Graphic Packaging Holding Co. (GPK) 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

Amcor Plc

Avery Dennison Corp.

International Paper Co.

Ball Corp.

Sonoco Products Co.

Packaging Corporation of America

AptarGroup, Inc.

Crown Holdings, Inc.

WestRock Co.

Owens Corning

Graphic Packaging Holding Co.

Why is Graphic Packaging Holding Co. ?

High Debt company with Weak Long Term Fundamental Strength

High Debt Company with a Debt to Equity ratio (avg) at times

Flat results in Jun 25

OPERATING CASH FLOW(Y) Lowest at USD 769 MM
ROCE(HY) Lowest at 17.71%
INVENTORY TURNOVER RATIO(HY) Lowest at 3.88 times

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -47.57% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

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

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Graphic Packaging Holding Co. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Graphic Packaging Holding Co.

-52.53%

-1.29

33.40%

S&P 500

22.24%

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)

5.61%

EBIT Growth (5y)

6.68%

EBIT to Interest (avg)

5.07

Debt to EBITDA (avg)

3.52

Net Debt to Equity (avg)

1.72

Sales to Capital Employed (avg)

1.07

Tax Ratio

26.13%

Dividend Payout Ratio

29.71%

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

12.62%

ROE (avg)

23.43%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.82

EV to EBIT

9.22

EV to EBITDA

5.69

EV to Capital Employed

0.93

EV to Sales

0.93

PEG Ratio

Dividend Yield

495.20%

ROCE (Latest)

10.08%

ROE (Latest)

14.63%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

Bullish

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

No Trend

OBV

Mildly Bullish

No Trend

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

2What is working for the Company

CASH AND EQV(HY)

Highest at USD 450 MM

DEBT-EQUITY RATIO (HY)

Lowest at 171.33 %

-25What is not working for the Company

ROCE(HY)

Lowest at 8.56%

INTEREST COVERAGE RATIO(Q)

Lowest at 353.12

DIVIDEND PAYOUT RATIO(Y)

Lowest at 0%

RAW MATERIAL COST(Y)

Grown by 35.24% (YoY

OPERATING PROFIT(Q)

Lowest at USD 226 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 10.48 %

PRE-TAX PROFIT(Q)

Lowest at USD 25 MM

NET PROFIT(Q)

Lowest at USD 27 MM

EPS(Q)

Lowest at USD -0.14

Here's what is working for Graphic Packaging Holding Co.

Cash and Eqv

Highest at USD 450 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at 171.33 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Here's what is not working for Graphic Packaging Holding Co.

Pre-Tax Profit

At USD 25 MM has Fallen at -84.38%

over average net sales of the previous four periods of USD 160 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD 27 MM has Fallen at -77.87%

over average net sales of the previous four periods of USD 121.98 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Interest Coverage Ratio

Lowest at 353.12

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit

Lowest at USD 226 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (USD MM)

Operating Profit Margin

Lowest at 10.48 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at USD 25 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (USD MM)

Net Profit

Lowest at USD 27 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

EPS

Lowest at USD -0.14

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (USD)

Dividend Payout Ratio

Lowest at 0%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Grown by 35.24% (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