Even long-term investors must be wondering what they're doing with Orora Ltd (ASX: ORA) in their portfolio.
The S&P/ASX 200 Index (ASX: XJO) stock has lost more than 26% over the past five years.
Recent times have been no picnic either, with the Orora share price plunging 25.6% since the August reporting season.
However, Seneca Financial Solutions investment advisor Arthur Garipoli reckons the ASX 200 stalwart is due for a turnaround.
Check out his buy case for the packaging solutions provider:
'Future earnings growth and solid cash flows'
Garipoli pointed out that after the recent decline, Orora shares are cheap.
"This multinational packaging company was recently trading below average price-earnings (P/E) ratio levels," Garipoli told The Bull.
"We believe Orora is trading at a discount and offers a good long-term buying opportunity at these levels."
The stock pays out a tidy 6.8% dividend yield, which could have sustained the faithful over the years.
More importantly, Garipoli is convinced the outlook for the ASX 200 giant is positive.
"We expect Orora to deliver future earnings growth and solid cash flows," he said.
"The recently completed acquisition of Saverglass provides Orora with market share in the premium wine and spirit categories."
Orora definitely has other fans in the professional community at the moment.
According to CMC Invest, seven out of 13 analysts currently recommend it as a buy.
Last week Evan and Partners upgraded its rating for Orora.
Those analysts have set a short-term price target of $3, which is a 17% upside from the current level.
In the packaging industry, Orora competes against brands like Visy Industries and O-I Glass Inc (NYSE: OI).
