Shares of packaging maker Ball slide on 2Q results

Shares of plastic and metal packaging company Ball Corp. fell Thursday after its second-quarter net income fell 5.6 percent on higher costs and weaker profit margins from its European beverage can business, but analysts said the decline was a buying opportunity.

For the three months ended June 29, net income declined to $100 million, or $1.02 per share, compared with $105.9 million, or $1.03 per share, in the year-earlier period.

Excluding one-time charges of 8 cents per share, Ball posted adjusted earnings per share of $1.10. Analysts polled by Thomson Financial expected, on average, earnings per share of $1.12. Such expectations typically exclude one-time charges and gains.

Shares fell $4.47, or 9 percent, to $45.46 Thursday.

"We view any share price weakness as a buying opportunity as the outlook for beverage cans remains positive and Ball is well positioned to benefit," Goldman Sachs analyst Richard Skidmore wrote in a client note. "Additionally, Ball has numerous ongoing initiatives to improve results and reduce costs within its plastics and metal food and household businesses that will positively affect results in 2009."

Wachovia Capital Markets analyst Ghansham Panjabi said he would be an "aggressive buyer" if the stock falls to $45. He has a valuation range on the stock of $60 to $64.