TSX:CCL.B

Stock Analysis Report

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Executive Summary

CCL Industries Inc. manufactures and sells labels, consumer printable media products, technology driven label solutions, polymer bank note substrates, and specialty films. More Details


Snowflake Analysis

Adequate balance sheet with proven track record and pays a dividend.


Similar Companies

Share Price & News

How has CCL Industries's share price performed over time and what events caused price changes?


Latest Share Price and Events

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

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


Market Performance


7 Day Return

0.5%

CCL.B

1.1%

CA Packaging

-0.8%

CA Market


1 Year Return

48.7%

CCL.B

40.5%

CA Packaging

12.5%

CA Market

Return vs Industry: CCL.B exceeded the Canadian Packaging industry which returned 40.5% over the past year.

Return vs Market: CCL.B exceeded the Canadian Market which returned 12.5% over the past year.


Shareholder returns

CCL.BIndustryMarket
7 Day0.5%1.1%-0.8%
30 Day10.9%6.7%2.1%
90 Day13.4%8.2%5.8%
1 Year50.9%48.7%42.8%40.5%16.6%12.5%
3 Year5.1%1.4%6.7%2.4%23.1%11.4%
5 Year52.3%44.6%45.6%37.3%56.4%32.8%

Long-Term Price Volatility Vs. Market

How volatile is CCL Industries's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

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

9.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CCL.B (CA$66.7) is trading below our estimate of fair value (CA$73.56)

Significantly Below Fair Value: CCL.B is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: CCL.B is poor value based on its PE Ratio (22.5x) compared to the CA Packaging industry average (19.4x).

PE vs Market: CCL.B is poor value based on its PE Ratio (22.5x) compared to the Canadian market (16.6x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate CCL.B's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: CCL.B is overvalued based on its PB Ratio (3.6x) compared to the CA Packaging industry average (3x).


Next Steps

Future Growth

How is CCL Industries forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

3.4%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if CCL.B's forecast earnings growth is above the savings rate (1.5%).

Earnings vs Market: Insufficient data to determine if CCL.B's earnings are forecast to grow faster than the Canadian market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: CCL.B's revenue (3.4% per year) is forecast to grow slower than the Canadian market (7.8% per year).

High Growth Revenue: CCL.B's revenue (3.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if CCL.B's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has CCL Industries performed over the past 5 years?

9.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CCL.B has high quality earnings.

Growing Profit Margin: CCL.B's current net profit margins (10.1%) are higher than last year (9%).


Past Earnings Growth Analysis

Earnings Trend: CCL.B's earnings have grown by 9.9% per year over the past 5 years.

Accelerating Growth: CCL.B's earnings growth over the past year (11%) exceeds its 5-year average (9.9% per year).

Earnings vs Industry: CCL.B earnings growth over the past year (11%) underperformed the Packaging industry 45.6%.


Return on Equity

High ROE: CCL.B's Return on Equity (16.1%) is considered low.


Next Steps

Financial Health

How is CCL Industries's financial position?


Financial Position Analysis

Short Term Liabilities: CCL.B's short term assets (CA$2.2B) exceed its short term liabilities (CA$1.3B).

Long Term Liabilities: CCL.B's short term assets (CA$2.2B) do not cover its long term liabilities (CA$2.8B).


Debt to Equity History and Analysis

Debt Level: CCL.B's debt to equity ratio (59.1%) is considered high.

Reducing Debt: CCL.B's debt to equity ratio has reduced from 61.5% to 59.1% over the past 5 years.

Debt Coverage: CCL.B's debt is well covered by operating cash flow (45.5%).

Interest Coverage: CCL.B's interest payments on its debt are well covered by EBIT (11.1x coverage).


Balance Sheet


Next Steps

Dividend

What is CCL Industries's current dividend yield, its reliability and sustainability?

1.26%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: CCL.B's dividend (1.26%) isn’t notable compared to the bottom 25% of dividend payers in the Canadian market (1.57%).

High Dividend: CCL.B's dividend (1.26%) is low compared to the top 25% of dividend payers in the Canadian market (4.97%).


Stability and Growth of Payments

Stable Dividend: CCL.B's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (24.3%), CCL.B's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CCL.B's dividends in 3 years are forecast to be well covered by earnings (29.7% payout ratio).


Next Steps

Management

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

9.3yrs

Average management tenure


CEO

Geoffrey Martin (65 yo)

12.83yrs

Tenure

CA$19,759,124

Compensation

Mr. Geoffrey T. Martin has been the Principal Executive Officer of Checkpoint Systems Inc. since May 13, 2016. Mr. Martin has been the President of CCL Industries Inc. since May 17, 2005 and has been its C...


CEO Compensation Analysis

Compensation vs Market: Geoffrey's total compensation ($USD15.68M) is above average for companies of similar size in the Canadian market ($USD6.59M).

Compensation vs Earnings: Geoffrey's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Donald Lang
Executive Chairman12.83yrsCA$1.18m0.042%
CA$ 5.1m
Geoffrey Martin
President12.83yrsCA$19.76m0.36%
CA$ 43.3m
Sean Washchuk
Senior VP & CFO9.42yrsCA$4.92m0.029%
CA$ 3.5m
Lalitha Vaidyanathan
Senior Vice President of Financeno dataCA$5.34m0.060%
CA$ 7.3m
Ben Rubino
President of Home & Personal Care Worldwide9.33yrsCA$5.12mno data
Günther Birkner
President of Food & Beverage5yrsCA$6.13m0.0095%
CA$ 1.2m
John Dargan
President of Checkpoint Worldwideno dataCA$4.26m0.0081%
CA$ 988.3k
Nicolangelo Vecchiarelli
Vice President of Corporate Accountingno datano data0.00070%
CA$ 85.4k
Mark McClendon
VP & General Counsel6.67yrsno data0.0031%
CA$ 381.9k
Jamie Robinson
VP and MD of Home & Personal Care Europeno datano datano data
Mathias Maennel
VP & MD of Healthcare & Specialty Europeno datano datano data
Reinhard Streit
VP and MD of Food & Beverage Europeno datano datano data

9.3yrs

Average Tenure

56.5yo

Average Age

Experienced Management: CCL.B's management team is seasoned and experienced (9.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Donald Lang
Executive Chairman12.83yrsCA$1.18m0.042%
CA$ 5.1m
Geoffrey Martin
President12.83yrsCA$19.76m0.36%
CA$ 43.3m
Vincent Galifi
Independent Director4.25yrsCA$185.79k0.0017%
CA$ 203.8k
Alan Horn
Independent Director1.83yrsCA$148.32k0.13%
CA$ 16.0m
Thomas Peddie
Independent Director17.75yrsCA$266.21k0.0056%
CA$ 680.8k
Douglas Muzyka
Independent Director4.33yrsCA$222.29kno data
Stuart Lang
Non-Independent Director29.83yrsCA$168.92k0.066%
CA$ 8.0m
Mandy Shapansky
Independent Director6.75yrsCA$174.64kno data
Kathleen Keller-Hobson
Independent Non-Executive Lead Directorno dataCA$192.24k0.0024%
CA$ 289.2k
Linda Cash
Independent Director0.17yrno datano data
Susana Suarez-Gonzalez
Director0.17yrno datano data
Erin Lang
Non-Independent Director4.25yrsCA$150.37kno data

4.3yrs

Average Tenure

64yo

Average Age

Experienced Board: CCL.B's board of directors are considered experienced (4.3 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: CCL.B insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

CCL Industries Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: CCL Industries Inc.
  • Ticker: CCL.B
  • Exchange: TSX
  • Founded: 1951
  • Industry: Metal and Glass Containers
  • Sector: Materials
  • Market Cap: CA$12.202b
  • Shares outstanding: 179.25m
  • Website: https://www.cclind.com

Number of Employees


Location

  • CCL Industries Inc.
  • 111 Gordon Baker Road
  • Suite 801
  • Toronto
  • Ontario
  • M2H 3R1
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CCL.ATSX (The Toronto Stock Exchange)Class A Voting SharesCACADJul 1983
CCL.BTSX (The Toronto Stock Exchange)YesClass B Non-Voting SharesCACADJul 1983
CCDB.FOTCPK (Pink Sheets LLC)YesClass B Non-Voting SharesUSUSDJul 1983
1C9DB (Deutsche Boerse AG)YesClass B Non-Voting SharesDEEURJul 1983
CCLL.FOTCPK (Pink Sheets LLC)Class A Voting SharesUSUSDJul 1983

Biography

CCL Industries Inc. manufactures and sells labels, consumer printable media products, technology driven label solutions, polymer bank note substrates, and specialty films. The company operates through four...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/03/04 23:00
End of Day Share Price2021/03/04 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


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.