APTARGROUP INC (ATR)
US0383361039 - Common Stock
ATR gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 24 industry peers in the Containers & Packaging industry. Both the health and profitability get an excellent rating, making ATR a very profitable company, without any liquidiy or solvency issues. ATR is valied quite expensively at the moment, while it does show a decent growth rate. With these ratings, ATR could be worth investigating further for quality investing!.
1. Profitability
1.1 Basic Checks
ATR had positive earnings in the past year.
ATR had a positive operating cash flow in the past year.
Each year in the past 5 years ATR has been profitable.
ATR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of ATR (7.19%) is better than 82.61% of its industry peers.
ATR has a Return On Equity of 13.36%. This is comparable to the rest of the industry: ATR outperforms 52.17% of its industry peers.
Looking at the Return On Invested Capital, with a value of 10.33%, ATR belongs to the top of the industry, outperforming 82.61% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for ATR is significantly below the industry average of 382233.40%.
The last Return On Invested Capital (10.33%) for ATR is above the 3 year average (9.03%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.19% | ||
| ROE | 13.36% | ||
| ROIC | 10.33% |
ROA(3y)5.99%
ROA(5y)6.03%
ROE(3y)12.13%
ROE(5y)12.67%
ROIC(3y)9.03%
ROIC(5y)9.07%
1.3 Margins
ATR's Profit Margin of 9.00% is amongst the best of the industry. ATR outperforms 95.65% of its industry peers.
In the last couple of years the Profit Margin of ATR has grown nicely.
ATR has a better Operating Margin (13.48%) than 95.65% of its industry peers.
ATR's Operating Margin has been stable in the last couple of years.
The Gross Margin of ATR (36.94%) is better than 95.65% of its industry peers.
ATR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.48% | ||
| PM (TTM) | 9% | ||
| GM | 36.94% |
OM growth 3Y1.04%
OM growth 5Y-0.96%
PM growth 3Y3.75%
PM growth 5Y2.98%
GM growth 3Y-0.78%
GM growth 5Y0.73%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ATR is creating some value.
ATR has more shares outstanding than it did 1 year ago.
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 5.06 indicates that ATR is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 5.06, ATR belongs to the best of the industry, outperforming 95.65% of the companies in the same industry.
The Debt to FCF ratio of ATR is 3.37, which is a good value as it means it would take ATR, 3.37 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 3.37, ATR belongs to the best of the industry, outperforming 95.65% of the companies in the same industry.
ATR has a Debt/Equity ratio of 0.34. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.34, ATR belongs to the top of the industry, outperforming 91.30% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 3.37 | ||
| Altman-Z | 5.06 |
ROIC/WACC1.28
WACC8.07%
2.3 Liquidity
ATR has a Current Ratio of 1.36. This is a normal value and indicates that ATR is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.36, ATR perfoms like the industry average, outperforming 47.83% of the companies in the same industry.
ATR has a Quick Ratio of 1.36. This is a bad value and indicates that ATR is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.95, ATR perfoms like the industry average, outperforming 56.52% of the companies in the same industry.
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 | 1.36 | ||
| Quick Ratio | 0.95 |
3. Growth
3.1 Past
ATR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 29.14%, which is quite impressive.
Measured over the past 5 years, ATR shows a small growth in Earnings Per Share. The EPS has been growing by 3.68% on average per year.
The Revenue has been growing slightly by 4.96% in the past year.
The Revenue has been growing slightly by 4.75% on average over the past years.
EPS 1Y (TTM)29.14%
EPS 3Y9.41%
EPS 5Y3.68%
EPS Q2Q%11.38%
Revenue 1Y (TTM)4.96%
Revenue growth 3Y5.99%
Revenue growth 5Y4.75%
Sales Q2Q%1.58%
3.2 Future
Based on estimates for the next years, ATR will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.57% on average per year.
The Revenue is expected to grow by 5.62% on average over the next years.
EPS Next Y13.3%
EPS Next 2Y12.05%
EPS Next 3Y11.72%
EPS Next 5Y8.57%
Revenue Next Year4.31%
Revenue Next 2Y4.82%
Revenue Next 3Y5.55%
Revenue Next 5Y5.62%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 30.41, ATR can be considered very expensive at the moment.
82.61% of the companies in the same industry are cheaper than ATR, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 31.24, ATR is valued at the same level.
ATR is valuated quite expensively with a Price/Forward Earnings ratio of 26.50.
ATR's Price/Forward Earnings ratio is rather expensive when compared to the industry. ATR is more expensive than 82.61% of the companies in the same industry.
ATR's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.41 | ||
| Fwd PE | 26.5 |
4.2 Price Multiples
91.30% of the companies in the same industry are cheaper than ATR, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, ATR is valued a bit more expensive than the industry average as 60.87% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.69 | ||
| EV/EBITDA | 15.4 |
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.
The excellent profitability rating of ATR may justify a higher PE ratio.
PEG (NY)2.29
PEG (5Y)8.27
EPS Next 2Y12.05%
EPS Next 3Y11.72%
5. Dividend
5.1 Amount
ATR has a Yearly Dividend Yield of 1.13%. Purely for dividend investing, there may be better candidates out there.
ATR's Dividend Yield is slightly below the industry average, which is at 2.93.
With a Dividend Yield of 1.13, ATR pays less dividend than the S&P500 average, which is at 2.22.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.13% |
5.2 History
The dividend of ATR has a limited annual growth rate of 3.68%.
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)3.68%
Div Incr Years30
Div Non Decr Years30
5.3 Sustainability
33.76% of the earnings are spent on dividend by ATR. This is a low number and sustainable payout ratio.
The dividend of ATR is growing, but earnings are growing more, so the dividend growth is sustainable.
DP33.76%
EPS Next 2Y12.05%
EPS Next 3Y11.72%
APTARGROUP INC
NYSE:ATR (10/10/2024, 9:55:29 AM)
159.04
-0.66 (-0.41%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryContainers & Packaging
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap10.56B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.13% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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Revenue beat(2)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.41 | ||
| Fwd PE | 26.5 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)2.29
PEG (5Y)8.27
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.19% | ||
| ROE | 13.36% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 13.48% | ||
| PM (TTM) | 9% | ||
| GM | 36.94% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.8
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.36 | ||
| Quick Ratio | 0.95 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)29.14%
EPS 3Y9.41%
EPS 5Y
EPS Q2Q%
EPS Next Y13.3%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)4.96%
Revenue growth 3Y5.99%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y