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REYN

Reynolds Consumer ProductsNasdaqGS:REYN Stock Report

Market Cap

US$5.7b

7D

-1.5%

1Y

-13.4%

Updated

26 Sep, 2021

Data

Company Financials +
REYN fundamental analysis
Snowflake Score
Valuation5/6
Future Growth2/6
Past Performance5/6
Financial Health2/6
Dividends3/6

REYN Overview

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

Reynolds Consumer Products Competitors

Clorox

NYSE:CLX

US$20.2b

Price History & Performance

Summary of all time highs, changes and price drops for Reynolds Consumer Products
Historical stock prices
Current Share PriceUS$27.39
52 Week HighUS$26.50
52 Week LowUS$32.19
Beta0
1 Month Change-2.98%
3 Month Change-9.69%
1 Year Change-13.43%
3 Year Changen/a
5 Year Changen/a
Change since IPO-4.06%

Recent News & Updates

Shareholder Returns

REYNUS Household ProductsUS Market
7D-1.5%-0.4%0.1%
1Y-13.4%1.7%35.3%

Return vs Industry: REYN underperformed the US Household Products industry which returned 1.7% over the past year.

Return vs Market: REYN underperformed the US Market which returned 35.3% over the past year.

Price Volatility

Is REYN's price volatile compared to industry and market?
REYN volatility
REYN Beta0
Industry Beta0.46
Market Beta1

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

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

About the Company

FoundedEmployeesCEOWebsite
19475,450Lance Mitchellhttps://www.reynoldsconsumerproducts.com

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: Reynolds Cooking & Baking, Hefty Waste & Storage, Hefty Tableware, and Presto Products. The Reynolds Cooking & Baking segment produces foil, disposable aluminum pans, parchment paper, freezer paper, wax paper, plastic wrap, baking cups, oven bags, and slow cooker liners under the Reynolds Wrap, Reynolds KITCHENS, and E-Z Foil brands in the United States, as well as under the ALCAN brand in Canada and under the Diamond brand internationally.

Reynolds Consumer Products Fundamentals Summary

How do Reynolds Consumer Products's earnings and revenue compare to its market cap?
REYN fundamental statistics
Market CapUS$5.75b
Earnings (TTM)US$379.00m
Revenue (TTM)US$3.34b

15.2x

P/E Ratio

1.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
REYN income statement (TTM)
RevenueUS$3.34b
Cost of RevenueUS$2.41b
Gross ProfitUS$932.00m
ExpensesUS$553.00m
EarningsUS$379.00m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)1.81
Gross Margin27.90%
Net Profit Margin11.35%
Debt/Equity Ratio126.6%

How did REYN perform over the long term?

See historical performance and comparison

Dividends

3.4%

Current Dividend Yield

50%

Payout Ratio

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: REYN ($27.39) is trading below our estimate of fair value ($63.71)

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 (15.2x) compared to the US Household Products industry average (22.5x).

PE vs Market: REYN is good value based on its PE Ratio (15.2x) compared to the US market (17.9x).


Price to Earnings Growth Ratio

PEG Ratio: REYN is poor value based on its PEG Ratio (2.5x)


Price to Book Ratio

PB vs Industry: REYN is good value based on its PB Ratio (3.4x) compared to the US Household Products industry average (4.7x).


Future Growth

How is Reynolds Consumer Products forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

6.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: REYN's forecast earnings growth (6% per year) is above the savings rate (2%).

Earnings vs Market: REYN's earnings (6% per year) are forecast to grow slower than the US market (15% per year).

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

Revenue vs Market: REYN's revenue (2.9% per year) is forecast to grow slower than the US market (9.8% per year).

High Growth Revenue: REYN's revenue (2.9% 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 (20.8%)


Past Performance

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

20.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: REYN has high quality earnings.

Growing Profit Margin: REYN's current net profit margins (11.3%) are higher than last year (9.3%).


Past Earnings Growth Analysis

Earnings Trend: REYN's earnings have grown significantly by 20.5% per year over the past 5 years.

Accelerating Growth: REYN's earnings growth over the past year (30.2%) exceeds its 5-year average (20.5% per year).

Earnings vs Industry: REYN earnings growth over the past year (30.2%) exceeded the Household Products industry 11.7%.


Return on Equity

High ROE: Whilst REYN's Return on Equity (22.61%) is high, this metric is skewed due to their high level of debt.


Financial Health

How is Reynolds Consumer Products's financial position?


Financial Position Analysis

Short Term Liabilities: REYN's short term assets ($1.0B) exceed its short term liabilities ($455.0M).

Long Term Liabilities: REYN's short term assets ($1.0B) do not cover its long term liabilities ($2.6B).


Debt to Equity History and Analysis

Debt Level: REYN's debt to equity ratio (126.6%) 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 (15.7%).

Interest Coverage: REYN's interest payments on its debt are well covered by EBIT (11.4x coverage).


Balance Sheet


Dividend

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

3.36%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: REYN's dividend (3.36%) is higher than the bottom 25% of dividend payers in the US market (1.33%).

High Dividend: REYN's dividend (3.36%) is low compared to the top 25% of dividend payers in the US market (3.6%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, REYN has been paying a dividend for less than 10 years.

Growing Dividend: REYN's dividend payments have increased, but the company has only paid a dividend for 2 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (50.4%), REYN's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: REYN's dividends in 3 years are forecast to be well covered by earnings (48.4% payout ratio).


Next Steps

Management

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

2.7yrs

Average management tenure


CEO

Lance Mitchell (61 yo)

10.67yrs

Tenure

US$11,410,221

Compensation

Mr. Lance Mitchell has been the Chief Executive Officer and President of Reynolds Consumer Products Inc. since 2011 and has been its Director since October 2019. From 2006 to 2011, Mr. Mitchell served as t...


CEO Compensation Analysis

Compensation vs Market: Lance's total compensation ($USD11.41M) is above average for companies of similar size in the US market ($USD6.40M).

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


Leadership Team

Experienced Management: REYN's management team is considered experienced (2.7 years average tenure).


Board Members

Experienced Board: REYN's board of directors are not considered experienced ( 1.8 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: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Reynolds Consumer Products Inc.'s 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$5.745b
  • Shares outstanding: 209.76m
  • Website: https://www.reynoldsconsumerproducts.com

Number of Employees


Location

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

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/26 22:17
End of Day Share Price2021/09/24 00:00
Earnings2021/06/30
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.