SILGAN HOLDINGS INC (SLGN)
US8270481091 - Common Stock
Taking everything into account, SLGN scores 4 out of 10 in our fundamental rating. SLGN was compared to 23 industry peers in the Containers & Packaging industry. While SLGN is still in line with the averages on profitability rating, there are concerns on its financial health. SLGN has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year SLGN was profitable.
In the past year SLGN had a positive cash flow from operations.
In the past 5 years SLGN has always been profitable.
In the past 5 years SLGN always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of SLGN (4.28%) is better than 60.87% of its industry peers.
SLGN has a Return On Equity of 17.25%. This is in the better half of the industry: SLGN outperforms 69.57% of its industry peers.
SLGN's Return On Invested Capital of 8.49% is in line compared to the rest of the industry. SLGN outperforms 56.52% of its industry peers.
SLGN had an Average Return On Invested Capital over the past 3 years of 8.04%. This is in line with the industry average of 8.25%.
The last Return On Invested Capital (8.49%) for SLGN is above the 3 year average (8.04%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.28% | ||
| ROE | 17.25% | ||
| ROIC | 8.49% |
ROA(3y)4.51%
ROA(5y)4.44%
ROE(3y)20.02%
ROE(5y)20.73%
ROIC(3y)8.04%
ROIC(5y)7.94%
1.3 Margins
The Profit Margin of SLGN (5.44%) is better than 60.87% of its industry peers.
In the last couple of years the Profit Margin of SLGN has grown nicely.
SLGN has a Operating Margin (10.08%) which is in line with its industry peers.
SLGN's Operating Margin has been stable in the last couple of years.
SLGN's Gross Margin of 16.58% is on the low side compared to the rest of the industry. SLGN is outperformed by 82.61% of its industry peers.
SLGN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.08% | ||
| PM (TTM) | 5.44% | ||
| GM | 16.58% |
OM growth 3Y-3.23%
OM growth 5Y1.41%
PM growth 3Y-4.61%
PM growth 5Y1.57%
GM growth 3Y-2.02%
GM growth 5Y1.34%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so SLGN is still creating some value.
The number of shares outstanding for SLGN has been reduced compared to 1 year ago.
SLGN has less shares outstanding than it did 5 years ago.
SLGN has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.17 indicates that SLGN is not a great score, but indicates only limited risk for bankruptcy at the moment.
SLGN has a Altman-Z score of 2.17. This is in the better half of the industry: SLGN outperforms 60.87% of its industry peers.
SLGN has a debt to FCF ratio of 13.40. This is a negative value and a sign of low solvency as SLGN would need 13.40 years to pay back of all of its debts.
SLGN has a Debt to FCF ratio of 13.40. This is in the lower half of the industry: SLGN underperforms 65.22% of its industry peers.
SLGN has a Debt/Equity ratio of 1.35. This is a high value indicating a heavy dependency on external financing.
SLGN has a Debt to Equity ratio of 1.35. This is comparable to the rest of the industry: SLGN outperforms 47.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.35 | ||
| Debt/FCF | 13.4 | ||
| Altman-Z | 2.17 |
ROIC/WACC1.2
WACC7.1%
2.3 Liquidity
A Current Ratio of 1.02 indicates that SLGN should not have too much problems paying its short term obligations.
SLGN has a worse Current ratio (1.02) than 82.61% of its industry peers.
SLGN has a Quick Ratio of 1.02. This is a bad value and indicates that SLGN is not financially healthy enough and could expect problems in meeting its short term obligations.
SLGN has a Quick ratio of 0.61. This is amonst the worse of the industry: SLGN underperforms 82.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.02 | ||
| Quick Ratio | 0.61 |
3. Growth
3.1 Past
The earnings per share for SLGN have decreased strongly by -14.36% in the last year.
The Earnings Per Share has been growing by 10.33% on average over the past years. This is quite good.
Looking at the last year, SLGN shows a decrease in Revenue. The Revenue has decreased by -6.60% in the last year.
The Revenue has been growing slightly by 6.12% on average over the past years.
EPS 1Y (TTM)-14.36%
EPS 3Y3.57%
EPS 5Y10.33%
EPS growth Q2Q-25%
Revenue 1Y (TTM)-6.6%
Revenue growth 3Y6.75%
Revenue growth 5Y6.12%
Revenue growth Q2Q-7.92%
3.2 Future
Based on estimates for the next years, SLGN will show a small growth in Earnings Per Share. The EPS will grow by 7.67% on average per year.
SLGN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.69% yearly.
EPS Next Y9.95%
EPS Next 2Y9.82%
EPS Next 3Y7.51%
EPS Next 5Y7.67%
Revenue Next Year0.99%
Revenue Next 2Y1.84%
Revenue Next 3Y2.07%
Revenue Next 5Y2.69%
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
A Price/Earnings ratio of 13.89 indicates a correct valuation of SLGN.
Based on the Price/Earnings ratio, SLGN is valued a bit cheaper than the industry average as 60.87% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of SLGN to the average of the S&P500 Index (25.20), we can say SLGN is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 12.63, the valuation of SLGN can be described as correct.
Based on the Price/Forward Earnings ratio, SLGN is valued a bit cheaper than the industry average as 65.22% of the companies are valued more expensively.
SLGN's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 21.60.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.89 | ||
| Fwd PE | 12.63 |
4.2 Price Multiples
SLGN's Enterprise Value to EBITDA is on the same level as the industry average.
65.22% of the companies in the same industry are cheaper than SLGN, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.66 | ||
| EV/EBITDA | 9.01 |
4.3 Compensation for Growth
SLGN's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of SLGN may justify a higher PE ratio.
PEG (NY)1.4
PEG (5Y)1.35
EPS Next 2Y9.82%
EPS Next 3Y7.51%
5. Dividend
5.1 Amount
SLGN has a Yearly Dividend Yield of 1.62%.
SLGN's Dividend Yield is comparable with the industry average which is at 3.01.
Compared to the average S&P500 Dividend Yield of 2.45, SLGN is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.62% |
5.2 History
On average, the dividend of SLGN grows each year by 12.56%, which is quite nice.
SLGN has paid a dividend for at least 10 years, which is a reliable track record.
SLGN has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)12.56%
Div Incr Years12
Div Non Decr Years12
5.3 Sustainability
24.21% of the earnings are spent on dividend by SLGN. This is a low number and sustainable payout ratio.
The dividend of SLGN is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP24.21%
EPS Next 2Y9.82%
EPS Next 3Y7.51%
SILGAN HOLDINGS INC
NYSE:SLGN (4/23/2024, 7:25:33 PM)
After market: 47.23 0 (0%)47.23
+0.19 (+0.4%)
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 Cap5.03B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.62% |
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)
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Min EPS beat(4)
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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)
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Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
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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 Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.89 | ||
| Fwd PE | 12.63 | ||
| 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)1.4
PEG (5Y)1.35
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.28% | ||
| ROE | 17.25% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 10.08% | ||
| PM (TTM) | 5.44% | ||
| GM | 16.58% | ||
| 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 Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.35 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.02 | ||
| Quick Ratio | 0.61 | ||
| 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)-14.36%
EPS 3Y3.57%
EPS 5Y
EPS growth Q2Q
EPS Next Y9.95%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-6.6%
Revenue growth 3Y6.75%
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