TG Stock Recent News

RICHMOND, Va.--(BUSINESS WIRE)--As previously announced, on September 1, 2023, Tredegar Corporation (NYSE: TG) entered into a definitive agreement to sell its flexible packaging films (“Terphane”) business to Oben Group. Completion of the sale is contingent upon the satisfaction of customary closing conditions, including the receipt of certain competition filing approvals by authorities in Brazil. Tredegar announced today that, as part of the Brazilian merger review process regarding the sale o.

Tredegar is an undervalued stock with low investor interest due to poor performance and lackluster results. The company has implemented corporate initiatives to improve its financials in the near term. The sale of a business division and the potential for a return to normal results make this an attractive investment opportunity.

Aluminum is a highly utilitarian metal that has application across multiple Industries. However, prices have fallen throughout 2023, which has caused problems for weaker aluminum stocks.

Tredegar has undergone a business transition, shifting from mainly a plastic company to mainly an aluminum extrusion company. The company has shown improving operating efficiencies and financial soundness, with a low reinvestment rate and good capital allocation. However, the company operates in a cyclical sector and current valuations do not offer enough margin of safety. But the declining market price may present an opportunity at USD 4 per share.

Tredegar is a manufacturer and distributor of polyethylene, polyester, and aluminum. If LCD, LED, and OLED manufacturers show more demand for Tredegar's products, revenue growth will likely trend north.