AMCOR PLC (AMCR)
JE00BJ1F3079 - Common Stock
We assign a fundamental rating of 4 out of 10 to AMCR. AMCR was compared to 24 industry peers in the Containers & Packaging industry. There are concerns on the financial health of AMCR while its profitability can be described as average. AMCR has a valuation in line with the averages, but it does not seem to be growing. Finally AMCR also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
AMCR had positive earnings in the past year.
AMCR had a positive operating cash flow in the past year.
In the past 5 years AMCR has always been profitable.
AMCR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
AMCR's Return On Assets of 4.53% is fine compared to the rest of the industry. AMCR outperforms 69.57% of its industry peers.
Looking at the Return On Equity, with a value of 19.55%, AMCR is in the better half of the industry, outperforming 78.26% of the companies in the same industry.
With a decent Return On Invested Capital value of 8.56%, AMCR is doing good in the industry, outperforming 69.57% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for AMCR is significantly below the industry average of 382233.17%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.53% | ||
| ROE | 19.55% | ||
| ROIC | 8.56% |
ROA(3y)5.04%
ROA(5y)4.86%
ROE(3y)21.41%
ROE(5y)19.43%
ROIC(3y)9.33%
ROIC(5y)8.88%
1.3 Margins
The Profit Margin of AMCR (5.65%) is better than 69.57% of its industry peers.
AMCR's Profit Margin has improved in the last couple of years.
The Operating Margin of AMCR (9.82%) is comparable to the rest of the industry.
AMCR's Operating Margin has been stable in the last couple of years.
AMCR has a Gross Margin of 20.12%. This is in the lower half of the industry: AMCR underperforms 60.87% of its industry peers.
AMCR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.82% | ||
| PM (TTM) | 5.65% | ||
| GM | 20.12% |
OM growth 3Y-4.43%
OM growth 5Y-1.31%
PM growth 3Y-9.89%
PM growth 5Y3.23%
GM growth 3Y-2.18%
GM growth 5Y0.89%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), AMCR is creating some value.
AMCR has less shares outstanding than it did 1 year ago.
The number of shares outstanding for AMCR has been reduced compared to 5 years ago.
AMCR has a worse debt/assets ratio than last year.
2.2 Solvency
AMCR has an Altman-Z score of 1.85. This is not the best score and indicates that AMCR is in the grey zone with still only limited risk for bankruptcy at the moment.
AMCR has a Altman-Z score (1.85) which is in line with its industry peers.
The Debt to FCF ratio of AMCR is 10.84, which is on the high side as it means it would take AMCR, 10.84 years of fcf income to pay off all of its debts.
AMCR has a Debt to FCF ratio (10.84) which is comparable to the rest of the industry.
AMCR has a Debt/Equity ratio of 1.86. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of AMCR (1.86) is worse than 69.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.86 | ||
| Debt/FCF | 10.84 | ||
| Altman-Z | 1.85 |
ROIC/WACC1.15
WACC7.44%
2.3 Liquidity
A Current Ratio of 1.29 indicates that AMCR should not have too much problems paying its short term obligations.
With a Current ratio value of 1.29, AMCR is not doing good in the industry: 60.87% of the companies in the same industry are doing better.
A Quick Ratio of 0.74 indicates that AMCR may have some problems paying its short term obligations.
The Quick ratio of AMCR (0.74) is worse than 82.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.29 | ||
| Quick Ratio | 0.74 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 0.14% over the past year.
The Earnings Per Share has been growing slightly by 6.98% on average over the past years.
The Revenue has decreased by -6.07% in the past year.
AMCR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.60% yearly.
EPS 1Y (TTM)0.14%
EPS 3Y-1.83%
EPS 5Y6.98%
EPS Q2Q%3.85%
Revenue 1Y (TTM)-6.07%
Revenue growth 3Y1.98%
Revenue growth 5Y7.6%
Sales Q2Q%-2.61%
3.2 Future
AMCR is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.51% yearly.
AMCR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.41% yearly.
EPS Next Y6.78%
EPS Next 2Y6.88%
EPS Next 3Y6.04%
EPS Next 5Y3.51%
Revenue Next Year1.23%
Revenue Next 2Y1.81%
Revenue Next 3Y2.32%
Revenue Next 5Y1.41%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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 13.24 indicates a correct valuation of AMCR.
73.91% of the companies in the same industry are more expensive than AMCR, based on the Price/Earnings ratio.
AMCR's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.20.
AMCR is valuated reasonably with a Price/Forward Earnings ratio of 11.69.
Based on the Price/Forward Earnings ratio, AMCR is valued a bit cheaper than 73.91% of the companies in the same industry.
AMCR is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.73, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.24 | ||
| Fwd PE | 11.69 |
4.2 Price Multiples
AMCR's Enterprise Value to EBITDA is on the same level as the industry average.
AMCR's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. AMCR is cheaper than 60.87% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.16 | ||
| EV/EBITDA | 10.61 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of AMCR may justify a higher PE ratio.
PEG (NY)1.95
PEG (5Y)1.9
EPS Next 2Y6.88%
EPS Next 3Y6.04%
5. Dividend
5.1 Amount
AMCR has a Yearly Dividend Yield of 5.43%, which is a nice return.
Compared to an average industry Dividend Yield of 3.07, AMCR pays a better dividend. On top of this AMCR pays more dividend than 95.65% of the companies listed in the same industry.
AMCR's Dividend Yield is rather good when compared to the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.43% |
5.2 History
The dividend of AMCR has a limited annual growth rate of 0.43%.
AMCR has been paying a dividend for over 5 years, so it has already some track record.
As AMCR did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)0.43%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
94.78% of the earnings are spent on dividend by AMCR. This is not a sustainable payout ratio.
The dividend of AMCR is growing, but earnings are growing more, so the dividend growth is sustainable.
DP94.78%
EPS Next 2Y6.88%
EPS Next 3Y6.04%
AMCOR PLC
NYSE:AMCR (12/20/2024, 8:04:00 PM)
After market: 9.4 0 (0%)9.4
0 (0%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryContainers & Packaging
Earnings (Last)
Earnings (Next)
Inst Owners55.6%
Inst Owner Change-1.96%
Ins Owners0.21%
Ins Owner Change9.49%
Market Cap13.59B
Analysts52.86
Price Target11.03 (17.34%)
Short Float %3.12%
Short Ratio3.66
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.43% |
Dividend Growth(5Y)0.43%
DP94.78%
Div Incr Years5
Div Non Decr Years5
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.94%
Min EPS beat(2)-2.86%
Max EPS beat(2)0.98%
EPS beat(4)3
Avg EPS beat(4)1.61%
Min EPS beat(4)-2.86%
Max EPS beat(4)7.23%
EPS beat(8)6
Avg EPS beat(8)1.23%
EPS beat(12)8
Avg EPS beat(12)0.8%
EPS beat(16)10
Avg EPS beat(16)0.88%
Revenue beat(2)0
Avg Revenue beat(2)-5.34%
Min Revenue beat(2)-5.89%
Max Revenue beat(2)-4.79%
Revenue beat(4)0
Avg Revenue beat(4)-5.4%
Min Revenue beat(4)-6.5%
Max Revenue beat(4)-4.4%
Revenue beat(8)0
Avg Revenue beat(8)-3.67%
Revenue beat(12)4
Avg Revenue beat(12)-1.29%
Revenue beat(16)6
Avg Revenue beat(16)-0.98%
PT rev (1m)1.26%
PT rev (3m)4.83%
EPS NQ rev (1m)0.25%
EPS NQ rev (3m)1.77%
EPS NY rev (1m)0.04%
EPS NY rev (3m)-1.01%
Revenue NQ rev (1m)0.03%
Revenue NQ rev (3m)-2.56%
Revenue NY rev (1m)-0.08%
Revenue NY rev (3m)-1.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.24 | ||
| Fwd PE | 11.69 | ||
| P/S | 1 | ||
| P/FCF | 20.16 | ||
| P/OCF | 11.45 | ||
| P/B | 3.47 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.61 |
EPS(TTM)0.71
EY7.55%
EPS(NY)0.8
Fwd EY8.56%
FCF(TTM)0.47
FCFY4.96%
OCF(TTM)0.82
OCFY8.74%
SpS9.37
BVpS2.71
TBVpS-1.96
PEG (NY)1.95
PEG (5Y)1.9
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.53% | ||
| ROE | 19.55% | ||
| ROCE | 10.36% | ||
| ROIC | 8.56% | ||
| ROICexc | 8.85% | ||
| ROICexgc | 19.21% | ||
| OM | 9.82% | ||
| PM (TTM) | 5.65% | ||
| GM | 20.12% | ||
| FCFM | 4.97% |
ROA(3y)5.04%
ROA(5y)4.86%
ROE(3y)21.41%
ROE(5y)19.43%
ROIC(3y)9.33%
ROIC(5y)8.88%
ROICexc(3y)9.87%
ROICexc(5y)9.42%
ROICexgc(3y)23.63%
ROICexgc(5y)23.09%
ROCE(3y)11.29%
ROCE(5y)10.76%
ROICexcg growth 3Y-3.75%
ROICexcg growth 5Y7.52%
ROICexc growth 3Y-1.63%
ROICexc growth 5Y8.02%
OM growth 3Y-4.43%
OM growth 5Y-1.31%
PM growth 3Y-9.89%
PM growth 5Y3.23%
GM growth 3Y-2.18%
GM growth 5Y0.89%
F-Score6
Asset Turnover0.8
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.86 | ||
| Debt/FCF | 10.84 | ||
| Debt/EBITDA | 3.8 | ||
| Cap/Depr | 87.39% | ||
| Cap/Sales | 3.79% | ||
| Interest Coverage | 4.13 | ||
| Cash Conversion | 61.89% | ||
| Profit Quality | 87.99% | ||
| Current Ratio | 1.29 | ||
| Quick Ratio | 0.74 | ||
| Altman-Z | 1.85 |
F-Score6
WACC7.44%
ROIC/WACC1.15
Cap/Depr(3y)85.59%
Cap/Depr(5y)79.92%
Cap/Sales(3y)3.6%
Cap/Sales(5y)3.53%
Profit Quality(3y)99.95%
Profit Quality(5y)113.35%
High Growth Momentum
Growth
EPS 1Y (TTM)0.14%
EPS 3Y-1.83%
EPS 5Y6.98%
EPS Q2Q%3.85%
EPS Next Y6.78%
EPS Next 2Y6.88%
EPS Next 3Y6.04%
EPS Next 5Y3.51%
Revenue 1Y (TTM)-6.07%
Revenue growth 3Y1.98%
Revenue growth 5Y7.6%
Sales Q2Q%-2.61%
Revenue Next Year1.23%
Revenue Next 2Y1.81%
Revenue Next 3Y2.32%
Revenue Next 5Y1.41%
EBIT growth 1Y-2.06%
EBIT growth 3Y-2.54%
EBIT growth 5Y6.19%
EBIT Next Year30.69%
EBIT Next 3Y11.94%
EBIT Next 5Y7.77%
FCF growth 1Y-14.68%
FCF growth 3Y-5.84%
FCF growth 5Y15.56%
OCF growth 1Y-10.35%
OCF growth 3Y-3.3%
OCF growth 5Y12.46%