GREIF INC-CL A (GEF) Stock Fundamental Analysis
NYSE:GEF - New York Stock Exchange, Inc. - US3976241071 - Common Stock - Currency: USD
GEF gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 22 industry peers in the Containers & Packaging industry. Both the profitability and the financial health of GEF get a neutral evaluation. Nothing too spectacular is happening here. GEF is not valued too expensively and it also shows a decent growth rate. GEF also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year GEF was profitable.
In the past year GEF had a positive cash flow from operations.
In the past 5 years GEF has always been profitable.
In the past 5 years GEF always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of GEF (3.15%) is better than 63.64% of its industry peers.
GEF has a better Return On Equity (9.99%) than 63.64% of its industry peers.
GEF's Return On Invested Capital of 7.02% is in line compared to the rest of the industry. GEF outperforms 59.09% of its industry peers.
GEF had an Average Return On Invested Capital over the past 3 years of 9.92%. This is above the industry average of 7.58%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.15% | ||
| ROE | 9.99% | ||
| ROIC | 7.02% |
ROA(3y)5.65%
ROA(5y)5.13%
ROE(3y)17.58%
ROE(5y)17.6%
ROIC(3y)9.92%
ROIC(5y)9.37%
1.3 Margins
With a Profit Margin value of 3.86%, GEF perfoms like the industry average, outperforming 59.09% of the companies in the same industry.
In the last couple of years the Profit Margin of GEF has grown nicely.
GEF has a Operating Margin (8.73%) which is comparable to the rest of the industry.
GEF's Operating Margin has declined in the last couple of years.
GEF has a Gross Margin (20.72%) which is in line with its industry peers.
GEF's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.73% | ||
| PM (TTM) | 3.86% | ||
| GM | 20.72% |
OM growth 3Y-5.49%
OM growth 5Y-4.05%
PM growth 3Y-11.14%
PM growth 5Y5.8%
GM growth 3Y-0.03%
GM growth 5Y-1.21%
2. Health
2.1 Basic Checks
GEF has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
GEF has more shares outstanding than it did 1 year ago.
GEF has less shares outstanding than it did 5 years ago.
GEF has a worse debt/assets ratio than last year.
2.2 Solvency
GEF has an Altman-Z score of 2.04. This is not the best score and indicates that GEF is in the grey zone with still only limited risk for bankruptcy at the moment.
GEF has a Altman-Z score (2.04) which is in line with its industry peers.
GEF has a debt to FCF ratio of 13.47. This is a negative value and a sign of low solvency as GEF would need 13.47 years to pay back of all of its debts.
The Debt to FCF ratio of GEF (13.47) is better than 68.18% of its industry peers.
GEF has a Debt/Equity ratio of 1.27. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of GEF (1.27) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | 13.47 | ||
| Altman-Z | 2.04 |
ROIC/WACC0.88
WACC7.94%
2.3 Liquidity
GEF has a Current Ratio of 1.27. This is a normal value and indicates that GEF is financially healthy and should not expect problems in meeting its short term obligations.
GEF's Current ratio of 1.27 is in line compared to the rest of the industry. GEF outperforms 59.09% of its industry peers.
A Quick Ratio of 0.96 indicates that GEF may have some problems paying its short term obligations.
GEF has a better Quick ratio (0.96) than 68.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.27 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
GEF shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -35.93%.
Measured over the past 5 years, GEF shows a small growth in Earnings Per Share. The EPS has been growing by 0.05% on average per year.
Looking at the last year, GEF shows a small growth in Revenue. The Revenue has grown by 5.89% in the last year.
GEF shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.46% yearly.
EPS 1Y (TTM)-35.93%
EPS 3Y-10.83%
EPS 5Y0.05%
EPS Q2Q%45.12%
Revenue 1Y (TTM)5.89%
Revenue growth 3Y-0.65%
Revenue growth 5Y3.46%
Sales Q2Q%1.07%
3.2 Future
GEF is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.79% yearly.
The Revenue is expected to grow by 3.39% on average over the next years.
EPS Next Y3.88%
EPS Next 2Y15.5%
EPS Next 3Y11.17%
EPS Next 5Y13.79%
Revenue Next Year-5.7%
Revenue Next 2Y2.89%
Revenue Next 3Y2.95%
Revenue Next 5Y3.39%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 19.34, which indicates a rather expensive current valuation of GEF.
GEF's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.30, GEF is valued a bit cheaper.
With a Price/Forward Earnings ratio of 12.63, GEF is valued correctly.
GEF's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. GEF is cheaper than 68.18% of the companies in the same industry.
GEF's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 21.76.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.34 | ||
| Fwd PE | 12.63 |
4.2 Price Multiples
GEF's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. GEF is cheaper than 95.45% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, GEF is valued cheaper than 81.82% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.21 | ||
| EV/EBITDA | 7.12 |
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 GEF may justify a higher PE ratio.
PEG (NY)4.98
PEG (5Y)383.22
EPS Next 2Y15.5%
EPS Next 3Y11.17%
5. Dividend
5.1 Amount
GEF has a Yearly Dividend Yield of 3.20%.
Compared to an average industry Dividend Yield of 2.88, GEF pays a bit more dividend than its industry peers.
GEF's Dividend Yield is a higher than the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.2% |
5.2 History
The dividend of GEF has a limited annual growth rate of 3.55%.
GEF has been paying a dividend for at least 10 years, so it has a reliable track record.
GEF has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)3.55%
Div Incr Years4
Div Non Decr Years28
5.3 Sustainability
GEF pays out 58.05% of its income as dividend. This is a bit on the high side, but may be sustainable.
GEF's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP58.05%
EPS Next 2Y15.5%
EPS Next 3Y11.17%
66.9
-0.59 (-0.87%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryContainers & Packaging
Earnings (Last)
Earnings (Next)
Inst Owners89.84%
Inst Owner Change0%
Ins Owners3.79%
Ins Owner Change2.57%
Market Cap3.18B
Analysts78
Price Target76.7 (14.65%)
Short Float %2.23%
Short Ratio3
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.2% |
Yearly Dividend2.57
Dividend Growth(5Y)3.55%
DP58.05%
Div Incr Years4
Div Non Decr Years28
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-20.69%
Min EPS beat(2)-47.21%
Max EPS beat(2)5.83%
EPS beat(4)1
Avg EPS beat(4)-18.72%
Min EPS beat(4)-47.21%
Max EPS beat(4)5.83%
EPS beat(8)4
Avg EPS beat(8)15.1%
EPS beat(12)6
Avg EPS beat(12)12.28%
EPS beat(16)10
Avg EPS beat(16)15.38%
Revenue beat(2)0
Avg Revenue beat(2)-1.88%
Min Revenue beat(2)-2.96%
Max Revenue beat(2)-0.8%
Revenue beat(4)1
Avg Revenue beat(4)-0.74%
Min Revenue beat(4)-2.96%
Max Revenue beat(4)1.13%
Revenue beat(8)2
Avg Revenue beat(8)-1.61%
Revenue beat(12)3
Avg Revenue beat(12)-3.15%
Revenue beat(16)7
Avg Revenue beat(16)-0.66%
PT rev (1m)5.32%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)3.6%
EPS NY rev (1m)4.97%
EPS NY rev (3m)2.13%
Revenue NQ rev (1m)-1.6%
Revenue NQ rev (3m)-2.95%
Revenue NY rev (1m)-0.84%
Revenue NY rev (3m)-0.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.34 | ||
| Fwd PE | 12.63 | ||
| P/S | 0.57 | ||
| P/FCF | 15.21 | ||
| P/OCF | 8.59 | ||
| P/B | 1.49 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.12 |
EPS(TTM)3.46
EY5.17%
EPS(NY)5.3
Fwd EY7.92%
FCF(TTM)4.4
FCFY6.58%
OCF(TTM)7.79
OCFY11.64%
SpS116.37
BVpS44.97
TBVpS-15.49
PEG (NY)4.98
PEG (5Y)383.22
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.15% | ||
| ROE | 9.99% | ||
| ROCE | 8.98% | ||
| ROIC | 7.02% | ||
| ROICexc | 7.35% | ||
| ROICexgc | 15.34% | ||
| OM | 8.73% | ||
| PM (TTM) | 3.86% | ||
| GM | 20.72% | ||
| FCFM | 3.78% |
ROA(3y)5.65%
ROA(5y)5.13%
ROE(3y)17.58%
ROE(5y)17.6%
ROIC(3y)9.92%
ROIC(5y)9.37%
ROICexc(3y)10.28%
ROICexc(5y)9.67%
ROICexgc(3y)20.61%
ROICexgc(5y)19.31%
ROCE(3y)11.85%
ROCE(5y)11.22%
ROICexcg growth 3Y-9.92%
ROICexcg growth 5Y-3.38%
ROICexc growth 3Y-12.41%
ROICexc growth 5Y-4.33%
OM growth 3Y-5.49%
OM growth 5Y-4.05%
PM growth 3Y-11.14%
PM growth 5Y5.8%
GM growth 3Y-0.03%
GM growth 5Y-1.21%
F-Score6
Asset Turnover0.82
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | 13.47 | ||
| Debt/EBITDA | 3.61 | ||
| Cap/Depr | 60% | ||
| Cap/Sales | 2.91% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 49.26% | ||
| Profit Quality | 97.98% | ||
| Current Ratio | 1.27 | ||
| Quick Ratio | 0.96 | ||
| Altman-Z | 2.04 |
F-Score6
WACC7.94%
ROIC/WACC0.88
Cap/Depr(3y)84.36%
Cap/Depr(5y)74.47%
Cap/Sales(3y)3.54%
Cap/Sales(5y)3.26%
Profit Quality(3y)102.26%
Profit Quality(5y)132.55%
High Growth Momentum
Growth
EPS 1Y (TTM)-35.93%
EPS 3Y-10.83%
EPS 5Y0.05%
EPS Q2Q%45.12%
EPS Next Y3.88%
EPS Next 2Y15.5%
EPS Next 3Y11.17%
EPS Next 5Y13.79%
Revenue 1Y (TTM)5.89%
Revenue growth 3Y-0.65%
Revenue growth 5Y3.46%
Sales Q2Q%1.07%
Revenue Next Year-5.7%
Revenue Next 2Y2.89%
Revenue Next 3Y2.95%
Revenue Next 5Y3.39%
EBIT growth 1Y-1.35%
EBIT growth 3Y-6.11%
EBIT growth 5Y-0.73%
EBIT Next Year61.61%
EBIT Next 3Y25.41%
EBIT Next 5Y19.41%
FCF growth 1Y-61.73%
FCF growth 3Y-12.96%
FCF growth 5Y-6.29%
OCF growth 1Y-50.03%
OCF growth 3Y-3.53%
OCF growth 5Y-1.78%