CROWN HOLDINGS INC (CCK) Stock Fundamental Analysis
NYSE:CCK - New York Stock Exchange, Inc. - US2283681060 - Common Stock - Currency: USD
Overall CCK gets a fundamental rating of 5 out of 10. We evaluated CCK against 23 industry peers in the Containers & Packaging industry. While CCK belongs to the best of the industry regarding profitability, 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.
In the past year CCK had a positive cash flow from operations.
Of the past 5 years CCK 4 years were profitable.
In the past 5 years CCK always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 3.06%, CCK perfoms like the industry average, outperforming 52.17% of the companies in the same industry.
CCK has a better Return On Equity (15.38%) than 69.57% of its industry peers.
CCK has a better Return On Invested Capital (10.54%) than 86.96% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CCK is above the industry average of 7.58%.
The last Return On Invested Capital (10.54%) for CCK is above the 3 year average (9.67%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.06% | ||
| ROE | 15.38% | ||
| ROIC | 10.54% |
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
CCK has a Profit Margin (3.59%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of CCK has declined.
CCK has a Operating Margin of 12.66%. This is amongst the best in the industry. CCK outperforms 82.61% of its industry peers.
CCK's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 21.52%, CCK is doing good in the industry, outperforming 60.87% of the companies in the same industry.
CCK's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.66% | ||
| PM (TTM) | 3.59% | ||
| GM | 21.52% |
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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CCK is still creating some value.
Compared to 1 year ago, CCK has less shares outstanding
Compared to 5 years ago, CCK has less shares outstanding
The debt/assets ratio for CCK has been reduced compared to a year ago.
2.2 Solvency
CCK has an Altman-Z score of 2.21. 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 2.21. This is in the better half of the industry: CCK outperforms 78.26% of its industry peers.
CCK has a debt to FCF ratio of 7.86. This is a slightly negative value and a sign of low solvency as CCK would need 7.86 years to pay back of all of its debts.
CCK has a better Debt to FCF ratio (7.86) than 78.26% of its industry peers.
CCK has a Debt/Equity ratio of 2.22. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 2.22, CCK is doing worse than 73.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.22 | ||
| Debt/FCF | 7.86 | ||
| Altman-Z | 2.21 |
ROIC/WACC1.51
WACC6.97%
2.3 Liquidity
CCK has a Current Ratio of 1.22. This is a normal value and indicates that CCK is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.22, CCK perfoms like the industry average, outperforming 43.48% of the companies in the same industry.
A Quick Ratio of 0.80 indicates that CCK may have some problems paying its short term obligations.
CCK has a Quick ratio (0.80) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.22 | ||
| Quick Ratio | 0.8 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 9.57% over the past year.
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 decreased by -1.74% in the past year.
The Revenue has been growing slightly by 4.30% on average over the past years.
EPS 1Y (TTM)9.57%
EPS 3Y-5.77%
EPS 5Y4.64%
EPS Q2Q%28.23%
Revenue 1Y (TTM)-1.74%
Revenue growth 3Y1.18%
Revenue growth 5Y4.3%
Sales Q2Q%1.57%
3.2 Future
The Earnings Per Share is expected to grow by 7.57% on average over the next years.
Based on estimates for the next years, CCK will show a small growth in Revenue. The Revenue will grow by 3.68% on average per year.
EPS Next Y7.31%
EPS Next 2Y8.52%
EPS Next 3Y8.46%
EPS Next 5Y7.57%
Revenue Next Year1.55%
Revenue Next 2Y2.02%
Revenue Next 3Y2.26%
Revenue Next 5Y3.68%
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
Based on the Price/Earnings ratio of 14.01, the valuation of CCK can be described as correct.
Based on the Price/Earnings ratio, CCK is valued a bit cheaper than 69.57% of the companies in the same industry.
CCK's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.87.
A Price/Forward Earnings ratio of 13.05 indicates a correct valuation of CCK.
The rest of the industry has a similar Price/Forward Earnings ratio as CCK.
The average S&P500 Price/Forward Earnings ratio is at 21.38. CCK is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.01 | ||
| Fwd PE | 13.05 |
4.2 Price Multiples
69.57% of the companies in the same industry are more expensive than CCK, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, CCK is valued a bit cheaper than 73.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.31 | ||
| EV/EBITDA | 8.1 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
CCK has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.92
PEG (5Y)3.02
EPS Next 2Y8.52%
EPS Next 3Y8.46%
5. Dividend
5.1 Amount
CCK has a Yearly Dividend Yield of 1.16%.
Compared to an average industry Dividend Yield of 3.25, CCK is paying slightly less dividend.
With a Dividend Yield of 1.16, CCK pays less dividend than the S&P500 average, which is at 2.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.16% |
5.2 History
CCK has paid a dividend for at least 10 years, which is 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
CCK pays out 28.07% of its income as dividend. This is a sustainable payout ratio.
DP28.07%
EPS Next 2Y8.52%
EPS Next 3Y8.46%
89.78
+0.47 (+0.53%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryContainers & Packaging
Earnings (Last)
Earnings (Next)
Inst Owners101.78%
Inst Owner Change0.28%
Ins Owners0.89%
Ins Owner Change0.21%
Market Cap10.50B
Analysts82
Price Target109.73 (22.22%)
Short Float %5.28%
Short Ratio4.62
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.16% |
Yearly Dividend1
Dividend Growth(5Y)N/A
DP28.07%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.85%
Min EPS beat(2)4.31%
Max EPS beat(2)9.4%
EPS beat(4)4
Avg EPS beat(4)8.12%
Min EPS beat(4)4.31%
Max EPS beat(4)13.14%
EPS beat(8)6
Avg EPS beat(8)4.01%
EPS beat(12)9
Avg EPS beat(12)3.03%
EPS beat(16)13
Avg EPS beat(16)5.89%
Revenue beat(2)0
Avg Revenue beat(2)-0.6%
Min Revenue beat(2)-0.68%
Max Revenue beat(2)-0.51%
Revenue beat(4)0
Avg Revenue beat(4)-2.24%
Min Revenue beat(4)-6.01%
Max Revenue beat(4)-0.51%
Revenue beat(8)0
Avg Revenue beat(8)-4.37%
Revenue beat(12)2
Avg Revenue beat(12)-2.24%
Revenue beat(16)4
Avg Revenue beat(16)-1.25%
PT rev (1m)-1.5%
PT rev (3m)-3.2%
EPS NQ rev (1m)0.16%
EPS NQ rev (3m)4.52%
EPS NY rev (1m)-0.48%
EPS NY rev (3m)-0.86%
Revenue NQ rev (1m)0.07%
Revenue NQ rev (3m)-2.4%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)-0.98%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.01 | ||
| Fwd PE | 13.05 | ||
| P/S | 0.89 | ||
| P/FCF | 13.31 | ||
| P/OCF | 8.81 | ||
| P/B | 3.81 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.1 |
EPS(TTM)6.41
EY7.14%
EPS(NY)6.88
Fwd EY7.66%
FCF(TTM)6.75
FCFY7.51%
OCF(TTM)10.19
OCFY11.35%
SpS100.9
BVpS23.56
TBVpS-10.62
PEG (NY)1.92
PEG (5Y)3.02
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.06% | ||
| ROE | 15.38% | ||
| ROCE | 14.39% | ||
| ROIC | 10.54% | ||
| ROICexc | 11.56% | ||
| ROICexgc | 19.91% | ||
| OM | 12.66% | ||
| PM (TTM) | 3.59% | ||
| GM | 21.52% | ||
| FCFM | 6.69% |
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-Score9
Asset Turnover0.85
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.22 | ||
| Debt/FCF | 7.86 | ||
| Debt/EBITDA | 3.15 | ||
| Cap/Depr | 89.96% | ||
| Cap/Sales | 3.41% | ||
| Interest Coverage | 4.07 | ||
| Cash Conversion | 61.38% | ||
| Profit Quality | 186.09% | ||
| Current Ratio | 1.22 | ||
| Quick Ratio | 0.8 | ||
| Altman-Z | 2.21 |
F-Score9
WACC6.97%
ROIC/WACC1.51
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)9.57%
EPS 3Y-5.77%
EPS 5Y4.64%
EPS Q2Q%28.23%
EPS Next Y7.31%
EPS Next 2Y8.52%
EPS Next 3Y8.46%
EPS Next 5Y7.57%
Revenue 1Y (TTM)-1.74%
Revenue growth 3Y1.18%
Revenue growth 5Y4.3%
Sales Q2Q%1.57%
Revenue Next Year1.55%
Revenue Next 2Y2.02%
Revenue Next 3Y2.26%
Revenue Next 5Y3.68%
EBIT growth 1Y8.03%
EBIT growth 3Y3.82%
EBIT growth 5Y8.43%
EBIT Next Year24.95%
EBIT Next 3Y10.42%
EBIT Next 5Y7.71%
FCF growth 1Y19.55%
FCF growth 3Y106.96%
FCF growth 5Y1.54%
OCF growth 1Y-17.96%
OCF growth 3Y9.62%
OCF growth 5Y0.49%