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AMC

Amcor ASX:AMC Stock Report

Last Price

AU$17.35

Market Cap

AU$25.7b

7D

3.3%

1Y

14.4%

Updated

26 Jun, 2022

Data

Company Financials +
AMC fundamental analysis
Snowflake Score
Valuation3/6
Future Growth2/6
Past Performance2/6
Financial Health3/6
Dividends4/6

AMC Stock Overview

Amcor plc develops, produces, and sells packaging products in Europe, North America, Latin America, Africa, and the Asia Pacific regions.

Amcor Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Amcor
Historical stock prices
Current Share PriceAU$17.35
52 Week HighAU$18.98
52 Week LowAU$14.63
Beta0.34
1 Month Change-5.66%
3 Month Change16.60%
1 Year Change14.45%
3 Year Change7.17%
5 Year Change7.03%
Change since IPO149.64%

Recent News & Updates

Jun 07
Is Amcor plc (ASX:AMC) Trading At A 44% Discount?

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

Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Amcor plc ( ASX:AMC...

May 07
Amcor's (ASX:AMC) Shareholders Will Receive A Bigger Dividend Than Last Year

Amcor's (ASX:AMC) Shareholders Will Receive A Bigger Dividend Than Last Year

Amcor plc ( ASX:AMC ) has announced that it will be increasing its dividend on the 14th of June to AU$0.17. This makes...

Shareholder Returns

AMCAU PackagingAU Market
7D3.3%3.5%1.4%
1Y14.4%-14.2%-11.3%

Return vs Industry: AMC exceeded the Australian Packaging industry which returned -14.2% over the past year.

Return vs Market: AMC exceeded the Australian Market which returned -11.3% over the past year.

Price Volatility

Is AMC's price volatile compared to industry and market?
AMC volatility
AMC Average Weekly Movement3.2%
Packaging Industry Average Movement5.3%
Market Average Movement9.7%
10% most volatile stocks in AU Market16.3%
10% least volatile stocks in AU Market4.2%

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

Volatility Over Time: AMC's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
201846,000Ron Deliahttps://www.amcor.com

Amcor plc develops, produces, and sells packaging products in Europe, North America, Latin America, Africa, and the Asia Pacific regions. The company operates through two segments, Flexibles and Rigid Packaging. The Flexibles segment provides flexible and film packaging products in the food and beverage, medical and pharmaceutical, fresh produce, snack food, personal care, and other industries.

Amcor Fundamentals Summary

How do Amcor's earnings and revenue compare to its market cap?
AMC fundamental statistics
Market CapUS$17.89b
Earnings (TTM)US$948.00m
Revenue (TTM)US$14.09b

18.9x

P/E Ratio

1.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
AMC income statement (TTM)
RevenueUS$14.09b
Cost of RevenueUS$11.32b
Gross ProfitUS$2.77b
Other ExpensesUS$1.82b
EarningsUS$948.00m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.64
Gross Margin19.67%
Net Profit Margin6.73%
Debt/Equity Ratio159.3%

How did AMC perform over the long term?

See historical performance and comparison

Dividends

4.0%

Current Dividend Yield

77%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is AMC undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for AMC?

Other financial metrics that can be useful for relative valuation.

AMC key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.7x
Enterprise Value/EBITDA11.2x
PEG Ratio4.5x

Price to Earnings Ratio vs Peers

How does AMC's PE Ratio compare to its peers?

AMC PE Ratio vs Peers
The above table shows the PE ratio for AMC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average13.5x
NCM Newcrest Mining
15.7x-4.2%AU$20.5b
JHX James Hardie Industries
21.7x13.9%AU$14.3b
S32 South32
12.6x-14.4%AU$18.4b
FMG Fortescue Metals Group
4.1x-21.4%AU$53.2b
AMC Amcor
18.9x4.2%AU$25.7b

Price-To-Earnings vs Peers: AMC is expensive based on its Price-To-Earnings Ratio (18.9x) compared to the peer average (13.5x).


Price to Earnings Ratio vs Industry

How does AMC's PE Ratio compare vs other companies in the Global Packaging Industry?

Price-To-Earnings vs Industry: AMC is expensive based on its Price-To-Earnings Ratio (18.9x) compared to the Global Packaging industry average (13.1x)


Price to Earnings Ratio vs Fair Ratio

What is AMC's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

AMC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio18.9x
Fair PE Ratio20.3x

Price-To-Earnings vs Fair Ratio: AMC is good value based on its Price-To-Earnings Ratio (18.9x) compared to the estimated Fair Price-To-Earnings Ratio (20.3x).


Share Price vs Fair Value

What is the Fair Price of AMC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: AMC (A$17.35) is trading below our estimate of fair value (A$35.11)

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


Price to Earnings Growth Ratio

PEG Ratio: AMC is poor value based on its PEG Ratio (4.5x)


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Future Growth

How is Amcor forecast to perform in the next 1 to 3 years based on estimates from 19 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


4.2%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AMC's forecast earnings growth (4.2% per year) is above the savings rate (1.8%).

Earnings vs Market: AMC's earnings (4.2% per year) are forecast to grow slower than the Australian market (6% per year).

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

Revenue vs Market: AMC's revenue (1.1% per year) is forecast to grow slower than the Australian market (5.2% per year).

High Growth Revenue: AMC's revenue (1.1% 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 (29.6%)


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Past Performance

How has Amcor performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


14.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: AMC has high quality earnings.

Growing Profit Margin: AMC's current net profit margins (6.7%) are lower than last year (6.9%).


Past Earnings Growth Analysis

Earnings Trend: AMC's earnings have grown by 14.8% per year over the past 5 years.

Accelerating Growth: AMC's earnings growth over the past year (10%) is below its 5-year average (14.8% per year).

Earnings vs Industry: AMC earnings growth over the past year (10%) underperformed the Packaging industry 14.1%.


Return on Equity

High ROE: Whilst AMC's Return on Equity (21.02%) is high, this metric is skewed due to their high level of debt.


Discover strong past performing companies

Financial Health

How is Amcor's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: AMC's short term assets ($6.2B) exceed its short term liabilities ($4.4B).

Long Term Liabilities: AMC's short term assets ($6.2B) do not cover its long term liabilities ($9.0B).


Debt to Equity History and Analysis

Debt Level: AMC's net debt to equity ratio (135.8%) is considered high.

Reducing Debt: AMC's debt to equity ratio has reduced from 529% to 159.3% over the past 5 years.

Debt Coverage: AMC's debt is not well covered by operating cash flow (19.7%).

Interest Coverage: AMC's interest payments on its debt are well covered by EBIT (11.3x coverage).


Balance Sheet


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Dividend

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

Dividend Score

4/6

Dividend Score 4/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


3.98%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: AMC's dividend (3.98%) is higher than the bottom 25% of dividend payers in the Australian market (2.74%).

High Dividend: AMC's dividend (3.98%) is low compared to the top 25% of dividend payers in the Australian market (6.85%).


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.


Earnings Payout to Shareholders

Earnings Coverage: At its current payout ratio (76.6%), AMC's payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: At its current cash payout ratio (76.8%), AMC's dividend payments are covered by cash flows.


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Management

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

5.6yrs

Average management tenure


CEO

Ron Delia (50 yo)

7.17yrs

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 ($USD10.99M) is above average for companies of similar size in the Australian market ($USD4.08M).

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 (5.6 years average tenure).


Board Members

Experienced Board: AMC's board of directors are considered experienced (6.2 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: 2018
  • Industry: Paper Packaging
  • Sector: Materials
  • Implied Market Cap: AU$25.741b
  • Shares outstanding: 1.48b
  • 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 Analysis2022/06/26 00:00
End of Day Share Price2022/06/24 00:00
Earnings2022/03/31
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.