SILGAN HOLDINGS INC (SLGN) Stock Fundamental Analysis
NYSE:SLGN - US8270481091 - Common Stock
46.92 USD
+0.12 (+0.26%)
46.92 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to SLGN. SLGN was compared to 22 industry peers in the Containers & Packaging industry. SLGN has a medium profitability rating, but doesn't score so well on its financial health evaluation. SLGN has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year SLGN was profitable.
SLGN had a positive operating cash flow in the past year.
In the past 5 years SLGN has always been profitable.
Each year in the past 5 years SLGN had a positive operating cash flow.
1.2 Ratios
SLGN's Return On Assets of 3.21% is fine compared to the rest of the industry. SLGN outperforms 68.18% of its industry peers.
Looking at the Return On Equity, with a value of 13.59%, SLGN is in the better half of the industry, outperforming 68.18% of the companies in the same industry.
With a decent Return On Invested Capital value of 7.75%, SLGN is doing good in the industry, outperforming 72.73% of the companies in the same industry.
SLGN had an Average Return On Invested Capital over the past 3 years of 8.32%. This is in line with the industry average of 7.30%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.21% | ||
| ROE | 13.59% | ||
| ROIC | 7.75% |
ROA(3y)4.05%
ROA(5y)4.3%
ROE(3y)16.99%
ROE(5y)19.72%
ROIC(3y)8.32%
ROIC(5y)8.1%
1.3 Margins
With a decent Profit Margin value of 4.90%, SLGN is doing good in the industry, outperforming 72.73% of the companies in the same industry.
SLGN's Profit Margin has improved in the last couple of years.
SLGN has a Operating Margin of 10.08%. This is in the better half of the industry: SLGN outperforms 68.18% of its industry peers.
In the last couple of years the Operating Margin of SLGN has remained more or less at the same level.
With a Gross Margin value of 17.88%, SLGN is not doing good in the industry: 77.27% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of SLGN has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.08% | ||
| PM (TTM) | 4.9% | ||
| GM | 17.88% |
OM growth 3Y-2.23%
OM growth 5Y1.17%
PM growth 3Y-9.29%
PM growth 5Y1.81%
GM growth 3Y2.23%
GM growth 5Y1.69%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), SLGN is creating some value.
The number of shares outstanding for SLGN has been increased compared to 1 year ago.
The number of shares outstanding for SLGN has been reduced compared to 5 years ago.
SLGN has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.80, we must say that SLGN is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.80, SLGN perfoms like the industry average, outperforming 59.09% of the companies in the same industry.
SLGN has a debt to FCF ratio of 88.79. This is a negative value and a sign of low solvency as SLGN would need 88.79 years to pay back of all of its debts.
SLGN has a Debt to FCF ratio of 88.79. This is comparable to the rest of the industry: SLGN outperforms 40.91% of its industry peers.
SLGN has a Debt/Equity ratio of 1.40. This is a high value indicating a heavy dependency on external financing.
SLGN has a Debt to Equity ratio (1.40) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.4 | ||
| Debt/FCF | 88.79 | ||
| Altman-Z | 1.8 |
ROIC/WACC1.11
WACC7%
2.3 Liquidity
A Current Ratio of 0.96 indicates that SLGN may have some problems paying its short term obligations.
With a Current ratio value of 0.96, SLGN is not doing good in the industry: 86.36% of the companies in the same industry are doing better.
A Quick Ratio of 0.56 indicates that SLGN may have some problems paying its short term obligations.
With a Quick ratio value of 0.56, SLGN is not doing good in the industry: 86.36% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.56 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 15.77% over the past year.
SLGN shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.04% yearly.
The Revenue has been growing slightly by 5.49% in the past year.
The Revenue has been growing slightly by 5.45% on average over the past years.
EPS 1Y (TTM)15.77%
EPS 3Y2.11%
EPS 5Y11.04%
EPS Q2Q%14.77%
Revenue 1Y (TTM)5.49%
Revenue growth 3Y1.03%
Revenue growth 5Y5.45%
Sales Q2Q%11.42%
3.2 Future
The Earnings Per Share is expected to grow by 6.74% on average over the next years.
SLGN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.48% yearly.
EPS Next Y10.66%
EPS Next 2Y10.31%
EPS Next 3Y9.46%
EPS Next 5Y6.74%
Revenue Next Year10.1%
Revenue Next 2Y6.38%
Revenue Next 3Y5%
Revenue Next 5Y3.48%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 12.06 indicates a correct valuation of SLGN.
Based on the Price/Earnings ratio, SLGN is valued cheaper than 86.36% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.13. SLGN is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 10.62, the valuation of SLGN can be described as reasonable.
SLGN's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. SLGN is cheaper than 77.27% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.76, SLGN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.06 | ||
| Fwd PE | 10.62 |
4.2 Price Multiples
SLGN's Enterprise Value to EBITDA is on the same level as the industry average.
SLGN's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 88.23 | ||
| EV/EBITDA | 10.6 |
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)1.13
PEG (5Y)1.09
EPS Next 2Y10.31%
EPS Next 3Y9.46%
5. Dividend
5.1 Amount
SLGN has a Yearly Dividend Yield of 1.71%. Purely for dividend investing, there may be better candidates out there.
SLGN's Dividend Yield is comparable with the industry average which is at 3.15.
SLGN's Dividend Yield is slightly below the S&P500 average, which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.71% |
5.2 History
The dividend of SLGN is nicely growing with an annual growth rate of 10.87%!
SLGN has paid a dividend for at least 10 years, which is 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)10.87%
Div Incr Years20
Div Non Decr Years20
5.3 Sustainability
SLGN pays out 27.80% of its income as dividend. This is a sustainable payout ratio.
SLGN's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP27.8%
EPS Next 2Y10.31%
EPS Next 3Y9.46%
46.92
+0.12 (+0.26%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryContainers & Packaging
Earnings (Last)
Earnings (Next)
Inst Owners79.05%
Inst Owner Change2.24%
Ins Owners1.14%
Ins Owner Change1.17%
Market Cap5.02B
Analysts83.33
Price Target61.18 (30.39%)
Short Float %3.25%
Short Ratio3.14
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.71% |
Yearly Dividend0.77
Dividend Growth(5Y)10.87%
DP27.8%
Div Incr Years20
Div Non Decr Years20
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.87%
Min EPS beat(2)-3.96%
Max EPS beat(2)2.22%
EPS beat(4)2
Avg EPS beat(4)-1.11%
Min EPS beat(4)-4.41%
Max EPS beat(4)2.22%
EPS beat(8)5
Avg EPS beat(8)0.85%
EPS beat(12)7
Avg EPS beat(12)-0.04%
EPS beat(16)10
Avg EPS beat(16)0.74%
Revenue beat(2)0
Avg Revenue beat(2)-1.94%
Min Revenue beat(2)-2.29%
Max Revenue beat(2)-1.59%
Revenue beat(4)0
Avg Revenue beat(4)-2.87%
Min Revenue beat(4)-6.23%
Max Revenue beat(4)-1.38%
Revenue beat(8)0
Avg Revenue beat(8)-4.68%
Revenue beat(12)1
Avg Revenue beat(12)-4.41%
Revenue beat(16)4
Avg Revenue beat(16)-3.1%
PT rev (1m)-4%
PT rev (3m)-2.61%
EPS NQ rev (1m)-6.46%
EPS NQ rev (3m)-9.65%
EPS NY rev (1m)-4.05%
EPS NY rev (3m)-4.05%
Revenue NQ rev (1m)-0.2%
Revenue NQ rev (3m)0.92%
Revenue NY rev (1m)-0.27%
Revenue NY rev (3m)-0.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.06 | ||
| Fwd PE | 10.62 | ||
| P/S | 0.81 | ||
| P/FCF | 88.23 | ||
| P/OCF | 14.6 | ||
| P/B | 2.26 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.6 |
EPS(TTM)3.89
EY8.29%
EPS(NY)4.42
Fwd EY9.41%
FCF(TTM)0.53
FCFY1.13%
OCF(TTM)3.21
OCFY6.85%
SpS57.6
BVpS20.77
TBVpS-10.93
PEG (NY)1.13
PEG (5Y)1.09
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.21% | ||
| ROE | 13.59% | ||
| ROCE | 9.9% | ||
| ROIC | 7.75% | ||
| ROICexc | 8.16% | ||
| ROICexgc | 18.94% | ||
| OM | 10.08% | ||
| PM (TTM) | 4.9% | ||
| GM | 17.88% | ||
| FCFM | 0.92% |
ROA(3y)4.05%
ROA(5y)4.3%
ROE(3y)16.99%
ROE(5y)19.72%
ROIC(3y)8.32%
ROIC(5y)8.1%
ROICexc(3y)9.41%
ROICexc(5y)9.05%
ROICexgc(3y)21.51%
ROICexgc(5y)19.67%
ROCE(3y)10.64%
ROCE(5y)10.34%
ROICexcg growth 3Y4.56%
ROICexcg growth 5Y5.59%
ROICexc growth 3Y-0.53%
ROICexc growth 5Y-1.45%
OM growth 3Y-2.23%
OM growth 5Y1.17%
PM growth 3Y-9.29%
PM growth 5Y1.81%
GM growth 3Y2.23%
GM growth 5Y1.69%
F-Score5
Asset Turnover0.65
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.4 | ||
| Debt/FCF | 88.79 | ||
| Debt/EBITDA | 3.38 | ||
| Cap/Depr | 95.91% | ||
| Cap/Sales | 4.66% | ||
| Interest Coverage | 3.6 | ||
| Cash Conversion | 37.36% | ||
| Profit Quality | 18.84% | ||
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.56 | ||
| Altman-Z | 1.8 |
F-Score5
WACC7%
ROIC/WACC1.11
Cap/Depr(3y)87.84%
Cap/Depr(5y)91.73%
Cap/Sales(3y)3.88%
Cap/Sales(5y)4.06%
Profit Quality(3y)133.62%
Profit Quality(5y)122.75%
High Growth Momentum
Growth
EPS 1Y (TTM)15.77%
EPS 3Y2.11%
EPS 5Y11.04%
EPS Q2Q%14.77%
EPS Next Y10.66%
EPS Next 2Y10.31%
EPS Next 3Y9.46%
EPS Next 5Y6.74%
Revenue 1Y (TTM)5.49%
Revenue growth 3Y1.03%
Revenue growth 5Y5.45%
Sales Q2Q%11.42%
Revenue Next Year10.1%
Revenue Next 2Y6.38%
Revenue Next 3Y5%
Revenue Next 5Y3.48%
EBIT growth 1Y4.61%
EBIT growth 3Y-1.22%
EBIT growth 5Y6.68%
EBIT Next Year57.54%
EBIT Next 3Y19.53%
EBIT Next 5Y11.67%
FCF growth 1Y-22.06%
FCF growth 3Y12.26%
FCF growth 5Y10.67%
OCF growth 1Y19.17%
OCF growth 3Y9.04%
OCF growth 5Y7.31%