O-I GLASS INC (OI) Stock Fundamental Analysis
NYSE:OI - New York Stock Exchange, Inc. - US67098H1041 - Common Stock - Currency: USD
OI gets a fundamental rating of 2 out of 10. The analysis compared the fundamentals against 23 industry peers in the Containers & Packaging industry. Both the profitability and financial health of OI have multiple concerns. OI has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
OI had positive earnings in the past year.
OI had a positive operating cash flow in the past year.
In multiple years OI reported negative net income over the last 5 years.
OI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of -1.21%, OI is not doing good in the industry: 78.26% of the companies in the same industry are doing better.
The Return On Equity of OI (-9.73%) is worse than 78.26% of its industry peers.
With a Return On Invested Capital value of 6.10%, OI is not doing good in the industry: 60.87% of the companies in the same industry are doing better.
OI had an Average Return On Invested Capital over the past 3 years of 7.46%. This is in line with the industry average of 7.71%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.21% | ||
| ROE | -9.73% | ||
| ROIC | 6.1% |
ROA(3y)1.39%
ROA(5y)1.73%
ROE(3y)8.33%
ROE(5y)25.9%
ROIC(3y)7.46%
ROIC(5y)6.8%
1.3 Margins
OI has a Operating Margin of 7.81%. This is in the lower half of the industry: OI underperforms 60.87% of its industry peers.
In the last couple of years the Operating Margin of OI has declined.
With a Gross Margin value of 15.99%, OI is not doing good in the industry: 86.96% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of OI has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.81% | ||
| PM (TTM) | N/A | ||
| GM | 15.99% |
OM growth 3Y-4.51%
OM growth 5Y-4.6%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.31%
GM growth 5Y-2.39%
2. Health
2.1 Basic Checks
OI has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, OI has about the same amount of shares outstanding.
The number of shares outstanding for OI has been reduced compared to 5 years ago.
The debt/assets ratio for OI is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.24, we must say that OI is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.24, OI is not doing good in the industry: 73.91% of the companies in the same industry are doing better.
OI has a Debt/Equity ratio of 4.32. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of OI (4.32) is worse than 82.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.32 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.24 |
ROIC/WACC0.79
WACC7.76%
2.3 Liquidity
A Current Ratio of 1.15 indicates that OI should not have too much problems paying its short term obligations.
OI's Current ratio of 1.15 is on the low side compared to the rest of the industry. OI is outperformed by 65.22% of its industry peers.
OI has a Quick Ratio of 1.15. This is a bad value and indicates that OI is not financially healthy enough and could expect problems in meeting its short term obligations.
OI has a worse Quick ratio (0.70) than 73.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.15 | ||
| Quick Ratio | 0.7 |
3. Growth
3.1 Past
The earnings per share for OI have decreased strongly by -74.11% in the last year.
The earnings per share for OI have been decreasing by -18.61% on average. This is quite bad
OI shows a decrease in Revenue. In the last year, the revenue decreased by -8.09%.
The Revenue has been decreasing by -0.48% on average over the past years.
EPS 1Y (TTM)-74.11%
EPS 3Y-24.1%
EPS 5Y-18.61%
EPS Q2Q%-141.67%
Revenue 1Y (TTM)-8.09%
Revenue growth 3Y0.9%
Revenue growth 5Y-0.48%
Sales Q2Q%-6.83%
3.2 Future
Based on estimates for the next years, OI will show a very strong growth in Earnings Per Share. The EPS will grow by 31.98% on average per year.
OI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.73% yearly.
EPS Next Y67.01%
EPS Next 2Y50.26%
EPS Next 3Y40.45%
EPS Next 5Y31.98%
Revenue Next Year-2.65%
Revenue Next 2Y-0.75%
Revenue Next 3Y0.22%
Revenue Next 5Y1.73%
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 accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 13.69, OI is valued correctly.
Based on the Price/Earnings ratio, OI is valued a bit cheaper than the industry average as 60.87% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of OI to the average of the S&P500 Index (28.29), we can say OI is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 8.20, the valuation of OI can be described as reasonable.
Based on the Price/Forward Earnings ratio, OI is valued cheaper than 91.30% of the companies in the same industry.
OI's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 21.08.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.69 | ||
| Fwd PE | 8.2 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, OI is valued cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 5.84 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as OI's earnings are expected to grow with 40.45% in the coming years.
PEG (NY)0.2
PEG (5Y)N/A
EPS Next 2Y50.26%
EPS Next 3Y40.45%
5. Dividend
5.1 Amount
OI does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
10.95
+0.13 (+1.2%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryContainers & Packaging
Earnings (Last)
Earnings (Next)
Inst Owners100.62%
Inst Owner Change-0.78%
Ins Owners1.04%
Ins Owner Change10.48%
Market Cap1.69B
Analysts78.89
Price Target15.19 (38.72%)
Short Float %3.72%
Short Ratio3.82
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-83.41%
Min EPS beat(2)-200.22%
Max EPS beat(2)33.39%
EPS beat(4)2
Avg EPS beat(4)-38.83%
Min EPS beat(4)-200.22%
Max EPS beat(4)33.39%
EPS beat(8)6
Avg EPS beat(8)22.44%
EPS beat(12)10
Avg EPS beat(12)20.43%
EPS beat(16)14
Avg EPS beat(16)17.88%
Revenue beat(2)0
Avg Revenue beat(2)-7.16%
Min Revenue beat(2)-7.39%
Max Revenue beat(2)-6.94%
Revenue beat(4)0
Avg Revenue beat(4)-7.18%
Min Revenue beat(4)-8.87%
Max Revenue beat(4)-5.52%
Revenue beat(8)1
Avg Revenue beat(8)-4.38%
Revenue beat(12)3
Avg Revenue beat(12)-2.33%
Revenue beat(16)5
Avg Revenue beat(16)-1.7%
PT rev (1m)0%
PT rev (3m)-0.74%
EPS NQ rev (1m)4.63%
EPS NQ rev (3m)-0.79%
EPS NY rev (1m)-2.9%
EPS NY rev (3m)-13.06%
Revenue NQ rev (1m)1.52%
Revenue NQ rev (3m)0.5%
Revenue NY rev (1m)0.12%
Revenue NY rev (3m)-2.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.69 | ||
| Fwd PE | 8.2 | ||
| P/S | 0.26 | ||
| P/FCF | N/A | ||
| P/OCF | 3.46 | ||
| P/B | 1.57 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.84 |
EPS(TTM)0.8
EY7.31%
EPS(NY)1.34
Fwd EY12.2%
FCF(TTM)-0.83
FCFYN/A
OCF(TTM)3.16
OCFY28.87%
SpS42.22
BVpS6.98
TBVpS-2.84
PEG (NY)0.2
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.21% | ||
| ROE | -9.73% | ||
| ROCE | 7.85% | ||
| ROIC | 6.1% | ||
| ROICexc | 6.86% | ||
| ROICexgc | 9.26% | ||
| OM | 7.81% | ||
| PM (TTM) | N/A | ||
| GM | 15.99% | ||
| FCFM | N/A |
ROA(3y)1.39%
ROA(5y)1.73%
ROE(3y)8.33%
ROE(5y)25.9%
ROIC(3y)7.46%
ROIC(5y)6.8%
ROICexc(3y)8.45%
ROICexc(5y)7.63%
ROICexgc(3y)12.05%
ROICexgc(5y)11.18%
ROCE(3y)9.56%
ROCE(5y)8.69%
ROICexcg growth 3Y-5.11%
ROICexcg growth 5Y-3.18%
ROICexc growth 3Y-1.37%
ROICexc growth 5Y-1.27%
OM growth 3Y-4.51%
OM growth 5Y-4.6%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.31%
GM growth 5Y-2.39%
F-Score4
Asset Turnover0.75
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.32 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 4.68 | ||
| Cap/Depr | 126.96% | ||
| Cap/Sales | 9.45% | ||
| Interest Coverage | 1.48 | ||
| Cash Conversion | 49.1% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.15 | ||
| Quick Ratio | 0.7 | ||
| Altman-Z | 1.24 |
F-Score4
WACC7.76%
ROIC/WACC0.79
Cap/Depr(3y)129.37%
Cap/Depr(5y)108.64%
Cap/Sales(3y)9%
Cap/Sales(5y)7.67%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-74.11%
EPS 3Y-24.1%
EPS 5Y-18.61%
EPS Q2Q%-141.67%
EPS Next Y67.01%
EPS Next 2Y50.26%
EPS Next 3Y40.45%
EPS Next 5Y31.98%
Revenue 1Y (TTM)-8.09%
Revenue growth 3Y0.9%
Revenue growth 5Y-0.48%
Sales Q2Q%-6.83%
Revenue Next Year-2.65%
Revenue Next 2Y-0.75%
Revenue Next 3Y0.22%
Revenue Next 5Y1.73%
EBIT growth 1Y-39.79%
EBIT growth 3Y-3.65%
EBIT growth 5Y-5.06%
EBIT Next Year102.1%
EBIT Next 3Y31.48%
EBIT Next 5Y18.05%
FCF growth 1Y-198.46%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-40.22%
OCF growth 3Y-10.58%
OCF growth 5Y3.84%