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AMC

AmcorASX:AMC Stock Report

Market Cap

AU$24.9b

7D

0.9%

1Y

7.8%

Updated

06 Dec, 2021

Data

Company Financials +
AMC fundamental analysis
Snowflake Score
Valuation2/6
Future Growth2/6
Past Performance5/6
Financial Health4/6
Dividends4/6

AMC Stock Overview

Amcor plc develops, produces, and sells packaging products for food, beverage, pharmaceutical, medical, home- and personal-care, and other products worldwide.

Amcor Competitors

3M

NYSE:MMM

US$102.1b

Wesfarmers

ASX:WES

AU$66.7b

Woolworths Group

ASX:WOW

AU$49.0b

Ball

NYSE:BLL

US$30.0b

Price History & Performance

Summary of all time highs, changes and price drops for Amcor
Historical stock prices
Current Share PriceAU$16.36
52 Week HighAU$17.90
52 Week LowAU$14.12
Beta0.43
1 Month Change-0.43%
3 Month Change-2.27%
1 Year Change7.77%
3 Year Change22.92%
5 Year Change15.05%
Change since IPO135.40%

Recent News & Updates

Nov 04
Amcor plc's (ASX:AMC) CEO Compensation Looks Acceptable To Us And Here's Why

Amcor plc's (ASX:AMC) CEO Compensation Looks Acceptable To Us And Here's Why

Performance at Amcor plc ( ASX:AMC ) has been reasonably good and CEO Ron Delia has done a decent job of steering the...

Oct 21
Is Amcor plc (ASX:AMC) Trading At A 44% Discount?

Is Amcor plc (ASX:AMC) Trading At A 44% Discount?

Does the October share price for Amcor plc ( ASX:AMC ) reflect what it's really worth? Today, we will estimate the...

Oct 04
Amcor (ASX:AMC) Seems To Use Debt Quite Sensibly

Amcor (ASX:AMC) Seems To Use Debt Quite Sensibly

David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...

Shareholder Returns

AMCAU PackagingAU Market
7D0.9%-0.7%-0.9%
1Y7.8%15.4%8.9%

Return vs Industry: AMC underperformed the Australian Packaging industry which returned 15.4% over the past year.

Return vs Market: AMC underperformed the Australian Market which returned 10.2% over the past year.

Price Volatility

Is AMC's price volatile compared to industry and market?
AMC volatility
AMC Average Weekly Movement1.9%
Packaging Industry Average Movement4.6%
Market Average Movement8.4%
10% most volatile stocks in AU Market15.6%
10% least volatile stocks in AU Market3.7%

Stable Share Price: AMC is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: AMC's weekly volatility (2%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
192646,000Ron Deliahttps://www.amcor.com

Amcor plc develops, produces, and sells packaging products for food, beverage, pharmaceutical, medical, home- and personal-care, and other products worldwide. It operates through two segments, Flexibles and Rigid Packaging. The company provides flexible packaging solutions, special cartons, plastic bottles and jars, and capsules and closures.

Amcor Fundamentals Summary

How do Amcor's earnings and revenue compare to its market cap?
AMC fundamental statistics
Market CapUS$17.50b
Earnings (TTM)US$941.00m
Revenue (TTM)US$13.18b

18.6x

P/E Ratio

1.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
AMC income statement (TTM)
RevenueUS$13.18b
Cost of RevenueUS$10.46b
Gross ProfitUS$2.73b
ExpensesUS$1.79b
EarningsUS$941.00m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.62
Gross Margin20.69%
Net Profit Margin7.14%
Debt/Equity Ratio140.1%

How did AMC perform over the long term?

See historical performance and comparison

Dividends

4.2%

Current Dividend Yield

77%

Payout Ratio

Valuation

Is Amcor undervalued compared to its fair value and its price relative to the market?

47.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: AMC (A$16.36) is trading below our estimate of fair value (A$31.35)

Significantly Below Fair Value: AMC is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: AMC is poor value based on its PE Ratio (18.6x) compared to the Global Packaging industry average (14.3x).

PE vs Market: AMC's PE Ratio (18.6x) is in line with the Australian market.


Price to Earnings Growth Ratio

PEG Ratio: AMC is poor value based on its PEG Ratio (2.9x)


Price to Book Ratio

PB vs Industry: AMC is overvalued based on its PB Ratio (3.8x) compared to the XX Packaging industry average (1.5x).


Future Growth

How is Amcor forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?

6.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AMC's forecast earnings growth (6.4% per year) is above the savings rate (1.9%).

Earnings vs Market: AMC's earnings (6.4% per year) are forecast to grow slower than the Australian market (11.8% per year).

High Growth Earnings: AMC's earnings are forecast to grow, but not significantly.

Revenue vs Market: AMC's revenue (1.6% per year) is forecast to grow slower than the Australian market (5.2% per year).

High Growth Revenue: AMC's revenue (1.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AMC's Return on Equity is forecast to be high in 3 years time (26.1%)


Past Performance

How has Amcor performed over the past 5 years?

17.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AMC has high quality earnings.

Growing Profit Margin: AMC's current net profit margins (7.1%) are higher than last year (6%).


Past Earnings Growth Analysis

Earnings Trend: AMC's earnings have grown by 17.2% per year over the past 5 years.

Accelerating Growth: AMC's earnings growth over the past year (26.5%) exceeds its 5-year average (17.2% per year).

Earnings vs Industry: AMC earnings growth over the past year (26.5%) exceeded the Packaging industry 22.9%.


Return on Equity

High ROE: Whilst AMC's Return on Equity (20.28%) is high, this metric is skewed due to their high level of debt.


Financial Health

How is Amcor's financial position?


Financial Position Analysis

Short Term Liabilities: AMC's short term assets ($5.3B) exceed its short term liabilities ($4.0B).

Long Term Liabilities: AMC's short term assets ($5.3B) do not cover its long term liabilities ($8.3B).


Debt to Equity History and Analysis

Debt Level: AMC's net debt to equity ratio (126.6%) is considered high.

Reducing Debt: AMC's debt to equity ratio has reduced from 553.3% to 140.1% over the past 5 years.

Debt Coverage: AMC's debt is well covered by operating cash flow (22.1%).

Interest Coverage: AMC's interest payments on its debt are well covered by EBIT (10.7x coverage).


Balance Sheet


Dividend

What is Amcor current dividend yield, its reliability and sustainability?

4.18%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: AMC's dividend (4.18%) is higher than the bottom 25% of dividend payers in the Australian market (2.28%).

High Dividend: AMC's dividend (4.18%) is low compared to the top 25% of dividend payers in the Australian market (5.6%).


Stability and Growth of Payments

Stable Dividend: AMC's dividend payments have been volatile in the past 10 years.

Growing Dividend: AMC's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (77.5%), AMC's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: AMC's dividends in 3 years are forecast to be covered by earnings (61% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

5.1yrs

Average management tenure


CEO

Ron Delia (50 yo)

6.67yrs

Tenure

US$10,991,148

Compensation

Mr. Ronald Stephen Delia, also known as Ron, BSc (Marketing), MBA serves as Chief Executive Officer and Managing Director of Amcor PLC (formerly, Amcor Limited) since April 17, 2015. Mr. Delia joined Amcor...


CEO Compensation Analysis

Compensation vs Market: Ron's total compensation ($USD10.99M) is above average for companies of similar size in the Australian market ($USD3.84M).

Compensation vs Earnings: Ron's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: AMC's management team is seasoned and experienced (5.1 years average tenure).


Board Members

Experienced Board: AMC's board of directors are considered experienced (5.7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Amcor plc's employee growth, exchange listings and data sources


Key Information

  • Name: Amcor plc
  • Ticker: AMC
  • Exchange: ASX
  • Founded: 1926
  • Industry: Paper Packaging
  • Sector: Materials
  • Market Cap: AU$24.922b
  • Shares outstanding: 1.52b
  • Website: https://www.amcor.com

Number of Employees


Location

  • Amcor plc
  • Thurgauerstrasse 34
  • Zurich
  • Zurich
  • 8050
  • Switzerland

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/12/06 15:32
End of Day Share Price2021/12/06 00:00
Earnings2021/09/30
Annual Earnings2021/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.