24.29 USD
+0.56 (+2.36%)
24.26 USD
-0.03 (-0.12%)
Overall REYN gets a fundamental rating of 4 out of 10. We evaluated REYN against 12 industry peers in the Household Products industry. While REYN is still in line with the averages on profitability rating, there are concerns on its financial health. REYN has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year REYN was profitable.
In the past year REYN had a positive cash flow from operations.
REYN had positive earnings in each of the past 5 years.
Each year in the past 5 years REYN had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 6.21%, REYN perfoms like the industry average, outperforming 41.67% of the companies in the same industry.
REYN has a Return On Equity of 13.94%. This is comparable to the rest of the industry: REYN outperforms 41.67% of its industry peers.
REYN has a Return On Invested Capital (9.38%) which is comparable to the rest of the industry.
REYN had an Average Return On Invested Capital over the past 3 years of 8.77%. This is significantly below the industry average of 14.82%.
The last Return On Invested Capital (9.38%) for REYN is above the 3 year average (8.77%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.21% | ||
| ROE | 13.94% | ||
| ROIC | 9.38% |
ROA(3y)6.23%
ROA(5y)6.62%
ROE(3y)15.09%
ROE(5y)17.24%
ROIC(3y)8.77%
ROIC(5y)9.22%
1.3 Margins
Looking at the Profit Margin, with a value of 8.20%, REYN is doing worse than 66.67% of the companies in the same industry.
REYN's Profit Margin has improved in the last couple of years.
REYN has a Operating Margin of 14.27%. This is comparable to the rest of the industry: REYN outperforms 41.67% of its industry peers.
In the last couple of years the Operating Margin of REYN has declined.
The Gross Margin of REYN (25.03%) is worse than 91.67% of its industry peers.
In the last couple of years the Gross Margin of REYN has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.27% | ||
| PM (TTM) | 8.2% | ||
| GM | 25.03% |
OM growth 3Y2.4%
OM growth 5Y-2.45%
PM growth 3Y1.5%
PM growth 5Y5.12%
GM growth 3Y5.09%
GM growth 5Y-1.83%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so REYN is still creating some value.
REYN has about the same amout of shares outstanding than it did 1 year ago.
REYN has more shares outstanding than it did 5 years ago.
REYN has a better debt/assets ratio than last year.
2.2 Solvency
REYN has an Altman-Z score of 2.58. This is not the best score and indicates that REYN is in the grey zone with still only limited risk for bankruptcy at the moment.
REYN's Altman-Z score of 2.58 is in line compared to the rest of the industry. REYN outperforms 41.67% of its industry peers.
The Debt to FCF ratio of REYN is 6.34, which is on the high side as it means it would take REYN, 6.34 years of fcf income to pay off all of its debts.
REYN has a worse Debt to FCF ratio (6.34) than 83.33% of its industry peers.
REYN has a Debt/Equity ratio of 0.74. This is a neutral value indicating REYN is somewhat dependend on debt financing.
REYN has a Debt to Equity ratio (0.74) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | 6.34 | ||
| Altman-Z | 2.58 |
ROIC/WACC1.24
WACC7.55%
2.3 Liquidity
REYN has a Current Ratio of 1.94. This is a normal value and indicates that REYN is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.94, REYN is in line with its industry, outperforming 58.33% of the companies in the same industry.
A Quick Ratio of 0.80 indicates that REYN may have some problems paying its short term obligations.
REYN's Quick ratio of 0.80 is in line compared to the rest of the industry. REYN outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.94 | ||
| Quick Ratio | 0.8 |
3. Growth
3.1 Past
The earnings per share for REYN have decreased by -7.43% in the last year.
REYN shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 8.55% yearly.
REYN shows a small growth in Revenue. In the last year, the Revenue has grown by 0.76%.
The Revenue has been growing slightly by 4.03% on average over the past years.
EPS 1Y (TTM)-7.43%
EPS 3Y1.85%
EPS 5Y8.55%
EPS Q2Q%2.44%
Revenue 1Y (TTM)0.76%
Revenue growth 3Y1.29%
Revenue growth 5Y4.03%
Sales Q2Q%2.31%
3.2 Future
The Earnings Per Share is expected to grow by 4.11% on average over the next years.
The Revenue is expected to grow by 1.81% on average over the next years.
EPS Next Y-1.01%
EPS Next 2Y2.56%
EPS Next 3Y2.94%
EPS Next 5Y4.11%
Revenue Next Year1.13%
Revenue Next 2Y1.55%
Revenue Next 3Y1.68%
Revenue Next 5Y1.81%
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 decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 14.99, which indicates a correct valuation of REYN.
Compared to the rest of the industry, the Price/Earnings ratio of REYN is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 25.45. REYN is valued slightly cheaper when compared to this.
A Price/Forward Earnings ratio of 13.74 indicates a correct valuation of REYN.
REYN's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 34.46. REYN is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.99 | ||
| Fwd PE | 13.74 |
4.2 Price Multiples
66.67% of the companies in the same industry are more expensive than REYN, based on the Enterprise Value to EBITDA ratio.
REYN's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.88 | ||
| EV/EBITDA | 10.1 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.75
EPS Next 2Y2.56%
EPS Next 3Y2.94%
5. Dividend
5.1 Amount
REYN has a Yearly Dividend Yield of 3.88%.
Compared to an average industry Dividend Yield of 3.41, REYN pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.42, REYN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.88% |
5.2 History
REYN has been paying a dividend for over 5 years, so it has already some track record.
REYN has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
REYN pays out 63.16% of its income as dividend. This is not a sustainable payout ratio.
DP63.16%
EPS Next 2Y2.56%
EPS Next 3Y2.94%
24.29
+0.56 (+2.36%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryHousehold Products
Earnings (Last)
Earnings (Next)
Inst Owners28.46%
Inst Owner Change12.85%
Ins Owners0.27%
Ins Owner Change2.39%
Market Cap5.11B
Revenue(TTM)3.71B
Net Income(TTM)304.00M
Analysts75.71
Price Target28.31 (16.55%)
Short Float %12.85%
Short Ratio5.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.88% |
Yearly Dividend0.91
Dividend Growth(5Y)N/A
DP63.16%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.6%
Min EPS beat(2)0.16%
Max EPS beat(2)5.04%
EPS beat(4)2
Avg EPS beat(4)0.33%
Min EPS beat(4)-2.43%
Max EPS beat(4)5.04%
EPS beat(8)5
Avg EPS beat(8)0.6%
EPS beat(12)6
Avg EPS beat(12)-0.07%
EPS beat(16)8
Avg EPS beat(16)0.17%
Revenue beat(2)2
Avg Revenue beat(2)1.92%
Min Revenue beat(2)1.57%
Max Revenue beat(2)2.28%
Revenue beat(4)3
Avg Revenue beat(4)0.64%
Min Revenue beat(4)-4.28%
Max Revenue beat(4)3%
Revenue beat(8)5
Avg Revenue beat(8)0.25%
Revenue beat(12)6
Avg Revenue beat(12)-0.34%
Revenue beat(16)6
Avg Revenue beat(16)-1.08%
PT rev (1m)5%
PT rev (3m)5%
EPS NQ rev (1m)5.43%
EPS NQ rev (3m)4.96%
EPS NY rev (1m)3.35%
EPS NY rev (3m)3.3%
Revenue NQ rev (1m)0.99%
Revenue NQ rev (3m)0.59%
Revenue NY rev (1m)0.99%
Revenue NY rev (3m)0.89%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.99 | ||
| Fwd PE | 13.74 | ||
| P/S | 1.38 | ||
| P/FCF | 19.88 | ||
| P/OCF | 12.11 | ||
| P/B | 2.34 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.1 |
EPS(TTM)1.62
EY6.67%
EPS(NY)1.77
Fwd EY7.28%
FCF(TTM)1.22
FCFY5.03%
OCF(TTM)2.01
OCFY8.26%
SpS17.62
BVpS10.36
TBVpS-3.17
PEG (NY)N/A
PEG (5Y)1.75
Graham Number19.44
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.21% | ||
| ROE | 13.94% | ||
| ROCE | 12.2% | ||
| ROIC | 9.38% | ||
| ROICexc | 9.5% | ||
| ROICexgc | 28.3% | ||
| OM | 14.27% | ||
| PM (TTM) | 8.2% | ||
| GM | 25.03% | ||
| FCFM | 6.93% |
ROA(3y)6.23%
ROA(5y)6.62%
ROE(3y)15.09%
ROE(5y)17.24%
ROIC(3y)8.77%
ROIC(5y)9.22%
ROICexc(3y)8.98%
ROICexc(5y)9.59%
ROICexgc(3y)28.11%
ROICexgc(5y)32.48%
ROCE(3y)11.39%
ROCE(5y)11.99%
ROICexgc growth 3Y0.89%
ROICexgc growth 5Y-11.31%
ROICexc growth 3Y3.45%
ROICexc growth 5Y-1.15%
OM growth 3Y2.4%
OM growth 5Y-2.45%
PM growth 3Y1.5%
PM growth 5Y5.12%
GM growth 3Y5.09%
GM growth 5Y-1.83%
F-Score4
Asset Turnover0.76
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | 6.34 | ||
| Debt/EBITDA | 2.44 | ||
| Cap/Depr | 124.06% | ||
| Cap/Sales | 4.45% | ||
| Interest Coverage | 6.3 | ||
| Cash Conversion | 63.75% | ||
| Profit Quality | 84.54% | ||
| Current Ratio | 1.94 | ||
| Quick Ratio | 0.8 | ||
| Altman-Z | 2.58 |
F-Score4
WACC7.55%
ROIC/WACC1.24
Cap/Depr(3y)95.43%
Cap/Depr(5y)112.02%
Cap/Sales(3y)3.12%
Cap/Sales(5y)3.54%
Profit Quality(3y)107.1%
Profit Quality(5y)84.39%
High Growth Momentum
Growth
EPS 1Y (TTM)-7.43%
EPS 3Y1.85%
EPS 5Y8.55%
EPS Q2Q%2.44%
EPS Next Y-1.01%
EPS Next 2Y2.56%
EPS Next 3Y2.94%
EPS Next 5Y4.11%
Revenue 1Y (TTM)0.76%
Revenue growth 3Y1.29%
Revenue growth 5Y4.03%
Sales Q2Q%2.31%
Revenue Next Year1.13%
Revenue Next 2Y1.55%
Revenue Next 3Y1.68%
Revenue Next 5Y1.81%
EBIT growth 1Y-7.84%
EBIT growth 3Y3.72%
EBIT growth 5Y1.48%
EBIT Next Year18.55%
EBIT Next 3Y7.81%
EBIT Next 5Y6.18%
FCF growth 1Y-36.54%
FCF growth 3Y29.73%
FCF growth 5Y4.65%
OCF growth 1Y-19.47%
OCF growth 3Y16.41%
OCF growth 5Y3.94%
REYNOLDS CONSUMER PRODUCTS I / REYN FAQ
What is the fundamental rating for REYN stock?
ChartMill assigns a fundamental rating of 4 / 10 to REYN.
What is the valuation status of REYNOLDS CONSUMER PRODUCTS I (REYN) stock?
ChartMill assigns a valuation rating of 4 / 10 to REYNOLDS CONSUMER PRODUCTS I (REYN). This can be considered as Fairly Valued.
What is the profitability of REYN stock?
REYNOLDS CONSUMER PRODUCTS I (REYN) has a profitability rating of 4 / 10.
What is the earnings growth outlook for REYNOLDS CONSUMER PRODUCTS I?
The Earnings per Share (EPS) of REYNOLDS CONSUMER PRODUCTS I (REYN) is expected to decline by -1.01% in the next year.
How sustainable is the dividend of REYNOLDS CONSUMER PRODUCTS I (REYN) stock?
The dividend rating of REYNOLDS CONSUMER PRODUCTS I (REYN) is 4 / 10 and the dividend payout ratio is 63.16%.