SILGAN HOLDINGS INC (SLGN)
US8270481091 - Common Stock
We assign a fundamental rating of 4 out of 10 to SLGN. SLGN was compared to 23 industry peers in the Containers & Packaging industry. SLGN has an average financial health and profitability rating. 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.
SLGN had a positive operating cash flow in the past year.
SLGN had positive earnings in each of the past 5 years.
Each year in the past 5 years SLGN had a positive operating cash flow.
1.2 Ratios
The Return On Assets of SLGN (3.66%) is worse than 60.87% of its industry peers.
The Return On Equity of SLGN (16.06%) is comparable to the rest of the industry.
With a Return On Invested Capital value of 7.96%, SLGN perfoms like the industry average, outperforming 47.83% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for SLGN is in line with the industry average of 8.35%.
The last Return On Invested Capital (7.96%) for SLGN is above the 3 year average (7.76%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.66% | ||
| ROE | 16.06% | ||
| ROIC | 7.96% |
ROA(3y)4.67%
ROA(5y)4.56%
ROE(3y)22.48%
ROE(5y)22.36%
ROIC(3y)7.76%
ROIC(5y)8.02%
1.3 Margins
SLGN has a worse Profit Margin (4.69%) than 60.87% of its industry peers.
SLGN's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 10.32%, SLGN perfoms like the industry average, outperforming 56.52% of the companies in the same industry.
SLGN's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 16.49%, SLGN is doing worse than 82.61% of the companies in the same industry.
In the last couple of years the Gross Margin of SLGN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.32% | ||
| PM (TTM) | 4.69% | ||
| GM | 16.49% |
OM growth 3Y4.42%
OM growth 5Y2.16%
PM growth 3Y7.19%
PM growth 5Y-4.22%
GM growth 3Y0.93%
GM growth 5Y1.05%
2. Health
2.1 Basic Checks
SLGN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for SLGN has been reduced compared to 1 year ago.
The number of shares outstanding for SLGN has been reduced compared to 5 years ago.
SLGN has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.18 indicates that SLGN is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.18, SLGN is doing good in the industry, outperforming 65.22% of the companies in the same industry.
The Debt to FCF ratio of SLGN is 98.15, which is on the high side as it means it would take SLGN, 98.15 years of fcf income to pay off all of its debts.
SLGN has a worse Debt to FCF ratio (98.15) than 78.26% of its industry peers.
A Debt/Equity ratio of 1.86 is on the high side and indicates that SLGN has dependencies on debt financing.
SLGN has a Debt to Equity ratio (1.86) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.86 | ||
| Debt/FCF | 98.15 | ||
| Altman-Z | 2.18 |
ROIC/WACC1.18
WACC6.76%
2.3 Liquidity
A Current Ratio of 1.39 indicates that SLGN should not have too much problems paying its short term obligations.
SLGN has a Current ratio (1.39) which is comparable to the rest of the industry.
SLGN has a Quick Ratio of 1.39. 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 0.91. This is comparable to the rest of the industry: SLGN outperforms 43.48% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.39 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
The earnings per share for SLGN have decreased by -7.91% in the last year.
SLGN shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 19.34% yearly.
SLGN shows a decrease in Revenue. In the last year, the revenue decreased by -4.56%.
The Revenue has been growing by 9.41% on average over the past years. This is quite good.
EPS 1Y (TTM)-7.91%
EPS 3Y22.68%
EPS 5Y19.34%
EPS growth Q2Q-8.66%
Revenue 1Y (TTM)-4.56%
Revenue growth 3Y12.61%
Revenue growth 5Y9.41%
Revenue growth Q2Q-8.49%
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 2.85% on average per year.
The Revenue is expected to grow by 0.71% on average over the next years.
EPS Next Y-13.48%
EPS Next 2Y-3.37%
EPS Next 3Y1.06%
EPS Next 5Y2.85%
Revenue Next Year-6.78%
Revenue Next 2Y-2.92%
Revenue Next 3Y-1.04%
Revenue Next 5Y0.71%
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 11.72, which indicates a very decent valuation of SLGN.
65.22% of the companies in the same industry are more expensive than SLGN, based on the Price/Earnings ratio.
SLGN is valuated cheaply when we compare the Price/Earnings ratio to 24.54, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 11.42, the valuation of SLGN can be described as very reasonable.
SLGN's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. SLGN is cheaper than 60.87% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 20.22. SLGN is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.72 | ||
| Fwd PE | 11.42 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SLGN is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, SLGN is valued a bit more expensive than 78.26% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 105.06 | ||
| EV/EBITDA | 9.43 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.61
EPS Next 2Y-3.37%
EPS Next 3Y1.06%
5. Dividend
5.1 Amount
SLGN has a Yearly Dividend Yield of 1.68%.
Compared to an average industry Dividend Yield of 2.95, SLGN has a dividend in line with its industry peers.
SLGN's Dividend Yield is slightly below the S&P500 average, which is at 2.55.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.68% |
5.2 History
On average, the dividend of SLGN grows each year by 12.17%, which is quite nice.
SLGN has been paying a dividend for at least 10 years, so it has a reliable track record.
SLGN has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)12.17%
Div Incr Years12
Div Non Decr Years12
5.3 Sustainability
27.02% 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.
DP27.02%
EPS Next 2Y-3.37%
EPS Next 3Y1.06%
SILGAN HOLDINGS INC
NYSE:SLGN (12/8/2023, 7:16:23 PM)
After market: 42.32 0 (0%)42.32
-0.52 (-1.21%)
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 Cap4.51B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.68% |
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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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 | 11.72 | ||
| Fwd PE | 11.42 | ||
| 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)N/A
PEG (5Y)0.61
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.66% | ||
| ROE | 16.06% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 10.32% | ||
| PM (TTM) | 4.69% | ||
| GM | 16.49% | ||
| 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 Turnover0.78
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.86 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.39 | ||
| Quick Ratio | 0.91 | ||
| 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)-7.91%
EPS 3Y22.68%
EPS 5Y
EPS growth Q2Q
EPS Next Y-13.48%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-4.56%
Revenue growth 3Y12.61%
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