Ball (NYSE:BALL) Surprises With Strong Q1 CY2026

Packaging manufacturer Ball (NYSE:BLL) reported Q1 CY2026 results exceeding the market’s revenue expectations, with sales up 16.3% year on year to $3.6 billion. Its non-GAAP profit of $0.94 per share was 11.3% above analysts’ consensus estimates.

Is now the time to buy Ball? Find out by accessing our full research report, it’s free.

"Ball delivered strong first-quarter results, growing comparable EPS more than 20 percent versus the first quarter of 2025. Higher volumes and operating earnings were driven by our solid financial position, streamlined operating model and disciplined growth strategy. While we remain vigilant amid the current geopolitical and macroeconomic environment, we are well-positioned to execute and achieve our 2026 objectives. Continued operational excellence, coupled with investments in innovation and sustainability, supports manufacturing efficiency, customer success and long-term value creation for shareholders," said Ron Lewis, chief executive officer.

Company Overview

Started with a $200 loan in 1880, Ball (NYSE:BLL) manufactures aluminum packaging for beverages, personal care, and household products as well as aerospace systems and other technologies.

Revenue Growth

A company’s long-term sales performance is one signal of its overall quality. Any business can put up a good quarter or two, but the best consistently grow over the long haul. Unfortunately, Ball’s 2.4% annualized revenue growth over the last five years was sluggish. This was below our standards and is a rough starting point for our analysis.

We at StockStory place the most emphasis on long-term growth, but within industrials, a half-decade historical view may miss cycles, industry trends, or a company capitalizing on catalysts such as a new contract win or a successful product line. Ball’s recent performance shows its demand has slowed as its revenue was flat over the last two years.

This quarter, Ball reported year-on-year revenue growth of 16.3%, and its $3.6 billion of revenue exceeded Wall Street’s estimates by 8.1%.

Looking ahead, sell-side analysts expect revenue to grow 2.8% over the next 12 months. Although this projection suggests its newer products and services will spur better top-line performance, it is still below the sector average.

ALSO WORTH WATCHING: Nvidia’s Quiet Partner. Nvidia’s chips cost a hundred grand. The connectors that make them work cost even more. One company makes them all.

Every AI server needs specialized infrastructure the chip companies don’t make. High-speed cables. Power connectors. Thermal sensors. This 90-year-old company built a monopoly on it. The AI boom just started. This stock is still flying under the radar. Claim The Stock Ticker Here for FREE.

Operating Margin

Operating margin is an important measure of profitability as it shows the portion of revenue left after accounting for all core expenses – everything from the cost of goods sold to advertising and wages. It’s also useful for comparing profitability across companies with different levels of debt and tax rates because it excludes interest and taxes.

Ball’s operating margin has been trending up over the last 12 months and averaged 8.9% over the last five years. Its profitability was higher than the broader industrials sector, showing it did a decent job managing its expenses.

Analyzing the trend in its profitability, Ball’s operating margin might fluctuated slightly but has generally stayed the same over the last five years. We like to see margin expansion, but we’re still happy with Ball’s performance considering most Industrial Packaging companies saw their margins plummet.

In Q1, Ball generated an operating margin profit margin of 11.3%, up 1.8 percentage points year on year. The increase was encouraging, and because its gross margin actually decreased, we can assume it was more efficient because its operating expenses like marketing, R&D, and administrative overhead grew slower than its revenue.

Earnings Per Share

Revenue trends explain a company’s historical growth, but the long-term change in earnings per share (EPS) points to the profitability of that growth – for example, a company could inflate its sales through excessive spending on advertising and promotions.

Ball’s unimpressive 4.2% annual EPS growth over the last five years aligns with its revenue performance. On the bright side, this tells us its incremental sales were profitable.

Like with revenue, we analyze EPS over a shorter period to see if we are missing a change in the business.

Ball’s two-year annual EPS growth of 14% was great and topped its flat revenue.

We can take a deeper look into Ball’s earnings quality to better understand the drivers of its performance. Ball’s operating margin has expanded over the last two yearswhile its share count has shrunk 15.7%. Improving profitability and share buybacks are positive signs for shareholders as they juice EPS growth relative to revenue growth.

In Q1, Ball reported adjusted EPS of $0.94, up from $0.76 in the same quarter last year. This print easily cleared analysts’ estimates, and shareholders should be content with the results. Over the next 12 months, Wall Street expects Ball’s full-year EPS of $3.77 to grow 8.4%.

Key Takeaways from Ball’s Q1 Results

We were impressed by how significantly Ball blew past analysts’ EBITDA expectations this quarter. We were also excited its adjusted operating income outperformed Wall Street’s estimates by a wide margin. Zooming out, we think this quarter featured some important positives. The stock remained flat at $61.14 immediately following the results.

Sure, Ball had a solid quarter, but if we look at the bigger picture, is this stock a buy? The latest quarter does matter, but not nearly as much as longer-term fundamentals and valuation, when deciding if the stock is a buy. We cover that in our actionable full research report which you can read here (it’s free).