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

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Crown Holdings, Inc.

Sonoco Products Co.

Amcor Plc

Avery Dennison Corp.

Ball Corp.

AptarGroup, Inc.

Owens Corning

Graphic Packaging Holding Co.

Packaging Corporation of America

WestRock Co.

International Paper 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 -45.86% 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.

-46.98%

-1.26

31.56%

S&P 500

13.22%

0.64

20.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.47%

EBIT Growth (5y)

11.42%

EBIT to Interest (avg)

5.07

Debt to EBITDA (avg)

3.52

Net Debt to Equity (avg)

1.72

Sales to Capital Employed (avg)

1.12

Tax Ratio

26.13%

Dividend Payout Ratio

18.55%

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

2.13

EV to EBIT

11.25

EV to EBITDA

7.50

EV to Capital Employed

1.41

EV to Sales

1.40

PEG Ratio

Dividend Yield

187.60%

ROCE (Latest)

12.57%

ROE (Latest)

19.90%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

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

1What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at USD 9.58

-21What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 769 MM

ROCE(HY)

Lowest at 17.71%

INVENTORY TURNOVER RATIO(HY)

Lowest at 3.88 times

INTEREST COVERAGE RATIO(Q)

Lowest at 640.74

NET PROFIT(Q)

Lowest at USD 121.21 MM

RAW MATERIAL COST(Y)

Grown by 11.48% (YoY

DEBTORS TURNOVER RATIO(HY)

Lowest at 9.58 times

OPERATING PROFIT(Q)

Lowest at USD 346 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 15.7 %

PRE-TAX PROFIT(Q)

Lowest at USD 162 MM

EPS(Q)

Lowest at USD 0.34

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

Dividend per share

Highest at USD 9.58

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

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

Operating Cash Flow

Lowest at USD 769 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Interest Coverage Ratio

Lowest at 640.74

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Profit

Lowest at USD 121.21 MM and Fallen

In each period in the last five periods

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Inventory Turnover Ratio

Lowest at 3.88 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Operating Profit

Lowest at USD 346 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (USD MM)

Operating Profit Margin

Lowest at 15.7 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at USD 162 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (USD MM)

Pre-Tax Profit

At USD 162 MM has Fallen at -23.49%

over average net sales of the previous four periods of USD 211.75 MM

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (USD MM)

Net Profit

At USD 121.21 MM has Fallen at -22.82%

over average net sales of the previous four periods of USD 157.06 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

EPS

Lowest at USD 0.34

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (USD)

Debtors Turnover Ratio

Lowest at 9.58 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 11.48% (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