CROWN HOLDINGS INC (CCK) Stock Fundamental Analysis
NYSE:CCK - New York Stock Exchange, Inc. - US2283681060 - Common Stock - Currency: USD
Taking everything into account, CCK scores 6 out of 10 in our fundamental rating. CCK was compared to 22 industry peers in the Containers & Packaging industry. CCK has an excellent profitability rating, but there are some minor concerns on its financial health. CCK has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
CCK had positive earnings in the past year.
CCK had a positive operating cash flow in the past year.
Of the past 5 years CCK 4 years were profitable.
CCK had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 3.97%, CCK is doing good in the industry, outperforming 72.73% of the companies in the same industry.
With an excellent Return On Equity value of 20.42%, CCK belongs to the best of the industry, outperforming 86.36% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 12.73%, CCK belongs to the top of the industry, outperforming 95.45% of the companies in the same industry.
CCK had an Average Return On Invested Capital over the past 3 years of 9.67%. This is above the industry average of 7.58%.
The 3 year average ROIC (9.67%) for CCK is below the current ROIC(12.73%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.97% | ||
| ROE | 20.42% | ||
| ROIC | 12.73% |
ROA(3y)3.71%
ROA(5y)2.11%
ROE(3y)24.46%
ROE(5y)14.09%
ROIC(3y)9.67%
ROIC(5y)9.08%
1.3 Margins
With a decent Profit Margin value of 4.62%, CCK is doing good in the industry, outperforming 68.18% of the companies in the same industry.
In the last couple of years the Profit Margin of CCK has declined.
CCK has a Operating Margin of 13.35%. This is amongst the best in the industry. CCK outperforms 86.36% of its industry peers.
CCK's Operating Margin has improved in the last couple of years.
CCK's Gross Margin of 22.07% is fine compared to the rest of the industry. CCK outperforms 68.18% of its industry peers.
In the last couple of years the Gross Margin of CCK has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.35% | ||
| PM (TTM) | 4.62% | ||
| GM | 22.07% |
OM growth 3Y2.61%
OM growth 5Y3.95%
PM growth 3YN/A
PM growth 5Y-7.6%
GM growth 3Y1.2%
GM growth 5Y0.72%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CCK is creating some value.
CCK has less shares outstanding than it did 1 year ago.
The number of shares outstanding for CCK has been reduced compared to 5 years ago.
CCK has a better debt/assets ratio than last year.
2.2 Solvency
CCK has an Altman-Z score of 2.22. This is not the best score and indicates that CCK is in the grey zone with still only limited risk for bankruptcy at the moment.
CCK has a Altman-Z score of 2.22. This is amongst the best in the industry. CCK outperforms 81.82% of its industry peers.
CCK has a debt to FCF ratio of 6.66. This is a slightly negative value and a sign of low solvency as CCK would need 6.66 years to pay back of all of its debts.
CCK has a better Debt to FCF ratio (6.66) than 86.36% of its industry peers.
A Debt/Equity ratio of 1.84 is on the high side and indicates that CCK has dependencies on debt financing.
The Debt to Equity ratio of CCK (1.84) is worse than 68.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.84 | ||
| Debt/FCF | 6.66 | ||
| Altman-Z | 2.22 |
ROIC/WACC1.73
WACC7.34%
2.3 Liquidity
A Current Ratio of 0.87 indicates that CCK may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.87, CCK is doing worse than 81.82% of the companies in the same industry.
CCK has a Quick Ratio of 0.87. This is a bad value and indicates that CCK is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.56, CCK is not doing good in the industry: 81.82% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.87 | ||
| Quick Ratio | 0.56 |
3. Growth
3.1 Past
CCK shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 24.51%, which is quite impressive.
Measured over the past 5 years, CCK shows a small growth in Earnings Per Share. The EPS has been growing by 4.64% on average per year.
The Revenue has been growing slightly by 0.71% in the past year.
The Revenue has been growing slightly by 4.30% on average over the past years.
EPS 1Y (TTM)24.51%
EPS 3Y-5.77%
EPS 5Y4.64%
EPS Q2Q%63.73%
Revenue 1Y (TTM)0.71%
Revenue growth 3Y1.18%
Revenue growth 5Y4.3%
Sales Q2Q%3.7%
3.2 Future
CCK is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.95% yearly.
The Revenue is expected to grow by 3.77% on average over the next years.
EPS Next Y11.53%
EPS Next 2Y9.97%
EPS Next 3Y9.71%
EPS Next 5Y6.95%
Revenue Next Year2.59%
Revenue Next 2Y2.55%
Revenue Next 3Y2.53%
Revenue Next 5Y3.77%
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 stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 15.18, which indicates a correct valuation of CCK.
68.18% of the companies in the same industry are more expensive than CCK, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 27.30, CCK is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 13.83, the valuation of CCK can be described as correct.
CCK's Price/Forward Earnings is on the same level as the industry average.
CCK is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 21.76, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.18 | ||
| Fwd PE | 13.83 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CCK indicates a somewhat cheap valuation: CCK is cheaper than 68.18% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CCK indicates a rather cheap valuation: CCK is cheaper than 90.91% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.91 | ||
| EV/EBITDA | 8.82 |
4.3 Compensation for Growth
CCK's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of CCK may justify a higher PE ratio.
PEG (NY)1.32
PEG (5Y)3.27
EPS Next 2Y9.97%
EPS Next 3Y9.71%
5. Dividend
5.1 Amount
With a yearly dividend of 0.97%, CCK is not a good candidate for dividend investing.
CCK's Dividend Yield is slightly below the industry average, which is at 2.88.
With a Dividend Yield of 0.97, CCK pays less dividend than the S&P500 average, which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.97% |
5.2 History
CCK has been paying a dividend for at least 10 years, so it has a reliable track record.
CCK has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
21.64% of the earnings are spent on dividend by CCK. This is a low number and sustainable payout ratio.
DP21.64%
EPS Next 2Y9.97%
EPS Next 3Y9.71%
107.18
-0.27 (-0.25%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryContainers & Packaging
Earnings (Last)
Earnings (Next)
Inst Owners102.17%
Inst Owner Change0.69%
Ins Owners0.87%
Ins Owner Change-0.83%
Market Cap12.47B
Analysts82.11
Price Target115.99 (8.22%)
Short Float %4.47%
Short Ratio4.19
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.97% |
Yearly Dividend1
Dividend Growth(5Y)N/A
DP21.64%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)19.23%
Min EPS beat(2)4.31%
Max EPS beat(2)34.15%
EPS beat(4)4
Avg EPS beat(4)15.25%
Min EPS beat(4)4.31%
Max EPS beat(4)34.15%
EPS beat(8)6
Avg EPS beat(8)6.61%
EPS beat(12)9
Avg EPS beat(12)5.1%
EPS beat(16)13
Avg EPS beat(16)6.11%
Revenue beat(2)1
Avg Revenue beat(2)0.45%
Min Revenue beat(2)-0.51%
Max Revenue beat(2)1.4%
Revenue beat(4)1
Avg Revenue beat(4)-0.39%
Min Revenue beat(4)-1.78%
Max Revenue beat(4)1.4%
Revenue beat(8)1
Avg Revenue beat(8)-3.61%
Revenue beat(12)2
Avg Revenue beat(12)-2.67%
Revenue beat(16)4
Avg Revenue beat(16)-1.31%
PT rev (1m)-0.13%
PT rev (3m)4.11%
EPS NQ rev (1m)0.98%
EPS NQ rev (3m)2.69%
EPS NY rev (1m)0.52%
EPS NY rev (3m)3.43%
Revenue NQ rev (1m)0.32%
Revenue NQ rev (3m)1.13%
Revenue NY rev (1m)0.32%
Revenue NY rev (3m)0.93%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.18 | ||
| Fwd PE | 13.83 | ||
| P/S | 1.05 | ||
| P/FCF | 12.91 | ||
| P/OCF | 9.54 | ||
| P/B | 4.63 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.82 |
EPS(TTM)7.06
EY6.59%
EPS(NY)7.75
Fwd EY7.23%
FCF(TTM)8.3
FCFY7.74%
OCF(TTM)11.24
OCFY10.49%
SpS102.28
BVpS23.15
TBVpS-11.4
PEG (NY)1.32
PEG (5Y)3.27
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.97% | ||
| ROE | 20.42% | ||
| ROCE | 17.65% | ||
| ROIC | 12.73% | ||
| ROICexc | 13.9% | ||
| ROICexgc | 26.59% | ||
| OM | 13.35% | ||
| PM (TTM) | 4.62% | ||
| GM | 22.07% | ||
| FCFM | 8.11% |
ROA(3y)3.71%
ROA(5y)2.11%
ROE(3y)24.46%
ROE(5y)14.09%
ROIC(3y)9.67%
ROIC(5y)9.08%
ROICexc(3y)10.6%
ROICexc(5y)9.89%
ROICexgc(3y)18.87%
ROICexgc(5y)17.94%
ROCE(3y)13.18%
ROCE(5y)12.39%
ROICexcg growth 3Y-1.42%
ROICexcg growth 5Y4.63%
ROICexc growth 3Y2.86%
ROICexc growth 5Y11.73%
OM growth 3Y2.61%
OM growth 5Y3.95%
PM growth 3YN/A
PM growth 5Y-7.6%
GM growth 3Y1.2%
GM growth 5Y0.72%
F-Score8
Asset Turnover0.86
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.84 | ||
| Debt/FCF | 6.66 | ||
| Debt/EBITDA | 2.43 | ||
| Cap/Depr | 77.2% | ||
| Cap/Sales | 2.87% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 64.37% | ||
| Profit Quality | 175.64% | ||
| Current Ratio | 0.87 | ||
| Quick Ratio | 0.56 | ||
| Altman-Z | 2.22 |
F-Score8
WACC7.34%
ROIC/WACC1.73
Cap/Depr(3y)143.76%
Cap/Depr(5y)145.91%
Cap/Sales(3y)5.5%
Cap/Sales(5y)5.98%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)24.51%
EPS 3Y-5.77%
EPS 5Y4.64%
EPS Q2Q%63.73%
EPS Next Y11.53%
EPS Next 2Y9.97%
EPS Next 3Y9.71%
EPS Next 5Y6.95%
Revenue 1Y (TTM)0.71%
Revenue growth 3Y1.18%
Revenue growth 5Y4.3%
Sales Q2Q%3.7%
Revenue Next Year2.59%
Revenue Next 2Y2.55%
Revenue Next 3Y2.53%
Revenue Next 5Y3.77%
EBIT growth 1Y15.9%
EBIT growth 3Y3.82%
EBIT growth 5Y8.43%
EBIT Next Year25.27%
EBIT Next 3Y10.42%
EBIT Next 5Y8.2%
FCF growth 1Y1223.26%
FCF growth 3Y106.96%
FCF growth 5Y1.54%
OCF growth 1Y50.52%
OCF growth 3Y9.62%
OCF growth 5Y0.49%