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Berry Global Group

NYSE:BERY
Snowflake Description

Fair value with moderate growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
BERY
NYSE
$7B
Market Cap
  1. Home
  2. US
  3. Materials
Company description

Berry Global Group, Inc. manufactures and supplies non-woven, flexible, and rigid products. The last earnings update was 45 days ago. More info.


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BERY Share Price and Events
7 Day Returns
0.9%
NYSE:BERY
-1.4%
US Packaging
0.5%
US Market
1 Year Returns
9.1%
NYSE:BERY
1.7%
US Packaging
0.8%
US Market
BERY Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Berry Global Group (BERY) 0.9% 4.4% -8.7% 9.1% 37.4% 97.5%
US Packaging -1.4% 0.5% 2.7% 1.7% 26.1% 22.7%
US Market 0.5% 0.2% 1.1% 0.8% 37.4% 37.5%
1 Year Return vs Industry and Market
  • BERY outperformed the Packaging industry which returned 1.7% over the past year.
  • BERY outperformed the Market in United States of America which returned 0.8% over the past year.
Price Volatility
BERY
Industry
5yr Volatility vs Market

Value

 Is Berry Global Group undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Berry Global Group to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Berry Global Group.

NYSE:BERY Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 9 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 10.1%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:BERY
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Packaging Unlevered Beta Simply Wall St/ S&P Global 0.81
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.808 (1 + (1- 21%) (86.06%))
1.239
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.24
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.239 * 5.96%)
10.12%

Discounted Cash Flow Calculation for NYSE:BERY using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Berry Global Group is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:BERY DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 10.12%)
2019 672.08 Analyst x4 610.33
2020 693.25 Analyst x4 571.73
2021 719.00 Analyst x1 538.49
2022 726.79 Est @ 1.08% 494.32
2023 738.25 Est @ 1.58% 455.99
2024 752.45 Est @ 1.92% 422.06
2025 768.74 Est @ 2.17% 391.59
2026 786.69 Est @ 2.33% 363.92
2027 805.98 Est @ 2.45% 338.59
2028 826.43 Est @ 2.54% 315.29
Present value of next 10 years cash flows $4,502.31
NYSE:BERY DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $826.43 × (1 + 2.73%) ÷ (10.12% – 2.73%)
$11,494.75
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $11,494.75 ÷ (1 + 10.12%)10
$4,385.31
NYSE:BERY Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $4,502.31 + $4,385.31
$8,887.62
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $8,887.62 / 131.60
$67.54
NYSE:BERY Discount to Share Price
Calculation Result
Value per share (USD) From above. $67.54
Current discount Discount to share price of $50.75
= -1 x ($50.75 - $67.54) / $67.54
24.9%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Berry Global Group is available for.
Intrinsic value
25%
Share price is $50.75 vs Future cash flow value of $67.54
Current Discount Checks
For Berry Global Group to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Berry Global Group's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Berry Global Group's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Berry Global Group's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Berry Global Group's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:BERY PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-30) in USD $3.08
NYSE:BERY Share Price ** NYSE (2019-06-14) in USD $50.75
United States of America Packaging Industry PE Ratio Median Figure of 15 Publicly-Listed Packaging Companies 17.14x
United States of America Market PE Ratio Median Figure of 3,091 Publicly-Listed Companies 17.68x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Berry Global Group.

NYSE:BERY PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:BERY Share Price ÷ EPS (both in USD)

= 50.75 ÷ 3.08

16.45x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Berry Global Group is good value based on earnings compared to the US Packaging industry average.
  • Berry Global Group is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does Berry Global Group's expected growth come at a high price?
Raw Data
NYSE:BERY PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 16.45x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 9 Analysts
14.7%per year
United States of America Packaging Industry PEG Ratio Median Figure of 15 Publicly-Listed Packaging Companies 1.12x
United States of America Market PEG Ratio Median Figure of 2,125 Publicly-Listed Companies 1.52x

*Line of best fit is calculated by linear regression .

NYSE:BERY PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 16.45x ÷ 14.7%

1.12x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Berry Global Group is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Berry Global Group's assets?
Raw Data
NYSE:BERY PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-30) in USD $11.67
NYSE:BERY Share Price * NYSE (2019-06-14) in USD $50.75
United States of America Packaging Industry PB Ratio Median Figure of 19 Publicly-Listed Packaging Companies 3.66x
United States of America Market PB Ratio Median Figure of 5,244 Publicly-Listed Companies 1.79x
NYSE:BERY PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:BERY Share Price ÷ Book Value per Share (both in USD)

= 50.75 ÷ 11.67

4.35x

* Primary Listing of Berry Global Group.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Berry Global Group is overvalued based on assets compared to the US Packaging industry average.
X
Value checks
We assess Berry Global Group's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Packaging industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Packaging industry average (and greater than 0)? (1 check)
  5. Berry Global Group has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Berry Global Group expected to perform in the next 1 to 3 years based on estimates from 9 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
14.7%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Berry Global Group expected to grow at an attractive rate?
  • Berry Global Group's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Berry Global Group's earnings growth is expected to exceed the United States of America market average.
  • Berry Global Group's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:BERY Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:BERY Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 9 Analysts 14.7%
NYSE:BERY Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 9 Analysts 1.8%
United States of America Packaging Industry Earnings Growth Rate Market Cap Weighted Average 15.6%
United States of America Packaging Industry Revenue Growth Rate Market Cap Weighted Average 2.6%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.9%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:BERY Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 9 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:BERY Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-09-30 8,322 557 4
2020-09-30 8,177 1,044 506 9
2019-09-30 8,009 1,038 400 7
NYSE:BERY Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-30 8,048 1,050 405
2018-12-29 8,065 1,012 421
2018-09-29 7,869 1,004 496
2018-06-30 7,696 951 473
2018-03-31 7,530 927 470
2017-12-30 7,369 985 452
2017-09-30 7,095 975 340
2017-07-01 6,832 870 307
2017-04-01 6,571 829 296
2016-12-31 6,379 809 283
2016-10-01 6,489 857 236
2016-07-02 6,067 812 207
2016-04-02 5,663 786 98

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Berry Global Group's earnings are expected to grow by 14.7% yearly, however this is not considered high growth (20% yearly).
  • Berry Global Group's revenue is expected to grow by 1.8% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:BERY Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 9 Analyst Estimates (S&P Global) See Below

All data from Berry Global Group Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:BERY Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-09-30 4.22 4.22 4.22 1.00
2020-09-30 4.00 4.00 4.00 1.00
2019-09-30 3.80 3.80 3.80 1.00
NYSE:BERY Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-30 3.08
2018-12-29 3.20
2018-09-29 3.77
2018-06-30 3.61
2018-03-31 3.60
2017-12-30 3.48
2017-09-30 2.66
2017-07-01 2.45
2017-04-01 2.40
2016-12-31 2.33
2016-10-01 1.95
2016-07-02 1.72
2016-04-02 0.82

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Berry Global Group is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess Berry Global Group's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Berry Global Group has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Berry Global Group performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Berry Global Group's growth in the last year to its industry (Packaging).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Berry Global Group has delivered over 20% year on year earnings growth in the past 5 years.
  • Berry Global Group's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Berry Global Group's 1-year earnings growth is negative, it can't be compared to the US Packaging industry average.
Earnings and Revenue History
Berry Global Group's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Berry Global Group Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:BERY Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-30 8,048.00 405.00 496.00
2018-12-29 8,065.00 421.00 483.00
2018-09-29 7,869.00 496.00 476.00
2018-06-30 7,696.00 473.00 487.00
2018-03-31 7,530.00 470.00 493.00
2017-12-30 7,369.00 452.00 495.00
2017-09-30 7,095.00 340.00 491.00
2017-07-01 6,832.00 307.00 483.00
2017-04-01 6,571.00 296.00 484.00
2016-12-31 6,379.00 283.00 490.00
2016-10-01 6,489.00 236.00 529.00
2016-07-02 6,067.00 207.00 512.00
2016-04-02 5,663.00 98.00 475.00
2016-01-02 5,273.00 77.00 426.00
2015-09-26 4,881.00 86.00 357.00
2015-06-27 4,995.00 67.00 342.00
2015-03-28 5,052.00 95.00 335.00
2014-12-27 5,038.00 69.00 328.00
2014-09-27 4,958.00 62.00 320.00
2014-06-28 4,852.00 59.00 321.00
2014-03-29 4,775.00 84.00 314.00
2013-12-28 4,715.00 73.00 307.00
2013-09-28 4,647.00 57.00 307.00
2013-06-29 4,647.00 53.00 313.00
2013-03-30 4,668.00 22.00 313.00
2012-12-29 4,701.00 23.00 322.00
2012-09-29 4,766.00 2.00 317.00
2012-06-30 4,791.00 -212.00 309.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Whilst Berry Global Group has efficiently used shareholders’ funds last year (Return on Equity greater than 20%), this is metric is skewed due to its high level of debt.
  • Berry Global Group used its assets more efficiently than the US Packaging industry average last year based on Return on Assets.
  • Berry Global Group has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Berry Global Group's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Packaging industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Berry Global Group has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Berry Global Group's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Berry Global Group's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Berry Global Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Berry Global Group's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Berry Global Group's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.4x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Berry Global Group Company Filings, last reported 2 months ago.

NYSE:BERY Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-30 1,531.00 5,748.00 353.00
2018-12-29 1,455.00 5,750.00 293.00
2018-09-29 1,434.00 5,856.00 381.00
2018-06-30 1,339.00 5,961.00 365.00
2018-03-31 1,306.00 6,059.00 291.00
2017-12-30 1,174.00 5,562.00 228.00
2017-09-30 1,015.00 5,668.00 306.00
2017-07-01 848.00 5,926.00 275.00
2017-04-01 702.00 6,083.00 293.00
2016-12-31 246.00 5,779.00 331.00
2016-10-01 221.00 5,800.00 323.00
2016-07-02 167.00 5,934.00 236.00
2016-04-02 78.00 6,038.00 212.00
2016-01-02 -67.00 6,180.00 282.00
2015-09-26 -53.00 3,721.00 228.00
2015-06-27 -74.00 3,729.00 62.00
2015-03-28 -73.00 3,833.00 119.00
2014-12-27 -93.00 3,822.00 53.00
2014-09-27 -101.00 3,905.00 129.00
2014-06-28 -118.00 3,962.00 45.00
2014-03-29 -135.00 3,943.00 126.00
2013-12-28 -183.00 3,949.00 162.00
2013-09-28 -196.00 3,947.00 142.00
2013-06-29 -251.00 3,942.00 25.00
2013-03-30 -315.00 4,006.00 16.00
2012-12-29 -313.00 3,975.00 32.00
2012-09-29 -475.00 4,478.00 87.00
2012-06-30 -487.00 4,578.00 38.00
  • Berry Global Group's level of debt (375.4%) compared to net worth is high (greater than 40%).
  • Berry Global Group had negative shareholder equity 5 years ago, it is now positive therefore their debt level has improved.
  • Debt is not well covered by operating cash flow (18.3%, less than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 3.1x coverage).
X
Financial health checks
We assess Berry Global Group's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Berry Global Group has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Berry Global Group's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Berry Global Group dividends. Estimated to be 0% next year.
If you bought $2,000 of Berry Global Group shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Berry Global Group's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Berry Global Group's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:BERY Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 9 Analyst Estimates (S&P Global) See Below
United States of America Packaging Industry Average Dividend Yield Market Cap Weighted Average of 13 Stocks 2.7%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2011 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:BERY Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-09-30 0.00 3.00
2020-09-30 0.00 4.00
2019-09-30 0.00 4.00

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Berry Global Group has not reported any payouts.
  • Unable to verify if Berry Global Group's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Berry Global Group's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Berry Global Group has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of Berry Global Group's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess Berry Global Group's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Berry Global Group afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Berry Global Group has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Berry Global Group's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Tom Salmon
COMPENSATION $4,775,393
AGE 55
TENURE AS CEO 2.3 years
CEO Bio

Mr. Thomas E. Salmon, also known as Tom, serves as Director of Old National Bancorp since April 27, 2018. He has been Chief Executive Officer at Berry Plastics Group, Inc., since February 03, 2017. Mr. Salmon serves as Chairman of the Board and CEO at Berry Global, Inc formerly known as Berry Plastics Corporation. He served as President of Engineered Materials Division at Berry Global, Inc formerly known as Berry Plastics Corporation until November 2014. He served as President and Chief Operating Officer of Berry Plastics Group, Inc. from October 03, 2016 to February 03, 2017. Mr. Salmon served as President of Covalence Specialty Adhesives LLC. He served as President of Rigid Closed Top Division at Berry Plastics Group, Inc. since November 17, 2014 until November 2015. Mr. Salmon served as President of Consumer Packaging Division since November 2015 until October 3, 2016. He served as President of Engineered Materials Division at Berry Plastics Group, Inc. from 2003 to November 17, 2014. Mr. Salmon previously served as President of Tapes & Coatings Division at Berry Plastics Technical Services, Inc. He previously served as President of Tapes & Coatings Division for Berry Plastics Corporation. Mr. Salmon previously served as President of Tapes & Coatings Division - Berry Plastics Group Inc. at Captive Holdings, Inc. He previously served as President of Tapes & Coatings Division - Berry Plastics Holding Corporation at Berry Plastics Design Corp. Mr. Salmon previously served as President of Tapes & Coatings Division - Berry Plastics Holdings Corp at Berry Iowa, LLC. He was General Manager for Honeywell Plastics from 2001 to 2003, Global Sales Director for Allied Signal’s Engineering Plastics and Films from 1999 to 2001 and GE Plastics and GE Lighting, divisions of General Electric. He previously served as President of Tapes & Coatings Division at Berry Plastics Acquisition Corporation XIII. He serves as the Chairman of Berry Plastics Group; Inc. since February 02, 2018. Mr. Salmon holds a Bachelor of Business Administration in Business, Management and Marketing from Saint Bonaventure University in Western New York from 1981 to 1985.

CEO Compensation
  • Tom's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Tom's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Berry Global Group management team in years:

4
Average Tenure
49.5
Average Age
  • The tenure for the Berry Global Group management team is about average.
Management Team

Tom Salmon

TITLE
CEO & Chairman of the Board
COMPENSATION
$5M
AGE
55
TENURE
2.3 yrs

Mark Miles

TITLE
CFO & Treasurer
COMPENSATION
$2M
AGE
47
TENURE
5.4 yrs

Curt Begle

TITLE
President of Health
COMPENSATION
$1M
AGE
43
TENURE
4.6 yrs

Jean-Marc Galvez

TITLE
President of Consumer Packaging Division
COMPENSATION
$1M
AGE
51
TENURE
2.4 yrs

Rodgers Greenawalt

TITLE
Executive Vice President of Operations
TENURE
6.4 yrs

Debbie Garrison

TITLE
Executive VP & Chief Information Officer
TENURE
3.4 yrs

Dustin Stilwell

TITLE
Head of Investor Relations

Jason Greene

TITLE
Executive VP
AGE
48
TENURE
3.3 yrs

Brett Bauer

TITLE
Executive Vice President of Strategic Corporate Development

Ed Stratton

TITLE
Executive Vice President of Human Resources
AGE
59
TENURE
8.4 yrs
Board of Directors Tenure

Average tenure and age of the Berry Global Group board of directors in years:

4.9
Average Tenure
61
Average Age
  • The tenure for the Berry Global Group board of directors is about average.
Board of Directors

Tom Salmon

TITLE
CEO & Chairman of the Board
COMPENSATION
$5M
AGE
55
TENURE
1.3 yrs

Rick Rickertsen

TITLE
Director
COMPENSATION
$236K
AGE
58
TENURE
6.4 yrs

Ronald Rolfe

TITLE
Director
COMPENSATION
$236K
AGE
73
TENURE
5.7 yrs

Steve Sterrett

TITLE
Lead Independent Director
COMPENSATION
$253K
AGE
62
TENURE
1.1 yrs

Evan Bayh

TITLE
Director
COMPENSATION
$221K
AGE
63
TENURE
7.7 yrs

Idie Kesner

TITLE
Director
COMPENSATION
$221K
AGE
60
TENURE
5.2 yrs

Jon Foster

TITLE
Director
COMPENSATION
$221K
AGE
57
TENURE
5.2 yrs

Robert Steele

TITLE
Director
COMPENSATION
$221K
AGE
63
TENURE
4.7 yrs

Scott Ullem

TITLE
Director
COMPENSATION
$221K
AGE
51
TENURE
2.9 yrs

Paula Sneed

TITLE
Director
COMPENSATION
$185K
AGE
70
TENURE
1.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
X
Management checks
We assess Berry Global Group's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Berry Global Group has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Is There An Opportunity With Berry Global Group, Inc.'s (NYSE:BERY) 24% Undervaluation?

Where possible we use analyst estimates, but when these aren't available we extrapolate the previous free cash flow (FCF) from the last estimate or reported value. … A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, so we need to discount the sum of these future cash flows to arrive at a present value estimate: 10-year free cash flow (FCF) forecast 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Levered FCF ($, Millions) $672.08 $693.25 $719.00 $726.79 $738.25 $752.45 $768.74 $786.69 $805.98 $826.43 Growth Rate Estimate Source Analyst x4 Analyst x4 Analyst x1 Est @ 1.08% Est @ 1.58% Est @ 1.92% Est @ 2.17% Est @ 2.33% Est @ 2.45% Est @ 2.54% Present Value ($, Millions) Discounted @ 10.51% $608.16 $567.67 $532.76 $487.32 $447.93 $413.13 $381.94 $353.68 $327.90 $304.24 Present Value of 10-year Cash Flow (PVCF)= $4.42b "Est" = FCF growth rate estimated by Simply Wall St After calculating the present value of future cash flows in the intial 10-year period, we need to calculate the Terminal Value, which accounts for all future cash flows beyond the first stage. … Terminal Value (TV) = FCF2029 × (1 + g) ÷ (r – g) = US$826m × (1 + 2.7%) ÷ (10.5% – 2.7%) = US$11b Present Value of Terminal Value (PVTV) = TV / (1 + r)10 = $US$11b ÷ ( 1 + 10.5%)10 = $4.02b The total value is the sum of cash flows for the next ten years plus the discounted terminal value, which results in the Total Equity Value, which in this case is $8.44b.

Simply Wall St -

Did You Miss Berry Global Group's (NYSE:BERY) Impressive 101% Share Price Gain?

View our latest analysis for Berry Global Group While markets are a powerful pricing mechanism, share prices reflect investor sentiment, not just underlying business performance. … Over half a decade, Berry Global Group managed to grow its earnings per share at 34% a year. … Before deciding if you like the current share price, check how Berry Global Group scores on these 3 valuation metrics.

Simply Wall St -

Berry Global Group, Inc. (NYSE:BERY): Can Growth Justify Its May Share Price?

Growth expectations for Berry Global Group, Inc. … What can we expect from Berry Global Group in the future. … According to the analysts covering the company, the following few years should bring about good growth prospects for Berry Global Group

Simply Wall St -

When Should You Buy Berry Global Group, Inc. (NYSE:BERY)?

Berry Global Group, Inc. … As a mid-cap stock with high coverage by analysts, you could assume any recent changes in the company’s outlook is already priced into the stock? … Today I will analyse the most recent data on Berry Global Group’s outlook and valuation to see if the opportunity still exists

Simply Wall St -

Here's What Berry Global Group, Inc.'s (NYSE:BERY) P/E Ratio Is Telling Us

The goal of this article is to teach you how to use price to earnings ratios (P/E ratios). … We'll look at Berry Global Group, Inc.'s (NYSE:BERY) P/E ratio and reflect on what it tells us about the company's share price. … Berry Global Group has a P/E ratio of 16.53, based on the last twelve months.

Simply Wall St -

Calculating The Intrinsic Value Of Berry Global Group, Inc. (NYSE:BERY)

Help shape the future of investing tools and you could win a $250 gift card! … by estimating the company's future cash flows and discounting them to their present value. … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model.

Simply Wall St -

Should You Be Excited About Berry Global Group, Inc.'s (NYSE:BERY) 35% Return On Equity?

To keep the lesson grounded in practicality, we'll use ROE to better understand Berry Global Group, Inc. … Berry Global Group has a ROE of 35%, based on the last twelve months. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Is It Too Late To Consider Buying Berry Global Group, Inc. (NYSE:BERY)?

(NYSE:BERY), which is in the packaging business, and is based in United States,. … As a mid-cap stock with high coverage by analysts, you could assume any recent changes in the company’s outlook is already priced into the stock? … Let’s take a look at Berry Global Group’s outlook and value based on the most recent financial data to see if the opportunity still exists

Simply Wall St -

Berry Global Group, Inc. (NYSE:BERY): What Are The Future Prospects?

The latest earnings release Berry Global Group, Inc.'s (NYSE:BERY) announced in September 2018a

Simply Wall St -

How Much Are Berry Global Group, Inc. (NYSE:BERY) Insiders Spending On Buying Shares?

We've lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. … So we'll take a look at whether insiders have been buying or selling shares in Berry Global Group, Inc. … Berry Global Group Insider Transactions Over The Last Year.

Simply Wall St -

Company Info

Description

Berry Global Group, Inc. manufactures and supplies non-woven, flexible, and rigid products. The company operates through three segments: Engineered Materials; Health, Hygiene & Specialties; and Consumer Packaging. The Engineered Materials segment offers engineered materials, including stretch and shrink films, and converter films; trash-can liners and food bags; cloth and foil, splicing and laminating, flame-retardant, flashing and seaming tapes, double-faced cloth, masking, mounting, OEM, and medical and specialty tapes; and food and consumer films, retail bags, and polyvinyl chloride films. The Health, Hygiene & Specialties segment provides medical garment materials, surgical drapes, household cleaning wipes, and face masks for infection prevention; components for baby diapers and other absorbent hygiene products, elastic films and laminates, and substrates for dryer sheets; and products and components of products for corrosion protection, cable wrap, geosynthetics, and specialty filtration products. The Consumer Packaging segment offers containers for branded and private label customers; lightweight polypropylene cups and lids for hot and cold beverages; child-resistant, continuous-thread, and tamper closures, as well as aerosol overcaps; bottles and prescription vials; and extruded and laminate tubes. The company primarily serves household, healthcare, personal care, food and beverage, and industrial markets through direct sales force and distributors in North America, South America, Europe, and Asia. The company was formerly known as Berry Plastics Group, Inc. and changed its name to Berry Global Group, Inc. in April 2017. Berry Global Group, Inc. was founded in 1967 and is headquartered in Evansville, Indiana.

Details
Name: Berry Global Group, Inc.
BERY
Exchange: NYSE
Founded: 1967
$6,678,700,000
131,600,000
Website: http://www.berryglobal.com
Address: Berry Global Group, Inc.
101 Oakley Street,
Evansville,
Indiana, 47710,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE BERY Common Stock New York Stock Exchange US USD 04. Oct 2012
DB BP0 Common Stock Deutsche Boerse AG DE EUR 04. Oct 2012
LSE 0HN1 Common Stock London Stock Exchange GB USD 04. Oct 2012
Number of employees
Current staff
Staff numbers
24,000
Berry Global Group employees.
Industry
Metal and Glass Containers
Materials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/06/16 00:39
End of day share price update: 2019/06/14 00:00
Last estimates confirmation: 2019/06/04
Last earnings filing: 2019/05/02
Last earnings reported: 2019/03/30
Last annual earnings reported: 2018/09/29


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.