Pactiv Evergreen initiated with a Buy at UBS

UBS analyst Curt Woodworth initiated coverage of Pactiv Evergreen with a Buy rating and $19 price target. Pactiv is a compelling execution story in the packaging space as restructuring actions and improved productivity set the stage for more consistent earnings performance and better free cash flow conversion, the analyst tells investors in a research note. Restructuring tailwinds and further productivity gains should support operating leverage, allowing EBITDA margins to improve from 13% in 2022 to 16%+ by 2025e, the firm adds.