NasdaqGS:REYN

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Reynolds Consumer Products

Executive Summary

Reynolds Consumer Products Inc. produces and sells products in cooking, waste and storage, and tableware product categories in the United States and internationally. More Details


Snowflake Analysis

Solid track record and good value.


Similar Companies

Share Price & News

How has Reynolds Consumer Products's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: REYN has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-2.7%

REYN

0.3%

US Household Products

1.8%

US Market


1 Year Return

n/a

REYN

13.9%

US Household Products

14.2%

US Market

Return vs Industry: Insufficient data to determine how REYN performed against the US Household Products industry.

Return vs Market: Insufficient data to determine how REYN performed against the US Market.


Shareholder returns

REYNIndustryMarket
7 Day-2.7%0.3%1.8%
30 Day-5.7%-0.5%0.04%
90 Day-7.3%12.3%9.8%
1 Yearn/a16.7%13.9%16.7%14.2%
3 Yearn/a53.4%41.3%41.6%32.2%
5 Yearn/a103.6%77.2%90.9%69.5%

Price Volatility Vs. Market

How volatile is Reynolds Consumer Products's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Reynolds Consumer Products undervalued compared to its fair value and its price relative to the market?

37.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: REYN ($31.66) is trading below our estimate of fair value ($50.35)

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


Price To Earnings Ratio

PE vs Industry: REYN is good value based on its PE Ratio (19.3x) compared to the US Household Products industry average (23.9x).

PE vs Market: REYN is poor value based on its PE Ratio (19.3x) compared to the US market (18.6x).


Price to Earnings Growth Ratio

PEG Ratio: REYN is poor value based on its PEG Ratio (1.5x)


Price to Book Ratio

PB vs Industry: REYN is good value based on its PB Ratio (4.5x) compared to the US Household Products industry average (7.2x).


Next Steps

Future Growth

How is Reynolds Consumer Products forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

12.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: REYN's forecast earnings growth (12.6% per year) is above the savings rate (2.2%).

Earnings vs Market: REYN's earnings (12.6% per year) are forecast to grow slower than the US market (23.3% per year).

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

Revenue vs Market: REYN's revenue (1.4% per year) is forecast to grow slower than the US market (9.7% per year).

High Growth Revenue: REYN's revenue (1.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: REYN's Return on Equity is forecast to be high in 3 years time (23.6%)


Next Steps

Past Performance

How has Reynolds Consumer Products performed over the past 5 years?

15.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: REYN has high quality earnings.

Growing Profit Margin: REYN's current net profit margins (9.3%) are higher than last year (6.6%).


Past Earnings Growth Analysis

Earnings Trend: REYN's earnings have grown by 15.1% per year over the past 5 years.

Accelerating Growth: REYN's earnings growth over the past year (42.2%) exceeds its 5-year average (15.1% per year).

Earnings vs Industry: REYN earnings growth over the past year (42.2%) exceeded the Household Products industry 30.9%.


Return on Equity

High ROE: REYN's Return on Equity (19.6%) is considered low.


Next Steps

Financial Health

How is Reynolds Consumer Products's financial position?


Financial Position Analysis

Short Term Liabilities: REYN's short term assets ($1.1B) exceed its short term liabilities ($389.0M).

Long Term Liabilities: REYN's short term assets ($1.1B) do not cover its long term liabilities ($2.8B).


Debt to Equity History and Analysis

Debt Level: REYN's debt to equity ratio (164.1%) is considered high.

Reducing Debt: Insufficient data to determine if REYN's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: REYN's debt is not well covered by operating cash flow (13.5%).

Interest Coverage: REYN's interest payments on its debt are well covered by EBIT (4.5x coverage).


Balance Sheet


Next Steps

Dividend

What is Reynolds Consumer Products's current dividend yield, its reliability and sustainability?

2.78%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: REYN's dividend (2.78%) is higher than the bottom 25% of dividend payers in the US market (1.66%).

High Dividend: REYN's dividend (2.78%) is low compared to the top 25% of dividend payers in the US market (4.65%).


Stability and Growth of Payments

Stable Dividend: Too early to tell whether REYN's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if REYN's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (22.5%), REYN's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: REYN's dividends in 3 years are forecast to be well covered by earnings (42.4% payout ratio).


Next Steps

Management

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

1.7yrs

Average management tenure


CEO

Lance Mitchell (60 yo)

9.67yrs

Tenure

US$6,900,288

Compensation

Mr. Lance Mitchell has been Chief Executive Officer of Reynolds Consumer Products at Reynolds Group Holdings Ltd. since April 2011. Mr. Mitchell serves as Chief Executive Officer and President of Reynolds ...


CEO Compensation Analysis

Compensation vs Market: Lance's total compensation ($USD6.90M) is about average for companies of similar size in the US market ($USD7.31M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Lance Mitchell
CEO, President & Director9.67yrsUS$6.90mno data
Michael Graham
Chief Financial Officer4.67yrsUS$2.99mno data
Stephan Pace
President of Sales & Chief Customer Officer0.67yrUS$1.50mno data
Rachel Bishop
President of Hefty Tableware1.67yrsUS$1.23mno data
Craig Cappel
President of Reynolds Cooking & Baking2.67yrsUS$1.68mno data
Chris Mayrhofer
VP, Corporate Controller & Principal Accounting Officer0.42yrno data0.0043%
$ 284.8k
Mark Swartzberg
Vice President of Investor Relations0.42yrno datano data
David Watson
General Counsel & Secretaryno datano datano data
Francis Arseneault
President of Hefty Waste & Storage1.67yrsno datano data
Judith Buckner
President of Presto Products1.67yrsno datano data
Nathan Lowe
Senior Director Financeno datano datano data

1.7yrs

Average Tenure

50yo

Average Age

Experienced Management: REYN's management team is not considered experienced ( 1.7 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Lance Mitchell
CEO, President & Director9.67yrsUS$6.90mno data
Marla Gottschalk
Independent Director0.67yrno datano data
Richard Noll
Independent Chairman of the Boardno datano data0.0072%
$ 474.7k
Thomas Degnan
Director0.92yrno datano data
Helen Golding
Director0.92yrno datano data
Gregory Cole
Director0.92yrno datano data

0.9yrs

Average Tenure

59.5yo

Average Age

Experienced Board: REYN's board of directors are not considered experienced ( 0.9 years average tenure), which suggests a new board.


Ownership

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


Insider Trading Volume

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


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: REYN only recently listed within the past 12 months.


Top Shareholders

Company Information

Reynolds Consumer Products Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Reynolds Consumer Products Inc.
  • Ticker: REYN
  • Exchange: NasdaqGS
  • Founded: 1947
  • Industry: Household Products
  • Sector: Household
  • Market Cap: US$6.639b
  • Shares outstanding: 209.70m
  • Website: https://www.reynoldsconsumerproducts.com

Number of Employees


Location

  • Reynolds Consumer Products Inc.
  • 1900 W. Field Court
  • Lake Forest
  • Illinois
  • 60045
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
REYNNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJan 2020
3ZTDB (Deutsche Boerse AG)YesCommon StockDEEURJan 2020

Biography

Reynolds Consumer Products Inc. produces and sells products in cooking, waste and storage, and tableware product categories in the United States and internationally. It operates through four segments: Reyn ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/18 05:54
End of Day Share Price2020/09/17 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.