SILGAN HOLDINGS INC (SLGN) Stock Fundamental Analysis
USA - NYSE:SLGN - US8270481091 - Common Stock
38.47 USD
+0.44 (+1.16%)
38.47 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to SLGN. 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.
Each year in the past 5 years SLGN has been profitable.
SLGN had a positive operating cash flow in each of the past 5 years.
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 Return On Invested Capital of 7.11%. This is in the better half of the industry: SLGN outperforms 68.18% of its industry peers.
SLGN had an Average Return On Invested Capital over the past 3 years of 8.32%. This 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
SLGN's Profit Margin of 4.91% is fine compared to the rest of the industry. SLGN outperforms 63.64% of its industry peers.
In the last couple of years the Profit Margin of SLGN has grown nicely.
Looking at the Operating Margin, with a value of 9.97%, SLGN is in the better half of the industry, outperforming 63.64% of the companies in the same industry.
In the last couple of years the Operating Margin of SLGN has remained more or less at the same level.
With a Gross Margin value of 17.67%, SLGN is not doing good in the industry: 81.82% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of SLGN has grown nicely.
| 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so SLGN is still creating some value.
SLGN has more shares outstanding than it did 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
An Altman-Z score of 1.85 indicates that SLGN is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 1.85, SLGN perfoms like the industry average, outperforming 45.45% of the companies in the same 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.
Looking at the Debt to FCF ratio, with a value of 75.81, SLGN is doing worse than 68.18% of the companies in the same industry.
SLGN has a Debt/Equity ratio of 1.68. This is a high value indicating a heavy dependency on external financing.
SLGN's Debt to Equity ratio of 1.68 is on the low side compared to the rest of the industry. SLGN is outperformed by 72.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.68 | ||
| Debt/FCF | 75.81 | ||
| Altman-Z | 1.85 |
ROIC/WACC0.91
WACC7.8%
2.3 Liquidity
A Current Ratio of 1.27 indicates that SLGN should not have too much problems paying its short term obligations.
SLGN has a Current ratio (1.27) which is in line with 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.
The Earnings Per Share has been growing by 11.04% on average over the past years. This is quite good.
SLGN shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.10%.
The Revenue has been growing slightly by 5.45% on average over the past years.
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.
The Revenue is expected to grow by 3.48% on average over the next years.
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
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
The Price/Earnings ratio is 9.86, which indicates a very decent valuation of SLGN.
Compared to the rest of the industry, the Price/Earnings ratio of SLGN indicates a rather cheap valuation: SLGN is cheaper than 86.36% of the companies listed in the same industry.
SLGN's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.07.
A Price/Forward Earnings ratio of 9.52 indicates a reasonable valuation of SLGN.
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.
SLGN is valuated cheaply when we compare the Price/Forward Earnings ratio to 34.08, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.86 | ||
| Fwd PE | 9.52 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SLGN is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, SLGN is valued a bit more expensive than 63.64% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 63.08 | ||
| EV/EBITDA | 9.03 |
4.3 Compensation for Growth
SLGN's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
SLGN has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.75
PEG (5Y)0.89
EPS Next 2Y5.5%
EPS Next 3Y7.15%
5. Dividend
5.1 Amount
SLGN has a Yearly Dividend Yield of 2.08%. Purely for dividend investing, there may be better candidates out there.
SLGN's Dividend Yield is comparable with the industry average which is at 3.59.
SLGN's Dividend Yield is comparable with the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.08% |
5.2 History
The dividend of SLGN is nicely growing with an annual growth rate of 10.87%!
SLGN has been paying a dividend for at least 10 years, so it has 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
SLGN pays out 26.99% of its income as dividend. This is a sustainable payout ratio.
The dividend of SLGN is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP26.99%
EPS Next 2Y5.5%
EPS Next 3Y7.15%
38.47
+0.44 (+1.16%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryContainers & Packaging
Earnings (Last)
Earnings (Next)
Inst Owners79.21%
Inst Owner Change9.23%
Ins Owners1.13%
Ins Owner Change0.1%
Market Cap4.12B
Revenue(TTM)6.43B
Net Income(TTM)315.26M
Analysts84.44
Price Target59.34 (54.25%)
Short Float %9.64%
Short Ratio6.56
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.08% |
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)-3.64%
PT rev (3m)-3%
EPS NQ rev (1m)-21.61%
EPS NQ rev (3m)-22.23%
EPS NY rev (1m)-4.53%
EPS NY rev (3m)-8.39%
Revenue NQ rev (1m)-2.68%
Revenue NQ rev (3m)-2.75%
Revenue NY rev (1m)0.66%
Revenue NY rev (3m)0.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.86 | ||
| Fwd PE | 9.52 | ||
| P/S | 0.64 | ||
| P/FCF | 63.08 | ||
| P/OCF | 11.07 | ||
| P/B | 1.81 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.03 |
EPS(TTM)3.9
EY10.14%
EPS(NY)4.04
Fwd EY10.5%
FCF(TTM)0.61
FCFY1.59%
OCF(TTM)3.48
OCFY9.03%
SpS60.06
BVpS21.24
TBVpS-10.29
PEG (NY)1.75
PEG (5Y)0.89
Graham Number43.17
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 | 1.85 |
F-Score6
WACC7.8%
ROIC/WACC0.91
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%.