Ardagh Metal Packaging SA (GRSV) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Sonoco Products Co.

Sealed Air Corp.

Ardagh Metal Packaging SA

O-I Glass, Inc.

Crown Holdings, Inc.

Silgan Holdings, Inc.

Owens Corning

AptarGroup, Inc.

WestRock Co.

International Paper Co.

Graphic Packaging Holding Co.

Why is Ardagh Metal Packaging SA ?

With a Negative Book Value, the company has a Weak Long Term Fundamental Strength

Poor long term growth as Operating profit has grown by an annual rate 34.40% of over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Capital Employed (avg) of 7.84% signifying low profitability per unit of total capital (equity and debt)
NET PROFIT(Q) At USD 7.33 MM has Grown at 160.94%
INVENTORY TURNOVER RATIO(HY) Highest at 10.56 times
PRE-TAX PROFIT(Q) At USD 22 MM has Grown at 151.43%

Risky - Negative Book Value

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 27.59%, its profits have risen by 24.9% ; the PEG ratio of the company is 8.4

Market Beating Performance

The stock has generated a return of 27.59% in the last 1 year, much higher than market (S&P 500) returns of 14.11%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Ardagh Metal Packaging SA should be less than 10%
Overall Portfolio exposure to Packaging should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Packaging)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Ardagh Metal Packaging SA for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Ardagh Metal Packaging SA

46.55%

0.08

49.85%

S&P 500

13.68%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

27.41%

EBIT Growth (5y)

11.46%

EBIT to Interest (avg)

1.58

Debt to EBITDA (avg)

4.60

Net Debt to Equity (avg)

-16.41

Sales to Capital Employed (avg)

1.28

Tax Ratio

81.82%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

27.48%

ROCE (avg)

7.84%

ROE (avg)

40.23%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

125

Industry P/E

Price to Book Value

-7.36

EV to EBIT

23.57

EV to EBITDA

8.66

EV to Capital Employed

1.83

EV to Sales

1.18

PEG Ratio

1.07

Dividend Yield

0.01%

ROCE (Latest)

7.78%

ROE (Latest)

Negative BV

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

No Trend

Mildly Bullish

OBV

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

19What is working for the Company

INTEREST COVERAGE RATIO(Q)

Highest at 385.19

INVENTORY TURNOVER RATIO(HY)

Highest at 11.55 times

DEBTORS TURNOVER RATIO(HY)

Highest at 6.87 times

OPERATING PROFIT(Q)

Highest at USD 208 MM

PRE-TAX PROFIT(Q)

Highest at USD 38 MM

NET PROFIT(Q)

Highest at USD 27.73 MM

EPS(Q)

Highest at USD 0.04

-1What is not working for the Company

RAW MATERIAL COST(Y)

Grown by 5.61% (YoY

Here's what is working for Ardagh Metal Packaging SA

Pre-Tax Profit

At USD 38 MM has Grown at 253.49%

over average net sales of the previous four periods of USD 10.75 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (USD MM)

Net Profit

At USD 27.73 MM has Grown at 858.29%

over average net sales of the previous four periods of USD 2.89 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (USD MM)

Interest Coverage Ratio

Highest at 385.19

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Operating Profit

Highest at USD 208 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (USD MM)

Pre-Tax Profit

Highest at USD 38 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit

Highest at USD 27.73 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

EPS

Highest at USD 0.04

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Inventory Turnover Ratio

Highest at 11.55 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 6.87 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Depreciation

Highest at USD 118 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Ardagh Metal Packaging SA

Raw Material Cost

Grown by 5.61% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales