BALL CORP (BALL) Stock Fundamental Analysis
NYSE:BALL - New York Stock Exchange, Inc. - US0584981064 - Common Stock - Currency: USD
BALL gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 22 industry peers in the Containers & Packaging industry. BALL has an average financial health and profitability rating. BALL has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year BALL was profitable.
In the past year BALL had a positive cash flow from operations.
In the past 5 years BALL has always been profitable.
In the past 5 years BALL always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.78%, BALL is in line with its industry, outperforming 50.00% of the companies in the same industry.
Looking at the Return On Equity, with a value of 9.13%, BALL is in line with its industry, outperforming 50.00% of the companies in the same industry.
BALL has a better Return On Invested Capital (7.34%) than 68.18% of its industry peers.
BALL had an Average Return On Invested Capital over the past 3 years of 6.96%. This is in line with the industry average of 7.54%.
The last Return On Invested Capital (7.34%) for BALL is above the 3 year average (6.96%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.78% | ||
| ROE | 9.13% | ||
| ROIC | 7.34% |
ROA(3y)10%
ROA(5y)7.53%
ROE(3y)35.97%
ROE(5y)30%
ROIC(3y)6.96%
ROIC(5y)7.14%
1.3 Margins
BALL has a Profit Margin (4.18%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of BALL has grown nicely.
Looking at the Operating Margin, with a value of 10.75%, BALL is in the better half of the industry, outperforming 72.73% of the companies in the same industry.
In the last couple of years the Operating Margin of BALL has grown nicely.
BALL has a Gross Margin of 20.42%. This is in the lower half of the industry: BALL underperforms 63.64% of its industry peers.
BALL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.75% | ||
| PM (TTM) | 4.18% | ||
| GM | 20.42% |
OM growth 3Y-1.12%
OM growth 5Y2.5%
PM growth 3Y74.85%
PM growth 5Y47.1%
GM growth 3Y1.59%
GM growth 5Y0.91%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so BALL is still creating some value.
Compared to 1 year ago, BALL has less shares outstanding
Compared to 5 years ago, BALL has less shares outstanding
Compared to 1 year ago, BALL has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.58 indicates that BALL is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.58, BALL belongs to the top of the industry, outperforming 86.36% of the companies in the same industry.
BALL has a debt to FCF ratio of 23.49. This is a negative value and a sign of low solvency as BALL would need 23.49 years to pay back of all of its debts.
BALL has a Debt to FCF ratio of 23.49. This is comparable to the rest of the industry: BALL outperforms 50.00% of its industry peers.
BALL has a Debt/Equity ratio of 1.14. This is a high value indicating a heavy dependency on external financing.
BALL's Debt to Equity ratio of 1.14 is fine compared to the rest of the industry. BALL outperforms 68.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.14 | ||
| Debt/FCF | 23.49 | ||
| Altman-Z | 2.58 |
ROIC/WACC1.01
WACC7.24%
2.3 Liquidity
BALL has a Current Ratio of 1.04. This is a normal value and indicates that BALL is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of BALL (1.04) is worse than 81.82% of its industry peers.
A Quick Ratio of 0.70 indicates that BALL may have some problems paying its short term obligations.
BALL has a Quick ratio of 0.70. This is in the lower half of the industry: BALL underperforms 77.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.04 | ||
| Quick Ratio | 0.7 |
3. Growth
3.1 Past
BALL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 12.07%, which is quite good.
BALL shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.53% yearly.
Looking at the last year, BALL shows a very negative growth in Revenue. The Revenue has decreased by -10.41% in the last year.
Measured over the past years, BALL shows a small growth in Revenue. The Revenue has been growing by 0.55% on average per year.
EPS 1Y (TTM)12.07%
EPS 3Y-3.15%
EPS 5Y4.53%
EPS Q2Q%11.76%
Revenue 1Y (TTM)-10.41%
Revenue growth 3Y-5.12%
Revenue growth 5Y0.55%
Sales Q2Q%7.76%
3.2 Future
The Earnings Per Share is expected to grow by 11.22% on average over the next years. This is quite good.
BALL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.48% yearly.
EPS Next Y14.04%
EPS Next 2Y13.52%
EPS Next 3Y12.31%
EPS Next 5Y11.22%
Revenue Next Year5.16%
Revenue Next 2Y3.96%
Revenue Next 3Y3.8%
Revenue Next 5Y4.48%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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
The Price/Earnings ratio is 17.73, which indicates a rather expensive current valuation of BALL.
Compared to the rest of the industry, the Price/Earnings ratio of BALL indicates a somewhat cheap valuation: BALL is cheaper than 63.64% of the companies listed in the same industry.
BALL is valuated rather cheaply when we compare the Price/Earnings ratio to 27.24, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 14.10, BALL is valued correctly.
BALL's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 36.42. BALL is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.73 | ||
| Fwd PE | 14.1 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BALL is on the same level as its industry peers.
BALL's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 55.88 | ||
| EV/EBITDA | 11.67 |
4.3 Compensation for Growth
BALL's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
BALL has a very decent profitability rating, which may justify a higher PE ratio.
BALL's earnings are expected to grow with 12.31% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.26
PEG (5Y)3.91
EPS Next 2Y13.52%
EPS Next 3Y12.31%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.40%, BALL has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.17, BALL has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.40, BALL's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.4% |
5.2 History
The dividend of BALL is nicely growing with an annual growth rate of 7.90%!
BALL has been paying a dividend for at least 10 years, so it has a reliable track record.
BALL has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)7.9%
Div Incr Years0
Div Non Decr Years29
5.3 Sustainability
47.41% of the earnings are spent on dividend by BALL. This is a bit on the high side, but may be sustainable.
BALL's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP47.41%
EPS Next 2Y13.52%
EPS Next 3Y12.31%
57.61
+0.47 (+0.82%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryContainers & Packaging
Earnings (Last)
Earnings (Next)
Inst Owners87.83%
Inst Owner ChangeN/A
Ins Owners0.26%
Ins Owner Change0.65%
Market Cap15.98B
Analysts77.27
Price Target65.52 (13.73%)
Short Float %2.27%
Short Ratio2.56
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.4% |
Yearly Dividend0.81
Dividend Growth(5Y)7.9%
DP47.41%
Div Incr Years0
Div Non Decr Years29
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.8%
Min EPS beat(2)2.94%
Max EPS beat(2)6.66%
EPS beat(4)4
Avg EPS beat(4)4.39%
Min EPS beat(4)2.94%
Max EPS beat(4)6.66%
EPS beat(8)7
Avg EPS beat(8)4.55%
EPS beat(12)8
Avg EPS beat(12)2.57%
EPS beat(16)10
Avg EPS beat(16)1.44%
Revenue beat(2)1
Avg Revenue beat(2)0.92%
Min Revenue beat(2)-3.06%
Max Revenue beat(2)4.91%
Revenue beat(4)1
Avg Revenue beat(4)-2.01%
Min Revenue beat(4)-6.36%
Max Revenue beat(4)4.91%
Revenue beat(8)1
Avg Revenue beat(8)-5.52%
Revenue beat(12)2
Avg Revenue beat(12)-4.11%
Revenue beat(16)5
Avg Revenue beat(16)-2.5%
PT rev (1m)4.24%
PT rev (3m)6.52%
EPS NQ rev (1m)0.14%
EPS NQ rev (3m)1.79%
EPS NY rev (1m)0.2%
EPS NY rev (3m)1.22%
Revenue NQ rev (1m)0.28%
Revenue NQ rev (3m)2.39%
Revenue NY rev (1m)0.31%
Revenue NY rev (3m)3%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.73 | ||
| Fwd PE | 14.1 | ||
| P/S | 1.33 | ||
| P/FCF | 55.88 | ||
| P/OCF | 22.93 | ||
| P/B | 2.91 | ||
| P/tB | 80.72 | ||
| EV/EBITDA | 11.67 |
EPS(TTM)3.25
EY5.64%
EPS(NY)4.09
Fwd EY7.09%
FCF(TTM)1.03
FCFY1.79%
OCF(TTM)2.51
OCFY4.36%
SpS43.32
BVpS19.83
TBVpS0.71
PEG (NY)1.26
PEG (5Y)3.91
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.78% | ||
| ROE | 9.13% | ||
| ROCE | 9.79% | ||
| ROIC | 7.34% | ||
| ROICexc | 7.59% | ||
| ROICexgc | 12.91% | ||
| OM | 10.75% | ||
| PM (TTM) | 4.18% | ||
| GM | 20.42% | ||
| FCFM | 2.38% |
ROA(3y)10%
ROA(5y)7.53%
ROE(3y)35.97%
ROE(5y)30%
ROIC(3y)6.96%
ROIC(5y)7.14%
ROICexc(3y)7.36%
ROICexc(5y)7.59%
ROICexgc(3y)13.16%
ROICexgc(5y)14.08%
ROCE(3y)9.38%
ROCE(5y)9.54%
ROICexcg growth 3Y-4.58%
ROICexcg growth 5Y-9.26%
ROICexc growth 3Y-3.25%
ROICexc growth 5Y-0.66%
OM growth 3Y-1.12%
OM growth 5Y2.5%
PM growth 3Y74.85%
PM growth 5Y47.1%
GM growth 3Y1.59%
GM growth 5Y0.91%
F-Score5
Asset Turnover0.67
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.14 | ||
| Debt/FCF | 23.49 | ||
| Debt/EBITDA | 3.31 | ||
| Cap/Depr | 68.16% | ||
| Cap/Sales | 3.42% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 36.78% | ||
| Profit Quality | 56.97% | ||
| Current Ratio | 1.04 | ||
| Quick Ratio | 0.7 | ||
| Altman-Z | 2.58 |
F-Score5
WACC7.24%
ROIC/WACC1.01
Cap/Depr(3y)158.69%
Cap/Depr(5y)177.85%
Cap/Sales(3y)7.84%
Cap/Sales(5y)9.09%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)12.07%
EPS 3Y-3.15%
EPS 5Y4.53%
EPS Q2Q%11.76%
EPS Next Y14.04%
EPS Next 2Y13.52%
EPS Next 3Y12.31%
EPS Next 5Y11.22%
Revenue 1Y (TTM)-10.41%
Revenue growth 3Y-5.12%
Revenue growth 5Y0.55%
Sales Q2Q%7.76%
Revenue Next Year5.16%
Revenue Next 2Y3.96%
Revenue Next 3Y3.8%
Revenue Next 5Y4.48%
EBIT growth 1Y-0.69%
EBIT growth 3Y-6.19%
EBIT growth 5Y3.07%
EBIT Next Year38.5%
EBIT Next 3Y15.02%
EBIT Next 5Y11.22%
FCF growth 1Y135.66%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-16.02%
OCF growth 3Y-59.72%
OCF growth 5Y-40.55%