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Avery Dennison Corporation’s Kroger & Walmart Push: Is Food The Next Big Labels Market?

Avery Dennison reported solid financial results for the second quarter of 2026, demonstrating continued growth across key metrics despite a complex inflationary and geopolitical environment. The company posted 8% organic sales growth, with adjusted earnings per share (EPS) rising 19% year-over-year to $2.89. This performance was partly supported by customer inventory prebuy activity, especially in the Materials Group, which contributed approximately half of the organic growth in the quarter and added an estimated $0.25 per share to earnings. Even when excluding these stocking effects, underlying sales and earnings growth remained robust. Adjusted EBITDA margins expanded across both Materials and Solutions segments, reflecting operational efficiencies and successful pricing actions that helped offset higher raw material and employee-related costs.