Market Cap
US$1.7b
Last Updated
2020/04/03 13:29 UTC
Data Sources
Company Financials +
Executive Summary
Greif, Inc. produces and sells industrial packaging products and services worldwide.
Rewards
Risk Analysis
Snowflake Analysis
Very undervalued established dividend payer.
Similar Companies
Share Price & News
How has Greif's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: GEF's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
4.7%
GEF
-0.8%
US Packaging
-4.1%
US Market
1 Year Return
-23.7%
GEF
-18.5%
US Packaging
-14.9%
US Market
Return vs Industry: GEF underperformed the US Packaging industry which returned -18.5% over the past year.
Return vs Market: GEF underperformed the US Market which returned -14.9% over the past year.
Shareholder returns
| GEF | Industry | Market | |
|---|---|---|---|
| 7 Day | 4.7% | -0.8% | -4.1% |
| 30 Day | -10.8% | -16.9% | -19.1% |
| 90 Day | -27.8% | -22.2% | -23.4% |
| 1 Year | -19.7%-23.7% | -16.6%-18.5% | -13.2%-14.9% |
| 3 Year | -35.4%-42.6% | -3.4%-9.8% | 10.7%3.5% |
| 5 Year | -1.8%-19.9% | 4.1%-8.7% | 28.5%14.5% |
Price Volatility Vs. Market
How volatile is Greif's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Do Insiders Own Shares In Greif, Inc. (NYSE:GEF)?2 weeks ago | Simply Wall St
The President of Greif, Inc. (NYSE:GEF), Peter Watson, Just Bought 5.5% More Shares3 weeks ago | Simply Wall St
What Is Greif's (NYSE:GEF) P/E Ratio After Its Share Price Tanked?Valuation
Is Greif 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: GEF ($31.5) is trading below our estimate of fair value ($74.27)
Significantly Below Fair Value: GEF is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: GEF is good value based on its PE Ratio (8.8x) compared to the Packaging industry average (14.4x).
PE vs Market: GEF is good value based on its PE Ratio (8.8x) compared to the US market (12.5x).
Price to Earnings Growth Ratio
PEG Ratio: GEF is good value based on its PEG Ratio (0.8x)
Price to Book Ratio
PB vs Industry: GEF is good value based on its PB Ratio (1.3x) compared to the US Packaging industry average (2.5x).
Next Steps
Future Growth
How is Greif forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?
11.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: GEF's forecast earnings growth (11% per year) is above the savings rate (1.7%).
Earnings vs Market: GEF's earnings (11% per year) are forecast to grow slower than the US market (12.2% per year).
High Growth Earnings: GEF's earnings are forecast to grow, but not significantly.
Revenue vs Market: GEF's revenue (0.7% per year) is forecast to grow slower than the US market (7.1% per year).
High Growth Revenue: GEF's revenue (0.7% 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 GEF's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has Greif performed over the past 5 years?
24.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: GEF has a large one-off loss of $80.0M impacting its January 31 2020 financial results.
Growing Profit Margin: GEF's current net profit margins (3.6%) are lower than last year (4.7%).
Past Earnings Growth Analysis
Earnings Trend: GEF's earnings have grown significantly by 24.4% per year over the past 5 years.
Accelerating Growth: GEF's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: GEF had negative earnings growth (-4.9%) over the past year, making it difficult to compare to the Packaging industry average (-5.6%).
Return on Equity
High ROE: GEF's Return on Equity (15.7%) is considered low.
Next Steps
Financial Health
How is Greif's financial position?
Financial Position Analysis
Short Term Liabilities: GEF's short term assets ($1.3B) exceed its short term liabilities ($824.2M).
Long Term Liabilities: GEF's short term assets ($1.3B) do not cover its long term liabilities ($3.7B).
Debt to Equity History and Analysis
Debt Level: GEF's debt to equity ratio (230.5%) is considered high.
Reducing Debt: GEF's debt to equity ratio has increased from 101.7% to 230.5% over the past 5 years.
Debt Coverage: GEF's debt is not well covered by operating cash flow (14.6%).
Interest Coverage: GEF's interest payments on its debt are well covered by EBIT (3.5x coverage).
Balance Sheet
Inventory Level: GEF has a high level of physical assets or inventory.
Debt Coverage by Assets: GEF's debt is not covered by short term assets (assets are 0.5x debt).
Next Steps
Dividend
What is Greif's current dividend yield, its reliability and sustainability?
5.59%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: GEF's dividend (5.59%) is higher than the bottom 25% of dividend payers in the US market (2.04%).
High Dividend: GEF's dividend (5.59%) is low compared to the top 25% of dividend payers in the US market (5.7%).
Stability and Growth of Payments
Stable Dividend: GEF's dividends per share have been stable in the past 10 years.
Growing Dividend: GEF's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (48.9%), GEF's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: GEF's dividends in 3 years are forecast to be well covered by earnings (46.4% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.4yrs
Average management tenure
CEO
Pete Watson (62yo)
4.42s
Tenure
US$7,974,525
Compensation
Mr. Peter G. Watson, also known as Pete, has been the Chief Executive Officer and President of Greif, Inc. since November 1, 2015. Mr. Watson served as the Chief Operating Officer at Greif, Inc. (Formerly, ...
CEO Compensation Analysis
Compensation vs Market: Pete's total compensation ($USD7.97M) is above average for companies of similar size in the US market ($USD4.70M).
Compensation vs Earnings: Pete's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 4.42yrs | US$7.97m | 0.41% $7.0m | |
| Executive VP & CFO | 5.92yrs | US$3.37m | 0.34% $5.7m | |
| Executive VP | 18.25yrs | US$3.44m | 0.17% $3.0m | |
| Senior VP of Enterprise Strategy | 4.92yrs | US$1.97m | 0.062% $1.1m | |
| Senior Vice President of Rigid Industrial Packaging & Services and Global Sustainability | 2.83yrs | US$1.64m | 0.060% $1.0m | |
| Chief Accounting Officer | 6yrs | no data | 0.030% $520.4k | |
| VP & Chief Administrative Officer | 3.83yrs | no data | 0.048% $822.2k | |
| Vice President of Investor Relations & Corporate Communications | 4.42yrs | no data | no data | |
| Senior VP & Chief Human Resources Officer | 1.42yrs | no data | 0.019% $319.6k | |
| Senior VP and President of Paper Packaging & Services | 1.08yrs | no data | 0.054% $925.7k |
4.4yrs
Average Tenure
55yo
Average Age
Experienced Management: GEF's management team is considered experienced (4.4 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 4.42yrs | US$7.97m | 0.41% $7.0m | |
| Independent Director | 14.17yrs | US$238.50k | 0.096% $1.6m | |
| Independent Chairman | 26.25yrs | US$367.37k | 0.42% $7.2m | |
| Independent Director | 12.42yrs | US$228.50k | 0.068% $1.2m | |
| Independent Director | 15.67yrs | US$235.00k | 0.077% $1.3m | |
| Independent Director | 24.25yrs | US$250.80k | 0.074% $1.3m | |
| Independent Director | 16.83yrs | US$240.00k | 5.23% $89.7m | |
| Independent Director | 12.17yrs | US$225.00k | 0.073% $1.2m | |
| Director | 0.083yr | no data | 0.031% $532.6k | |
| Independent Director | 10.67yrs | US$229.10k | 7.96% $136.5m |
13.3yrs
Average Tenure
65.5yo
Average Age
Experienced Board: GEF's board of directors are seasoned and experienced ( 13.3 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: GEF 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
Greif, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Greif, Inc.
- Ticker: GEF
- Exchange: NYSE
- Founded: 1877
- Industry: Metal and Glass Containers
- Sector: Materials
- Market Cap: US$1.714b
- Shares outstanding: 48.27m
- Website: https://www.greif.com
Number of Employees
Location
- Greif, Inc.
- 425 Winter Road
- Delaware
- Ohio
- 43015
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| GEF | NYSE (New York Stock Exchange) | Yes | Class A Common Stock | US | USD | Dec 1972 |
| GR3 | DB (Deutsche Boerse AG) | Yes | Class A Common Stock | DE | EUR | Dec 1972 |
| GEF.B | NYSE (New York Stock Exchange) | Class B Common Stock | US | USD | Mar 1996 |
Biography
Greif, Inc. produces and sells industrial packaging products and services worldwide. It operates through four segments: Rigid Industrial Packaging & Services; Paper Packaging & Services; Flexible Products & Services; and Land Management. The Rigid Industrial Packaging & Services segment offers rigid industrial packaging products, including steel, fiber, and plastic drums; rigid intermediate bulk containers; closure systems for industrial packaging products; transit protection products; water bottles, and remanufactured and reconditioned industrial containers; and services, such as container life cycle management, filling, logistics, warehousing, and other packaging services. This segment sells its products to customers in the chemicals, paints and pigments, food and beverage, petroleum, industrial coatings, agricultural, pharmaceutical and mineral products, and others industries. The Paper Packaging & Services segment provides containerboards, corrugated sheets, corrugated containers, and other corrugated products to customers in the packaging, automotive, food, and building products industries. This segment’s corrugated container products are used to ship various products, such as home appliances, small machinery, grocery products, automotive components, books, and furniture, as well as various other applications. The Flexible Products & Services segment offers flexible intermediate bulk containers comprising polypropylene-based woven fabric, as well as related services to the agricultural, food, and other industries. The Land Management segment engages in harvesting and regeneration of timber properties; and sale of timberland and special use land. As of October 31, 2019, this segment owned approximately 251,000 acres of timber property in the southeastern United States. The company was formerly known as Greif Bros. Corporation and changed its name to Greif, Inc. in 2001. Greif, Inc. was founded in 1877 and is headquartered in Delaware, Ohio.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/03 13:29 |
| End of Day Share Price | 2020/04/02 00:00 |
| Earnings | 2020/01/31 |
| Annual Earnings | 2019/10/31 |
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.