OI) Stock Analysis

Why this analysis is different

• A sector-relative MoonshotScore — five pillars (business quality, financial safety, valuation, growth durability, momentum) re-ranked nightly against the full universe of US-listed common stocks.
• An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
• Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.

O-I Glass, Inc. (OI) Consumer Business Overview

O-I Glass, Inc. (OI) is a leading global manufacturer of glass containers, serving the food and beverage sectors with a wide range of products. Operating across the Americas, Europe, and Asia Pacific, O-I faces competition in a mature market while focusing on sustainable glass solutions.

What Is the Investment Thesis for OI?

O-I Glass, Inc. presents a mixed investment thesis. With a market capitalization of $1.37B, the company operates in a mature industry with established supply chains. Key value drivers include its global presence and long-term supply agreements. However, a negative profit margin of -2.9% raises concerns about profitability. Potential growth catalysts involve expanding into emerging markets and innovating sustainable glass solutions. The company's beta of 0.84 suggests lower volatility compared to the market. Investors should closely monitor O-I Glass's ability to improve its profit margins and capitalize on growth opportunities in the evolving packaging landscape.

Based on FMP financials and quantitative analysis

OI Key Highlights

• Market capitalization of $1.37B indicates a mid-sized player in the packaging industry.
• Negative profit margin of -2.9% signals potential issues with profitability and cost management.
• Gross margin of 16.0% reflects the difference between revenue and cost of goods sold, highlighting the company's production efficiency.
• Beta of 0.84 suggests lower volatility compared to the overall market, potentially appealing to risk-averse investors.
• No dividend yield indicates that the company is not currently distributing profits to shareholders, possibly reinvesting earnings for growth.

Who Are OI's Competitors?

OI is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are OI's Key Strengths?

• Global presence with operations in multiple regions.
• Long-standing relationships with major food and beverage companies.
• Wide range of glass container products.
• Established distribution network.

What Are OI's Weaknesses?

• Negative profit margin.
• Exposure to fluctuations in raw material costs.
• Dependence on mature markets.
• High energy consumption in manufacturing processes.

What Could Drive OI Stock Higher?

• Expansion into emerging markets, particularly in Asia Pacific and Latin America, to drive revenue growth.
• Development and promotion of sustainable glass packaging solutions to attract environmentally conscious consumers.
• Potential strategic acquisitions to expand market share and geographic reach.
• Implementation of cost-reduction initiatives to improve profitability and margins.
• Launch of new glass container products with innovative designs and features.

What Are the Key Risks for OI?

• Financial-distress signal — its Altman Z-Score of 1.05 sits in the distress zone (elevated bankruptcy risk).
• Negative return on equity (-14.5%) — the business is not currently generating profit on shareholder capital.
• Intense competition from other packaging manufacturers, including those offering alternative materials.
• Fluctuations in raw material costs, such as sand, soda ash, and limestone, impacting profitability.
• Economic downturns affecting demand for packaged food and beverages.
• Increasing environmental regulations related to glass manufacturing and recycling.
• Shifts in consumer preferences towards alternative packaging materials like plastics and aluminum.

What Are the Growth Opportunities for OI?

• Expansion in Emerging Markets: O-I Glass can pursue growth by expanding its presence in emerging markets, particularly in Asia Pacific and Latin America. These regions offer increasing demand for packaged food and beverages, driven by rising disposable incomes and urbanization. By establishing manufacturing facilities and distribution networks in these markets, O-I Glass can tap into new revenue streams and reduce its reliance on mature markets. The timeline for this expansion could span 3-5 years, with potential revenue growth of 5-10% annually.
• Sustainable Glass Solutions: O-I Glass can capitalize on the growing demand for sustainable packaging by developing and promoting eco-friendly glass solutions. This includes using recycled glass in its manufacturing processes, reducing energy consumption, and minimizing waste. By positioning itself as a leader in sustainable packaging, O-I Glass can attract environmentally conscious consumers and gain a competitive advantage. The market for sustainable packaging is projected to grow at a rate of 7-9% annually, offering significant opportunities for O-I Glass.
• Product Innovation: O-I Glass can drive growth through product innovation, developing new glass container designs and features that meet the evolving needs of its customers. This includes creating lightweight glass containers, developing tamper-evident closures, and offering customized packaging solutions. By investing in research and development, O-I Glass can differentiate its products and command premium prices. The timeline for product innovation could involve launching 1-2 new products per year, with potential revenue growth of 3-5% annually.
• Strategic Acquisitions: O-I Glass can pursue growth through strategic acquisitions, acquiring smaller glass manufacturers or packaging companies to expand its market share and geographic reach. This can provide access to new technologies, customer relationships, and distribution networks. By carefully selecting acquisition targets, O-I Glass can create synergies and improve its overall profitability. The timeline for strategic acquisitions could involve completing 1-2 acquisitions every 2-3 years, with potential revenue growth of 5-10% per acquisition.
• Partnerships and Collaborations: O-I Glass can foster growth by forming partnerships and collaborations with other companies in the food and beverage industry. This includes working with beverage manufacturers to develop innovative packaging solutions, collaborating with recycling companies to improve glass recycling rates, and partnering with technology companies to enhance its manufacturing processes. By leveraging the expertise and resources of its partners, O-I Glass can accelerate its growth and innovation efforts. The timeline for partnerships and collaborations could involve establishing 2-3 new partnerships per year, with potential revenue growth of 2-4% annually.

What Opportunities Does OI Have?

• Expansion in emerging markets.
• Development of sustainable glass solutions.
• Product innovation and customization.
• Strategic acquisitions to expand market share.

What Threats Does OI Face?

• Intense competition from other packaging manufacturers.
• Changing consumer preferences for alternative packaging materials.
• Increasing environmental regulations.
• Economic downturns affecting demand for packaged goods.

What Are OI's Competitive Advantages?

• Established relationships with major food and beverage companies.
• Global manufacturing footprint with operations in multiple regions.
• Extensive product line with a variety of glass container options.

What Does OI Do?

Founded in 1903 and headquartered in Perrysburg, Ohio, O-I Glass, Inc. has evolved into one of the world's largest manufacturers of glass containers. The company serves a diverse range of food and beverage manufacturers across the Americas, Europe, and the Asia Pacific region. O-I Glass produces glass packaging for alcoholic beverages, including beer, flavored malt beverages, spirits, and wine. Additionally, the company manufactures glass containers for various food items, soft drinks, tea, juices, and pharmaceuticals. O-I Glass offers its products directly to customers through annual or multi-year supply agreements and through distributors. The company's extensive product line includes glass containers in a variety of sizes, shapes, and colors, catering to the specific needs of its clientele. With a history spanning over a century, O-I Glass has established a significant presence in the packaging industry, adapting to changing market demands and technological advancements in glass manufacturing.

What Products and Services Does OI Offer?

• Manufactures glass containers for the food and beverage industries.
• Produces glass packaging for alcoholic beverages like beer, spirits, and wine.
• Creates glass containers for food items, soft drinks, tea, and juices.
• Offers glass packaging for pharmaceuticals.
• Provides glass containers in various sizes, shapes, and colors.
• Sells products directly to customers through supply agreements and distributors.

How Does OI Make Money?

• Manufactures and sells glass containers to food and beverage companies.
• Generates revenue through annual or multi-year supply agreements.
• Distributes products directly to customers and through distributors.

What Industry Does OI Operate In?

O-I Glass operates within the packaging and containers industry, a sector characterized by mature markets and intense competition. The industry is influenced by trends such as increasing demand for sustainable packaging solutions and evolving consumer preferences. Competitors include both glass and alternative packaging manufacturers. O-I Glass's position is defined by its global presence and long-standing relationships with major food and beverage companies. The company must navigate challenges related to raw material costs, energy consumption, and environmental regulations to maintain its competitive edge.

Who Are OI's Key Customers?

• Food manufacturers requiring glass packaging.
• Beverage companies producing alcoholic and non-alcoholic drinks.
• Pharmaceutical companies needing glass containers for their products.

OI Valuation & Market Position

With a $1.37B market cap, O-I Glass, Inc. sits in the small-cap segment of the market. Relative to its peer group, OI's quantitative score of 42/100 is below the peer average of 59/100.

FY2026 estForward Outlook

Wall Street analysts project O-I Glass, Inc. revenue of about $6.46B for fiscal 2026, with EPS near $1.15. The estimate reflects 6 contributing analysts.

F-Score 4/9Financial Health

O-I Glass, Inc.'s Piotroski F-Score is 4/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 1.05 places it in the distress zone, a signal of elevated financial risk.

ROE -14%Key Financial Metrics

Return on equity for O-I Glass, Inc. stands at -14.5%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is -2.1%, showing how much profit it generates from its asset base. Its free cash flow yield is 2.6%, a gauge of the cash the business throws off relative to its market value. A current ratio of 1.26 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is -12.7%, the inverse of the P/E and a quick read on earnings relative to price.

OI Financials

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OI Analyst Consensus

OI MoonshotScore

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Common Questions About OI (Consumer Cyclical)

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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