APTARGROUP INC (ATR)

US0383361039 - Common Stock

144.85  +0.19 (+0.13%)

Fundamental Rating

6

ATR gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 23 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. While showing a medium growth rate, ATR is valued expensive at the moment. This makes ATR very considerable for quality investing!



8

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.
Each year in the past 5 years ATR had a positive operating cash flow.

1.2 Ratios

With an excellent Return On Assets value of 6.39%, ATR belongs to the best of the industry, outperforming 82.61% of the companies in the same industry.
ATR has a Return On Equity of 12.34%. This is comparable to the rest of the industry: ATR outperforms 43.48% of its industry peers.
ATR's Return On Invested Capital of 10.09% is fine compared to the rest of the industry. ATR outperforms 78.26% of its industry peers.
ATR had an Average Return On Invested Capital over the past 3 years of 9.03%. This is in line with the industry average of 8.25%.
The last Return On Invested Capital (10.09%) for ATR is above the 3 year average (9.03%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 6.39%
ROE 12.34%
ROIC 10.09%
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 8.16% is amongst the best of the industry. ATR outperforms 95.65% of its industry peers.
ATR's Profit Margin has improved in the last couple of years.
ATR's Operating Margin of 12.88% is amongst the best of the industry. ATR outperforms 86.96% of its industry peers.
ATR's Operating Margin has been stable in the last couple of years.
With an excellent Gross Margin value of 36.23%, ATR belongs to the best of the industry, outperforming 95.65% of the companies in the same industry.
ATR's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 12.88%
PM (TTM) 8.16%
GM 36.23%
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%

7

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.
The number of shares outstanding for ATR has been increased compared to 1 year ago.
The number of shares outstanding for ATR has been increased compared to 5 years ago.
Compared to 1 year ago, ATR has an improved debt to assets ratio.

2.2 Solvency

ATR has an Altman-Z score of 4.53. This indicates that ATR is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.53, ATR belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
ATR has a debt to FCF ratio of 4.44. This is a neutral value as ATR would need 4.44 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.44, ATR belongs to the top of the industry, outperforming 86.96% of the companies in the same industry.
A Debt/Equity ratio of 0.33 indicates that ATR is not too dependend on debt financing.
ATR has a Debt to Equity ratio of 0.33. This is amongst the best in the industry. ATR outperforms 95.65% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.33
Debt/FCF 4.44
Altman-Z 4.53
ROIC/WACC1.23
WACC8.19%

2.3 Liquidity

ATR has a Current Ratio of 1.24. This is a normal value and indicates that ATR is financially healthy and should not expect problems in meeting its short term obligations.
ATR has a Current ratio of 1.24. This is in the lower half of the industry: ATR underperforms 60.87% of its industry peers.
A Quick Ratio of 0.83 indicates that ATR may have some problems paying its short term obligations.
ATR's Quick ratio of 0.83 is in line compared to the rest of the industry. ATR outperforms 47.83% of its industry peers.
ATR does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
Industry RankSector Rank
Current Ratio 1.24
Quick Ratio 0.83

5

3. Growth

3.1 Past

The Earnings Per Share has grown by an impressive 26.12% over the past year.
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.
ATR shows a small growth in Revenue. In the last year, the Revenue has grown by 4.98%.
The Revenue has been growing slightly by 4.75% on average over the past years.
EPS 1Y (TTM)26.12%
EPS 3Y9.41%
EPS 5Y3.68%
EPS growth Q2Q31.52%
Revenue 1Y (TTM)4.98%
Revenue growth 3Y5.99%
Revenue growth 5Y4.75%
Revenue growth Q2Q5.35%

3.2 Future

The Earnings Per Share is expected to grow by 11.39% on average over the next years. This is quite good.
The Revenue is expected to grow by 5.30% on average over the next years.
EPS Next Y9.7%
EPS Next 2Y9.86%
EPS Next 3Y8.14%
EPS Next 5Y11.39%
Revenue Next Year4.2%
Revenue Next 2Y4.39%
Revenue Next 3Y3.53%
Revenue Next 5Y5.3%

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.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.

1

4. Valuation

4.1 Price/Earnings Ratio

ATR is valuated quite expensively with a Price/Earnings ratio of 30.30.
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 26.42, ATR is valued at the same level.
With a Price/Forward Earnings ratio of 27.62, ATR can be considered very expensive at the moment.
Based on the Price/Forward Earnings ratio, ATR is valued expensively inside the industry as 82.61% of the companies are valued cheaper.
ATR's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 22.74.
Industry RankSector Rank
PE 30.3
Fwd PE 27.62

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, ATR is valued a bit more expensive than the industry average as 78.26% of the companies are valued more cheaply.
86.96% of the companies in the same industry are cheaper than ATR, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 37.23
EV/EBITDA 14.88

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)3.12
PEG (5Y)8.24
EPS Next 2Y9.86%
EPS Next 3Y8.14%

5

5. Dividend

5.1 Amount

ATR has a Yearly Dividend Yield of 1.16%. Purely for dividend investing, there may be better candidates out there.
ATR's Dividend Yield is slightly below the industry average, which is at 2.89.
With a Dividend Yield of 1.16, ATR pays less dividend than the S&P500 average, which is at 2.34.
Industry RankSector Rank
Dividend Yield 1.16%

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 Years15
Div Non Decr Years15

5.3 Sustainability

36.44% 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.
DP36.44%
EPS Next 2Y9.86%
EPS Next 3Y8.14%

APTARGROUP INC

NYSE:ATR (3/28/2024, 11:41:59 AM)

144.85

+0.19 (+0.13%)

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 Cap9.56B
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield 1.16%
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
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 RankSector Rank
PE 30.3
Fwd PE 27.62
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)3.12
PEG (5Y)8.24
Profitability
Industry RankSector Rank
ROA 6.39%
ROE 12.34%
ROCE
ROIC
ROICexc
ROICexgc
OM 12.88%
PM (TTM) 8.16%
GM 36.23%
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 Turnover0.78
Health
Industry RankSector Rank
Debt/Equity 0.33
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 1.24
Quick Ratio 0.83
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)
Growth
EPS 1Y (TTM)26.12%
EPS 3Y9.41%
EPS 5Y
EPS growth Q2Q
EPS Next Y9.7%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)4.98%
Revenue growth 3Y5.99%
Revenue growth 5Y
Revenue growth 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