APTARGROUP INC (ATR) Stock Fundamental Analysis
NYSE:ATR - New York Stock Exchange, Inc. - US0383361039 - Common Stock - Currency: USD
We assign a fundamental rating of 6 out of 10 to ATR. ATR was compared to 22 industry peers in the Containers & Packaging industry. ATR has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. ATR is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year ATR was profitable.
In the past year ATR had a positive cash flow from operations.
Each year in the past 5 years ATR has been profitable.
Each year in the past 5 years ATR had a positive operating cash flow.
1.2 Ratios
The Return On Assets of ATR (8.18%) is better than 90.91% of its industry peers.
With a decent Return On Equity value of 14.59%, ATR is doing good in the industry, outperforming 72.73% of the companies in the same industry.
ATR's Return On Invested Capital of 11.39% is amongst the best of the industry. ATR outperforms 90.91% of its industry peers.
ATR had an Average Return On Invested Capital over the past 3 years of 10.32%. This is above the industry average of 7.48%.
The 3 year average ROIC (10.32%) for ATR is below the current ROIC(11.39%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.18% | ||
| ROE | 14.59% | ||
| ROIC | 11.39% |
ROA(3y)6.84%
ROA(5y)6.36%
ROE(3y)13.05%
ROE(5y)12.62%
ROIC(3y)10.32%
ROIC(5y)9.7%
1.3 Margins
ATR has a better Profit Margin (10.42%) than 100.00% of its industry peers.
ATR's Profit Margin has improved in the last couple of years.
ATR has a better Operating Margin (14.33%) than 95.45% of its industry peers.
In the last couple of years the Operating Margin of ATR has remained more or less at the same level.
Looking at the Gross Margin, with a value of 38.24%, ATR belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
ATR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.33% | ||
| PM (TTM) | 10.42% | ||
| GM | 38.24% |
OM growth 3Y7.03%
OM growth 5Y0.47%
PM growth 3Y11.39%
PM growth 5Y4.3%
GM growth 3Y1.82%
GM growth 5Y0.74%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so ATR is still creating some value.
Compared to 1 year ago, ATR has more shares outstanding
Compared to 5 years ago, ATR has more shares outstanding
ATR has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 5.10 indicates that ATR is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 5.10, ATR belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
ATR has a debt to FCF ratio of 2.83. This is a good value and a sign of high solvency as ATR would need 2.83 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.83, ATR belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
ATR has a Debt/Equity ratio of 0.28. This is a healthy value indicating a solid balance between debt and equity.
ATR's Debt to Equity ratio of 0.28 is amongst the best of the industry. ATR outperforms 95.45% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 2.83 | ||
| Altman-Z | 5.1 |
ROIC/WACC1.32
WACC8.6%
2.3 Liquidity
A Current Ratio of 1.25 indicates that ATR should not have too much problems paying its short term obligations.
ATR has a Current ratio of 1.25. This is comparable to the rest of the industry: ATR outperforms 45.45% of its industry peers.
A Quick Ratio of 0.85 indicates that ATR may have some problems paying its short term obligations.
ATR has a Quick ratio of 0.85. This is comparable to the rest of the industry: ATR outperforms 50.00% of its industry peers.
The current and quick ratio evaluation for ATR is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.25 | ||
| Quick Ratio | 0.85 |
3. Growth
3.1 Past
ATR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.63%, which is quite good.
ATR shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.38% yearly.
The Revenue has been growing slightly by 0.34% in the past year.
ATR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.61% yearly.
EPS 1Y (TTM)9.63%
EPS 3Y13.38%
EPS 5Y7.38%
EPS Q2Q%-4.76%
Revenue 1Y (TTM)0.34%
Revenue growth 3Y3.55%
Revenue growth 5Y4.61%
Sales Q2Q%-3.07%
3.2 Future
ATR is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.71% yearly.
The Revenue is expected to grow by 6.17% on average over the next years.
EPS Next Y5.66%
EPS Next 2Y7.68%
EPS Next 3Y9.33%
EPS Next 5Y5.71%
Revenue Next Year3.09%
Revenue Next 2Y4.16%
Revenue Next 3Y4.96%
Revenue Next 5Y6.17%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 27.95, ATR can be considered very expensive at the moment.
Based on the Price/Earnings ratio, ATR is valued a bit more expensive than 72.73% of the companies in the same industry.
ATR is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 25.82, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 23.84, which indicates a rather expensive current valuation of ATR.
Based on the Price/Forward Earnings ratio, ATR is valued a bit more expensive than the industry average as 77.27% of the companies are valued more cheaply.
The average S&P500 Price/Forward Earnings ratio is at 21.76. ATR is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.95 | ||
| Fwd PE | 23.84 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ATR is valued a bit more expensive than 77.27% of the companies in the same industry.
ATR's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.9 | ||
| EV/EBITDA | 14.24 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ATR does not grow enough to justify the current Price/Earnings ratio.
ATR has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)4.94
PEG (5Y)3.79
EPS Next 2Y7.68%
EPS Next 3Y9.33%
5. Dividend
5.1 Amount
ATR has a Yearly Dividend Yield of 1.16%.
Compared to an average industry Dividend Yield of 3.20, ATR is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.36, ATR's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.16% |
5.2 History
The dividend of ATR has a limited annual growth rate of 3.89%.
ATR has been paying a dividend for at least 10 years, so it has a reliable track record.
ATR has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)3.89%
Div Incr Years31
Div Non Decr Years31
5.3 Sustainability
31.58% of the earnings are spent on dividend by ATR. This is a low number and sustainable payout ratio.
ATR's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP31.58%
EPS Next 2Y7.68%
EPS Next 3Y9.33%
155.94
-0.71 (-0.45%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryContainers & Packaging
Earnings (Last)
Earnings (Next)
Inst Owners92.74%
Inst Owner Change1.74%
Ins Owners0.49%
Ins Owner Change4.85%
Market Cap10.29B
Analysts85.45
Price Target173.57 (11.31%)
Short Float %1.48%
Short Ratio2.69
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.16% |
Yearly Dividend1.72
Dividend Growth(5Y)3.89%
DP31.58%
Div Incr Years31
Div Non Decr Years31
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.84%
Min EPS beat(2)2.87%
Max EPS beat(2)18.81%
EPS beat(4)3
Avg EPS beat(4)6.36%
Min EPS beat(4)-0.12%
Max EPS beat(4)18.81%
EPS beat(8)7
Avg EPS beat(8)7.12%
EPS beat(12)10
Avg EPS beat(12)6.34%
EPS beat(16)11
Avg EPS beat(16)4.3%
Revenue beat(2)0
Avg Revenue beat(2)-1.86%
Min Revenue beat(2)-2.24%
Max Revenue beat(2)-1.47%
Revenue beat(4)0
Avg Revenue beat(4)-2.39%
Min Revenue beat(4)-3.44%
Max Revenue beat(4)-1.47%
Revenue beat(8)1
Avg Revenue beat(8)-1.65%
Revenue beat(12)4
Avg Revenue beat(12)-0.83%
Revenue beat(16)8
Avg Revenue beat(16)-0.03%
PT rev (1m)-1.16%
PT rev (3m)-6.16%
EPS NQ rev (1m)10.76%
EPS NQ rev (3m)11.49%
EPS NY rev (1m)6.05%
EPS NY rev (3m)6.22%
Revenue NQ rev (1m)3.77%
Revenue NQ rev (3m)3.77%
Revenue NY rev (1m)1.41%
Revenue NY rev (3m)-1.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.95 | ||
| Fwd PE | 23.84 | ||
| P/S | 2.89 | ||
| P/FCF | 28.9 | ||
| P/OCF | 16.23 | ||
| P/B | 4.05 | ||
| P/tB | 7.72 | ||
| EV/EBITDA | 14.24 |
EPS(TTM)5.58
EY3.58%
EPS(NY)6.54
Fwd EY4.19%
FCF(TTM)5.4
FCFY3.46%
OCF(TTM)9.61
OCFY6.16%
SpS53.88
BVpS38.47
TBVpS20.21
PEG (NY)4.94
PEG (5Y)3.79
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.18% | ||
| ROE | 14.59% | ||
| ROCE | 15.35% | ||
| ROIC | 11.39% | ||
| ROICexc | 11.85% | ||
| ROICexgc | 18.53% | ||
| OM | 14.33% | ||
| PM (TTM) | 10.42% | ||
| GM | 38.24% | ||
| FCFM | 10.01% |
ROA(3y)6.84%
ROA(5y)6.36%
ROE(3y)13.05%
ROE(5y)12.62%
ROIC(3y)10.32%
ROIC(5y)9.7%
ROICexc(3y)10.97%
ROICexc(5y)10.33%
ROICexgc(3y)17.95%
ROICexgc(5y)17.23%
ROCE(3y)13.65%
ROCE(5y)12.84%
ROICexcg growth 3Y5.78%
ROICexcg growth 5Y-0.35%
ROICexc growth 3Y9.34%
ROICexc growth 5Y0.75%
OM growth 3Y7.03%
OM growth 5Y0.47%
PM growth 3Y11.39%
PM growth 5Y4.3%
GM growth 3Y1.82%
GM growth 5Y0.74%
F-Score7
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 2.83 | ||
| Debt/EBITDA | 0.93 | ||
| Cap/Depr | 104.82% | ||
| Cap/Sales | 7.82% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 81.82% | ||
| Profit Quality | 96.14% | ||
| Current Ratio | 1.25 | ||
| Quick Ratio | 0.85 | ||
| Altman-Z | 5.1 |
F-Score7
WACC8.6%
ROIC/WACC1.32
Cap/Depr(3y)124.89%
Cap/Depr(5y)124.02%
Cap/Sales(3y)8.95%
Cap/Sales(5y)9%
Profit Quality(3y)83.88%
Profit Quality(5y)84.61%
High Growth Momentum
Growth
EPS 1Y (TTM)9.63%
EPS 3Y13.38%
EPS 5Y7.38%
EPS Q2Q%-4.76%
EPS Next Y5.66%
EPS Next 2Y7.68%
EPS Next 3Y9.33%
EPS Next 5Y5.71%
Revenue 1Y (TTM)0.34%
Revenue growth 3Y3.55%
Revenue growth 5Y4.61%
Sales Q2Q%-3.07%
Revenue Next Year3.09%
Revenue Next 2Y4.16%
Revenue Next 3Y4.96%
Revenue Next 5Y6.17%
EBIT growth 1Y8.56%
EBIT growth 3Y10.83%
EBIT growth 5Y5.11%
EBIT Next Year64.74%
EBIT Next 3Y24.11%
EBIT Next 5Y17.05%
FCF growth 1Y117.31%
FCF growth 3Y84.62%
FCF growth 5Y5.48%
OCF growth 1Y30.74%
OCF growth 3Y20.98%
OCF growth 5Y4.57%