Avery Dennison (AVY) concentration risks

The company's concentration profile is defined by two complementary geographic exposures that together describe a business whose revenue base is predominantly international and significantly weighted toward higher-growth markets. Approximately 69% of net sales originated outside the U.S. — a high-share international concentration by disclosed size, structural in character, reflecting decades of global manufacturing and customer investment that the company cannot readily reverse. Within that international footprint, approximately 40% of net sales in 2025 originated in emerging markets — a moderate-share geographic subset that carries its own distinct risk profile. The two exposures are additive rather than offsetting. The high overall international share means currency translation and broad global macro conditions are the dominant external variables for the consolidated revenue line. The moderate emerging market share narrows the focus to a specific subset of those international operations where political risk, currency volatility, and local regulatory environments can be more pronounced than in developed markets. Importantly, the emerging markets figure is nested within the larger international sales figure, so they are not independent exposures. No customer, supplier, or product concentration is disclosed on top of this geographic tilt. On balance, the profile is well-disclosed and consistent with a global materials science business that has built its franchise internationally. The key monitoring variables are the strength of the U.S. dollar, emerging market economic conditions, and trade policy dynamics in the company's key international markets.

For the engine’s reasoning on AVY’s current verdict — including which dimensions drove the score — see the per-dimension breakdown.

Concentration counts reflect items disclosed in each peer’s most recent 10-K; disclosed-size classification uses TrendMatrix’s internal 10-K extraction taxonomy.