23.72 USD
+0.2 (+0.85%)
23.72 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to REYN. REYN was compared to 12 industry peers in the Household Products industry. While REYN is still in line with the averages on profitability rating, there are concerns on its financial health. REYN does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year REYN was profitable.
In the past year REYN had a positive cash flow from operations.
Each year in the past 5 years REYN has been profitable.
REYN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
REYN has a Return On Assets of 6.21%. This is comparable to the rest of the industry: REYN outperforms 41.67% of its industry peers.
REYN has a Return On Equity of 13.94%. This is comparable to the rest of the industry: REYN outperforms 41.67% of its industry peers.
REYN has a worse Return On Invested Capital (9.38%) than 66.67% of its industry peers.
The Average Return On Invested Capital over the past 3 years for REYN is significantly below the industry average of 14.87%.
The last Return On Invested Capital (9.38%) for REYN is above the 3 year average (8.77%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.21% | ||
| ROE | 13.94% | ||
| ROIC | 9.38% |
ROA(3y)6.23%
ROA(5y)6.62%
ROE(3y)15.09%
ROE(5y)17.24%
ROIC(3y)8.77%
ROIC(5y)9.22%
1.3 Margins
REYN's Profit Margin of 8.20% is in line compared to the rest of the industry. REYN outperforms 41.67% of its industry peers.
In the last couple of years the Profit Margin of REYN has grown nicely.
REYN has a Operating Margin (14.27%) which is in line with its industry peers.
REYN's Operating Margin has declined in the last couple of years.
REYN has a worse Gross Margin (25.03%) than 91.67% of its industry peers.
In the last couple of years the Gross Margin of REYN has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.27% | ||
| PM (TTM) | 8.2% | ||
| GM | 25.03% |
OM growth 3Y2.4%
OM growth 5Y-2.45%
PM growth 3Y1.5%
PM growth 5Y5.12%
GM growth 3Y5.09%
GM growth 5Y-1.83%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so REYN is still creating some value.
Compared to 1 year ago, REYN has about the same amount of shares outstanding.
Compared to 5 years ago, REYN has more shares outstanding
Compared to 1 year ago, REYN has an improved debt to assets ratio.
2.2 Solvency
REYN has an Altman-Z score of 2.55. This is not the best score and indicates that REYN is in the grey zone with still only limited risk for bankruptcy at the moment.
REYN's Altman-Z score of 2.55 is on the low side compared to the rest of the industry. REYN is outperformed by 75.00% of its industry peers.
The Debt to FCF ratio of REYN is 6.34, which is on the high side as it means it would take REYN, 6.34 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of REYN (6.34) is worse than 83.33% of its industry peers.
A Debt/Equity ratio of 0.74 indicates that REYN is somewhat dependend on debt financing.
REYN has a Debt to Equity ratio of 0.74. This is comparable to the rest of the industry: REYN outperforms 58.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | 6.34 | ||
| Altman-Z | 2.55 |
ROIC/WACC1.23
WACC7.62%
2.3 Liquidity
A Current Ratio of 1.94 indicates that REYN should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.94, REYN is in line with its industry, outperforming 50.00% of the companies in the same industry.
REYN has a Quick Ratio of 1.94. This is a bad value and indicates that REYN is not financially healthy enough and could expect problems in meeting its short term obligations.
REYN's Quick ratio of 0.80 is in line compared to the rest of the industry. REYN outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.94 | ||
| Quick Ratio | 0.8 |
3. Growth
3.1 Past
REYN shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -7.43%.
Measured over the past years, REYN shows a quite strong growth in Earnings Per Share. The EPS has been growing by 8.55% on average per year.
Looking at the last year, REYN shows a small growth in Revenue. The Revenue has grown by 0.76% in the last year.
REYN shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.03% yearly.
EPS 1Y (TTM)-7.43%
EPS 3Y1.85%
EPS 5Y8.55%
EPS Q2Q%2.44%
Revenue 1Y (TTM)0.76%
Revenue growth 3Y1.29%
Revenue growth 5Y4.03%
Sales Q2Q%2.31%
3.2 Future
REYN is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.11% yearly.
REYN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.81% yearly.
EPS Next Y-1.01%
EPS Next 2Y2.82%
EPS Next 3Y3.13%
EPS Next 5Y4.11%
Revenue Next Year1.24%
Revenue Next 2Y1.59%
Revenue Next 3Y1.71%
Revenue Next 5Y1.81%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
REYN is valuated correctly with a Price/Earnings ratio of 14.64.
REYN's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of REYN to the average of the S&P500 Index (27.19), we can say REYN is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 13.35, the valuation of REYN can be described as correct.
66.67% of the companies in the same industry are more expensive than REYN, based on the Price/Forward Earnings ratio.
REYN's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.64 | ||
| Fwd PE | 13.35 |
4.2 Price Multiples
REYN's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of REYN is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.41 | ||
| EV/EBITDA | 9.92 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.71
EPS Next 2Y2.82%
EPS Next 3Y3.13%
5. Dividend
5.1 Amount
REYN has a Yearly Dividend Yield of 3.91%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.75, REYN pays a bit more dividend than its industry peers.
REYN's Dividend Yield is rather good when compared to the S&P500 average which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.91% |
5.2 History
REYN has been paying a dividend for over 5 years, so it has already some track record.
REYN has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
63.16% of the earnings are spent on dividend by REYN. This is not a sustainable payout ratio.
DP63.16%
EPS Next 2Y2.82%
EPS Next 3Y3.13%
23.72
+0.2 (+0.85%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryHousehold Products
Earnings (Last)
Earnings (Next)
Inst Owners31.98%
Inst Owner Change2.07%
Ins Owners0.28%
Ins Owner Change0.01%
Market Cap4.99B
Revenue(TTM)3.71B
Net Income(TTM)304.00M
Analysts75.71
Price Target28.31 (19.35%)
Short Float %11.95%
Short Ratio7.17
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.91% |
Yearly Dividend0.91
Dividend Growth(5Y)N/A
DP63.16%
Div Incr Years0
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.6%
Min EPS beat(2)0.16%
Max EPS beat(2)5.04%
EPS beat(4)2
Avg EPS beat(4)0.33%
Min EPS beat(4)-2.43%
Max EPS beat(4)5.04%
EPS beat(8)5
Avg EPS beat(8)0.6%
EPS beat(12)6
Avg EPS beat(12)-0.07%
EPS beat(16)8
Avg EPS beat(16)0.17%
Revenue beat(2)2
Avg Revenue beat(2)1.92%
Min Revenue beat(2)1.57%
Max Revenue beat(2)2.28%
Revenue beat(4)3
Avg Revenue beat(4)0.64%
Min Revenue beat(4)-4.28%
Max Revenue beat(4)3%
Revenue beat(8)5
Avg Revenue beat(8)0.25%
Revenue beat(12)6
Avg Revenue beat(12)-0.34%
Revenue beat(16)6
Avg Revenue beat(16)-1.08%
PT rev (1m)0%
PT rev (3m)5%
EPS NQ rev (1m)0%
EPS NQ rev (3m)4.96%
EPS NY rev (1m)0%
EPS NY rev (3m)3.3%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.59%
Revenue NY rev (1m)0.11%
Revenue NY rev (3m)0.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.64 | ||
| Fwd PE | 13.35 | ||
| P/S | 1.35 | ||
| P/FCF | 19.41 | ||
| P/OCF | 11.82 | ||
| P/B | 2.29 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.92 |
EPS(TTM)1.62
EY6.83%
EPS(NY)1.78
Fwd EY7.49%
FCF(TTM)1.22
FCFY5.15%
OCF(TTM)2.01
OCFY8.46%
SpS17.62
BVpS10.36
TBVpS-3.17
PEG (NY)N/A
PEG (5Y)1.71
Graham Number19.44
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.21% | ||
| ROE | 13.94% | ||
| ROCE | 12.2% | ||
| ROIC | 9.38% | ||
| ROICexc | 9.5% | ||
| ROICexgc | 28.3% | ||
| OM | 14.27% | ||
| PM (TTM) | 8.2% | ||
| GM | 25.03% | ||
| FCFM | 6.93% |
ROA(3y)6.23%
ROA(5y)6.62%
ROE(3y)15.09%
ROE(5y)17.24%
ROIC(3y)8.77%
ROIC(5y)9.22%
ROICexc(3y)8.98%
ROICexc(5y)9.59%
ROICexgc(3y)28.11%
ROICexgc(5y)32.48%
ROCE(3y)11.39%
ROCE(5y)11.99%
ROICexgc growth 3Y0.89%
ROICexgc growth 5Y-11.31%
ROICexc growth 3Y3.45%
ROICexc growth 5Y-1.15%
OM growth 3Y2.4%
OM growth 5Y-2.45%
PM growth 3Y1.5%
PM growth 5Y5.12%
GM growth 3Y5.09%
GM growth 5Y-1.83%
F-Score4
Asset Turnover0.76
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | 6.34 | ||
| Debt/EBITDA | 2.44 | ||
| Cap/Depr | 124.06% | ||
| Cap/Sales | 4.45% | ||
| Interest Coverage | 6.3 | ||
| Cash Conversion | 63.75% | ||
| Profit Quality | 84.54% | ||
| Current Ratio | 1.94 | ||
| Quick Ratio | 0.8 | ||
| Altman-Z | 2.55 |
F-Score4
WACC7.62%
ROIC/WACC1.23
Cap/Depr(3y)95.43%
Cap/Depr(5y)112.02%
Cap/Sales(3y)3.12%
Cap/Sales(5y)3.54%
Profit Quality(3y)107.1%
Profit Quality(5y)84.39%
High Growth Momentum
Growth
EPS 1Y (TTM)-7.43%
EPS 3Y1.85%
EPS 5Y8.55%
EPS Q2Q%2.44%
EPS Next Y-1.01%
EPS Next 2Y2.82%
EPS Next 3Y3.13%
EPS Next 5Y4.11%
Revenue 1Y (TTM)0.76%
Revenue growth 3Y1.29%
Revenue growth 5Y4.03%
Sales Q2Q%2.31%
Revenue Next Year1.24%
Revenue Next 2Y1.59%
Revenue Next 3Y1.71%
Revenue Next 5Y1.81%
EBIT growth 1Y-7.84%
EBIT growth 3Y3.72%
EBIT growth 5Y1.48%
EBIT Next Year19.87%
EBIT Next 3Y8.75%
EBIT Next 5Y6.18%
FCF growth 1Y-36.54%
FCF growth 3Y29.73%
FCF growth 5Y4.65%
OCF growth 1Y-19.47%
OCF growth 3Y16.41%
OCF growth 5Y3.94%
REYNOLDS CONSUMER PRODUCTS I / REYN FAQ
What is the fundamental rating for REYN stock?
ChartMill assigns a fundamental rating of 3 / 10 to REYN.
Can you provide the valuation status for REYNOLDS CONSUMER PRODUCTS I?
ChartMill assigns a valuation rating of 3 / 10 to REYNOLDS CONSUMER PRODUCTS I (REYN). This can be considered as Overvalued.
What is the profitability of REYN stock?
REYNOLDS CONSUMER PRODUCTS I (REYN) has a profitability rating of 4 / 10.
What is the valuation of REYNOLDS CONSUMER PRODUCTS I based on its PE and PB ratios?
The Price/Earnings (PE) ratio for REYNOLDS CONSUMER PRODUCTS I (REYN) is 14.64 and the Price/Book (PB) ratio is 2.29.
What is the expected EPS growth for REYNOLDS CONSUMER PRODUCTS I (REYN) stock?
The Earnings per Share (EPS) of REYNOLDS CONSUMER PRODUCTS I (REYN) is expected to decline by -1.01% in the next year.