SILGAN HOLDINGS INC (SLGN) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SLGN - US8270481091 - Common Stock
39.34 USD
-0.3 (-0.76%)
39.34 USD
0 (0%)
Taking everything into account, SLGN scores 4 out of 10 in our fundamental rating. SLGN was compared to 22 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 is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
SLGN had positive earnings in the past year.
SLGN had a positive operating cash flow in the past year.
SLGN had positive earnings in each of the past 5 years.
In the past 5 years SLGN always reported a positive cash flow from operatings.
1.2 Ratios
SLGN has a better Return On Assets (3.32%) than 63.64% of its industry peers.
SLGN's Return On Equity of 13.87% is fine compared to the rest of the industry. SLGN outperforms 68.18% of its industry peers.
SLGN has a better Return On Invested Capital (7.11%) than 68.18% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SLGN is in line with the industry average of 7.62%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.32% | ||
| ROE | 13.87% | ||
| ROIC | 7.11% |
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
Looking at the Profit Margin, with a value of 4.91%, SLGN is in the better half of the industry, outperforming 63.64% of the companies in the same industry.
SLGN's Profit Margin has improved in the last couple of years.
SLGN's Operating Margin of 9.97% is fine compared to the rest of the industry. SLGN outperforms 63.64% of its industry peers.
SLGN's Operating Margin has been stable in the last couple of years.
SLGN has a Gross Margin of 17.67%. This is amonst the worse of the industry: SLGN underperforms 81.82% of its industry peers.
SLGN's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.97% | ||
| PM (TTM) | 4.91% | ||
| GM | 17.67% |
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
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 increased compared to 1 year ago.
SLGN has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, SLGN has a worse debt to assets ratio.
2.2 Solvency
SLGN has an Altman-Z score of 1.86. This is not the best score and indicates that SLGN is in the grey zone with still only limited risk for bankruptcy at the moment.
SLGN has a Altman-Z score (1.86) which is comparable to the rest of the industry.
The Debt to FCF ratio of SLGN is 75.81, which is on the high side as it means it would take SLGN, 75.81 years of fcf income to pay off all of its debts.
SLGN has a Debt to FCF ratio of 75.81. This is in the lower half of the industry: SLGN underperforms 68.18% of its industry peers.
SLGN has a Debt/Equity ratio of 1.68. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of SLGN (1.68) is worse than 72.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.68 | ||
| Debt/FCF | 75.81 | ||
| Altman-Z | 1.86 |
ROIC/WACC0.9
WACC7.9%
2.3 Liquidity
SLGN has a Current Ratio of 1.27. This is a normal value and indicates that SLGN is financially healthy and should not expect problems in meeting its short term obligations.
SLGN's Current ratio of 1.27 is in line compared to the rest of the industry. SLGN outperforms 40.91% of its industry peers.
A Quick Ratio of 0.85 indicates that SLGN may have some problems paying its short term obligations.
SLGN has a Quick ratio of 0.85. This is comparable to the rest of the industry: SLGN outperforms 45.45% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.27 | ||
| Quick Ratio | 0.85 |
3. Growth
3.1 Past
SLGN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 14.37%, which is quite good.
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 grown by 11.10% in the past year. This is quite good.
SLGN shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.45% yearly.
EPS 1Y (TTM)14.37%
EPS 3Y2.11%
EPS 5Y11.04%
EPS Q2Q%0.83%
Revenue 1Y (TTM)11.1%
Revenue growth 3Y1.03%
Revenue growth 5Y5.45%
Sales Q2Q%15.11%
3.2 Future
The Earnings Per Share is expected to grow by 6.74% on average over the next years.
Based on estimates for the next years, SLGN will show a small growth in Revenue. The Revenue will grow by 3.48% on average per year.
EPS Next Y5.65%
EPS Next 2Y5.5%
EPS Next 3Y7.15%
EPS Next 5Y6.74%
Revenue Next Year10.79%
Revenue Next 2Y6.54%
Revenue Next 3Y5.11%
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
SLGN is valuated reasonably with a Price/Earnings ratio of 10.09.
86.36% 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 26.11, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 9.74, the valuation of SLGN can be described as very reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SLGN indicates a rather cheap valuation: SLGN is cheaper than 81.82% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of SLGN to the average of the S&P500 Index (36.21), we can say SLGN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.09 | ||
| Fwd PE | 9.74 |
4.2 Price Multiples
SLGN's Enterprise Value to EBITDA ratio is in line with the industry average.
SLGN's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. SLGN is more expensive than 63.64% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 63.71 | ||
| EV/EBITDA | 9.12 |
4.3 Compensation for Growth
The 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)1.79
PEG (5Y)0.91
EPS Next 2Y5.5%
EPS Next 3Y7.15%
5. Dividend
5.1 Amount
SLGN has a Yearly Dividend Yield of 2.02%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.34, SLGN has a dividend in line with its industry peers.
SLGN's Dividend Yield is comparable with the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.02% |
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
26.99% of the earnings are spent on dividend by SLGN. This is a low number and sustainable payout ratio.
SLGN's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP26.99%
EPS Next 2Y5.5%
EPS Next 3Y7.15%
39.34
-0.3 (-0.76%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryContainers & Packaging
Earnings (Last)
Earnings (Next)
Inst Owners79.21%
Inst Owner Change9.2%
Ins Owners1.13%
Ins Owner Change-0.14%
Market Cap4.16B
Revenue(TTM)6.43B
Net Income(TTM)315.26M
Analysts84.44
Price Target51.17 (30.07%)
Short Float %9.83%
Short Ratio6.56
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.02% |
Yearly Dividend0.77
Dividend Growth(5Y)10.87%
DP26.99%
Div Incr Years20
Div Non Decr Years20
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-3.15%
Min EPS beat(2)-3.96%
Max EPS beat(2)-2.35%
EPS beat(4)2
Avg EPS beat(4)-0.6%
Min EPS beat(4)-3.96%
Max EPS beat(4)2.22%
EPS beat(8)4
Avg EPS beat(8)0.41%
EPS beat(12)6
Avg EPS beat(12)-0.41%
EPS beat(16)10
Avg EPS beat(16)0.84%
Revenue beat(2)1
Avg Revenue beat(2)0.11%
Min Revenue beat(2)-1.59%
Max Revenue beat(2)1.81%
Revenue beat(4)1
Avg Revenue beat(4)-0.86%
Min Revenue beat(4)-2.29%
Max Revenue beat(4)1.81%
Revenue beat(8)1
Avg Revenue beat(8)-3.31%
Revenue beat(12)1
Avg Revenue beat(12)-4.75%
Revenue beat(16)4
Avg Revenue beat(16)-3.08%
PT rev (1m)-13.78%
PT rev (3m)-16.37%
EPS NQ rev (1m)-26.35%
EPS NQ rev (3m)-26.52%
EPS NY rev (1m)-4.38%
EPS NY rev (3m)-4.53%
Revenue NQ rev (1m)-2.55%
Revenue NQ rev (3m)-2.75%
Revenue NY rev (1m)0.66%
Revenue NY rev (3m)0.63%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.09 | ||
| Fwd PE | 9.74 | ||
| P/S | 0.65 | ||
| P/FCF | 63.71 | ||
| P/OCF | 11.18 | ||
| P/B | 1.83 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.12 |
EPS(TTM)3.9
EY9.91%
EPS(NY)4.04
Fwd EY10.27%
FCF(TTM)0.62
FCFY1.57%
OCF(TTM)3.52
OCFY8.94%
SpS60.81
BVpS21.51
TBVpS-10.42
PEG (NY)1.79
PEG (5Y)0.91
Graham Number43.44
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.32% | ||
| ROE | 13.87% | ||
| ROCE | 9.09% | ||
| ROIC | 7.11% | ||
| ROICexc | 7.53% | ||
| ROICexgc | 15.26% | ||
| OM | 9.97% | ||
| PM (TTM) | 4.91% | ||
| GM | 17.67% | ||
| FCFM | 1.02% |
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%
ROICexgc growth 3Y4.56%
ROICexgc 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-Score6
Asset Turnover0.68
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.68 | ||
| Debt/FCF | 75.81 | ||
| Debt/EBITDA | 3.99 | ||
| Cap/Depr | 97.18% | ||
| Cap/Sales | 4.77% | ||
| Interest Coverage | 3.65 | ||
| Cash Conversion | 38.9% | ||
| Profit Quality | 20.7% | ||
| Current Ratio | 1.27 | ||
| Quick Ratio | 0.85 | ||
| Altman-Z | 1.86 |
F-Score6
WACC7.9%
ROIC/WACC0.9
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)14.37%
EPS 3Y2.11%
EPS 5Y11.04%
EPS Q2Q%0.83%
EPS Next Y5.65%
EPS Next 2Y5.5%
EPS Next 3Y7.15%
EPS Next 5Y6.74%
Revenue 1Y (TTM)11.1%
Revenue growth 3Y1.03%
Revenue growth 5Y5.45%
Sales Q2Q%15.11%
Revenue Next Year10.79%
Revenue Next 2Y6.54%
Revenue Next 3Y5.11%
Revenue Next 5Y3.48%
EBIT growth 1Y10.38%
EBIT growth 3Y-1.22%
EBIT growth 5Y6.68%
EBIT Next Year55.86%
EBIT Next 3Y19.18%
EBIT Next 5Y11.67%
FCF growth 1Y52.11%
FCF growth 3Y12.26%
FCF growth 5Y10.67%
OCF growth 1Y37.75%
OCF growth 3Y9.04%
OCF growth 5Y7.31%
SILGAN HOLDINGS INC / SLGN FAQ
What is the fundamental rating for SLGN stock?
ChartMill assigns a fundamental rating of 4 / 10 to SLGN.
Can you provide the valuation status for SILGAN HOLDINGS INC?
ChartMill assigns a valuation rating of 5 / 10 to SILGAN HOLDINGS INC (SLGN). This can be considered as Fairly Valued.
Can you provide the profitability details for SILGAN HOLDINGS INC?
SILGAN HOLDINGS INC (SLGN) has a profitability rating of 6 / 10.
Can you provide the financial health for SLGN stock?
The financial health rating of SILGAN HOLDINGS INC (SLGN) is 2 / 10.
Is the dividend of SILGAN HOLDINGS INC sustainable?
The dividend rating of SILGAN HOLDINGS INC (SLGN) is 6 / 10 and the dividend payout ratio is 26.99%.