Greif

NYSE:GEF

Snowflake Description

Very undervalued 6 star dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.

GEF

NYSE

$2B

Market Cap

Add to portfolio

Home
US
Materials

Last updated 2019/08/16 23:47

Company description

Greif, Inc. produces and sells industrial packaging products and services worldwide. The last earnings update was 70 days ago. More info.

Find similar companies

Add to Portfolio Compare Print

GEF Share Price and Events

7 Day Returns

-5.5%

NYSE:GEF

-2.9%

US Packaging

-3.1%

US Market

1 Year Returns

-39.7%

NYSE:GEF

2.7%

US Packaging

-1.7%

US Market

GEF Shareholder Return

	7 Day	30 Day	90 Day	1 Year	3 Year	5 Year
Greif (GEF)	-5.5%	-6.6%	-14.6%	-39.7%	-23.6%	-36.5%
US Packaging	-2.9%	-3.4%	0%	2.7%	14.2%	26.4%
US Market	-3.1%	-5.3%	-1.2%	-1.7%	28.2%	35%

1 Year Return vs Industry and Market

GEF underperformed the Packaging industry which returned 2.7% over the past year.
GEF underperformed the Market in United States of America which returned -1.7% over the past year.

Price Volatility

GEF

Industry

5yr Volatility vs Market

Related Companies

Value

Is Greif 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 Greif 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 Greif.

NYSE:GEF Discounted Cash Flow Data Sources
Data Point	Source	Value
Valuation Model		2 Stage Free Cash Flow to Equity
Levered Free Cash Flow	Average of 6 Analyst Estimates (S&P Global)	See below
Discount Rate (Cost of Equity)	See below	12.3%
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:GEF
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	0.8
Re-levered Beta	= Unlevered beta (1 + (1- tax rate) (Debt/Equity)) = 0.8 (1 + (1- 21%) (173.15%))	1.599
Levered Beta	Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm)	1.6
Discount Rate/ Cost of Equity	= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium) = 2.73% + (1.599 * 5.96%)	12.26%

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

The calculations below outline how an intrinsic value for Greif 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.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

NYSE:GEF DCF 1st Stage: Next 10 year cash flow forecast
	Levered FCF (USD, Millions)	Source	Present Value Discounted (@ 12.26%)
2020	268.55	Analyst x4	239.23
2021	290.00	Analyst x1	230.12
2022	377.00	Analyst x2	266.49
2023	419.15	Est @ 11.18%	263.94
2024	455.39	Est @ 8.65%	255.44
2025	486.68	Est @ 6.87%	243.18
2026	514.07	Est @ 5.63%	228.82
2027	538.53	Est @ 4.76%	213.54
2028	560.88	Est @ 4.15%	198.11
2029	581.77	Est @ 3.72%	183.05
Present value of next 10 years cash flows			$2,321.93

NYSE:GEF DCF 2nd Stage: Terminal Value
	Calculation	Result
Terminal Value	= FCF₂₀₂₉ × (1 + g) ÷ (Discount Rate – g) = $581.77 × (1 + 2.73%) ÷ (12.26% – 2.73%)	$6,272.56
Present Value of Terminal Value	= Terminal Value ÷ (1 + r)¹⁰ = $6,272.56 ÷ (1 + 12.26%)¹⁰	$1,973.64

NYSE:GEF Total Equity Value
	Calculation	Result
Total Equity Value	= Present value of next 10 years cash flows + Terminal Value = $2,321.93 + $1,973.64	$4,295.57
Equity Value per Share (USD)	= Total value / Shares Outstanding = $4,295.57 / 48.27	$88.98

NYSE:GEF Discount to Share Price
	Calculation	Result
Value per share (USD)	From above.	$88.98
Current discount	Discount to share price of $31.96 = -1 x ($31.96 - $88.98) / $88.98	64.1%

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

Current Discount

Amount off the current price Greif is available for.

^>50%

Share price is $31.96 vs Future cash flow value of $88.98

Current Discount Checks

For Greif to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.

Greif's share price is below the future cash flow value, and at a moderate discount (> 20%).
Greif's share price is below the future cash flow value, and 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 Greif's earnings, growth and assets is considered below, and whether this is a fair price.

Price based on past earnings

Are Greif's earnings available for a low price, and how does this compare to other companies in the same industry?

Raw Data

NYSE:GEF PE (Price to Earnings) Ratio Data Sources
Data Point	Source	Value
Earnings Per Share *	Company Filings (2019-04-30) in USD	$3.15
NYSE:GEF Share Price **	NYSE (2019-08-16) in USD	$31.96
United States of America Packaging Industry PE Ratio	Median Figure of 15 Publicly-Listed Packaging Companies	16.6x
United States of America Market PE Ratio	Median Figure of 3,093 Publicly-Listed Companies	17.02x

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

** Primary Listing of Greif.

NYSE:GEF PE (Price to Earnings) Ratio Calculation
	Calculation	Outcome
PE Ratio	= NYSE:GEF Share Price ÷ EPS (both in USD) = 31.96 ÷ 3.15	10.16x

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

Greif is good value based on earnings compared to the US Packaging industry average.
Greif is good value based on earnings compared to the United States of America market.

Price based on expected Growth

Does Greif's expected growth come at a high price?

Raw Data

NYSE:GEF PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point	Source	Value
PE Ratio	See PE Ratio Section	10.16x
Net Income Annual Growth Rate	See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 6 Analysts	16.9%per year
United States of America Packaging Industry PEG Ratio	Median Figure of 15 Publicly-Listed Packaging Companies	1.26x
United States of America Market PEG Ratio	Median Figure of 2,115 Publicly-Listed Companies	1.38x

*Line of best fit is calculated by linear regression .

NYSE:GEF PEG (Price to Earnings to Growth) Ratio Calculation
	Calculation	Outcome
PEG Ratio	= PE Ratio ÷ Net Income Annual Growth Rate = 10.16x ÷ 16.9%	0.6x

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

Greif is good value based on expected growth next year.

Price based on value of assets

What value do investors place on Greif's assets?

Raw Data

NYSE:GEF PB (Price to Book) Ratio Data Sources
Data Point	Source	Value
Book Value per Share	Company Filings (2019-04-30) in USD	$22.51
NYSE:GEF Share Price *	NYSE (2019-08-16) in USD	$31.96
United States of America Packaging Industry PB Ratio	Median Figure of 20 Publicly-Listed Packaging Companies	3.31x
United States of America Market PB Ratio	Median Figure of 5,261 Publicly-Listed Companies	1.67x

NYSE:GEF PB (Price to Book) Ratio Calculation
	Calculation	Outcome
PB Ratio	= NYSE:GEF Share Price ÷ Book Value per Share (both in USD) = 31.96 ÷ 22.51	1.42x

* Primary Listing of Greif.

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

Greif is good value based on assets compared to the US Packaging industry average.

Show me more potentially undervalued companies in the Packaging industry

Value checks

We assess Greif's value by looking at:

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. )
Is the PE ratio less than the market average, and/ or less than the Packaging industry average (and greater than 0)? (2 checks)
Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
Is the PB ratio less than the Packaging industry average (and greater than 0)? (1 check)

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

Future Performance

How is Greif expected to perform in the next 1 to 3 years based on estimates from 6 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!

16.9%

Expected annual growth in earnings.

Earnings growth vs Low Risk Savings

Is Greif expected to grow at an attractive rate?

Greif's earnings growth is expected to exceed the low risk savings rate of 2.7%.

Growth vs Market Checks

Greif's earnings growth is expected to exceed the United States of America market average.
Greif's revenue growth is positive but not above the United States of America market average.

Annual Growth Rates Comparison

Raw Data

NYSE:GEF Future Growth Rates Data Sources
Data Point	Source	Value (per year)
NYSE:GEF Future Earnings Growth Rate	Line of Best Fit* through Consensus Estimate Earnings of 6 Analysts	16.9%
NYSE:GEF Future Revenue Growth Rate	Line of Best Fit* through Consensus Estimate Revenue of 6 Analysts	4.6%
United States of America Packaging Industry Earnings Growth Rate	Market Cap Weighted Average	15.4%
United States of America Packaging Industry Revenue Growth Rate	Market Cap Weighted Average	3.3%
United States of America Market Earnings Growth Rate	Market Cap Weighted Average	14%
United States of America Market Revenue Growth Rate	Market Cap Weighted Average	7.4%

*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:GEF Analysts Growth Expectations Data Sources
Data Point	Source	Value
Past Financials	Company Filings (3 months ago)	See Below
Future Estimates	Average of up to 6 Analyst Estimates (S&P Global)	See Below

All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:GEF Future Estimates Data
Date (Data in USD Millions)	Revenue	Cash Flow	Net Income *	Avg. No. Analysts
2022-10-31	5,136	494	279	1
2021-10-31	5,063	460	258	1
2020-10-31	5,147	427	230	6
2019-10-31	4,782	364	181	6

NYSE:GEF Past Financials Data
Date (Data in USD Millions)	Revenue	Cash Flow	Net Income *
2019-04-30	4,110	301	151
2019-01-31	3,865	297	183
2018-10-31	3,874	253	209
2018-07-31	3,854	256	203
2018-04-30	3,804	294	179
2018-01-31	3,723	295	170
2017-10-31	3,638	305	119
2017-07-31	3,538	248	94
2017-04-30	3,421	259	96
2017-01-31	3,373	283	91
2016-10-31	3,324	301	75
2016-07-31	3,325	291	79

*GAAP earnings excluding extraordinary items.

High Growth Checks

Greif's earnings are expected to grow by 16.9% yearly, however this is not considered high growth (20% yearly).
Greif's revenue is expected to grow by 4.6% 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:GEF Past and Future Earnings per Share
Data Point	Source	Value
Past Financials	Company Filings (3 months ago)	See Below
Future Estimates	Average of up to 6 Analyst Estimates (S&P Global)	See Below

All data from Greif Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:GEF Future Estimates Data
Date (Data in USD Millions)	EPS *	EPS High Estimate	EPS Low Estimate	Avg. No. Analysts
2022-10-31	4.70	4.70	4.70	1.00
2021-10-31	4.35	4.35	4.35	1.00
2020-10-31	3.88	4.25	3.25	4.00
2019-10-31	3.10	3.23	3.01	3.00

NYSE:GEF Past Financials Data
Date (Data in USD Millions)	EPS *
2019-04-30	3.15
2019-01-31	3.81
2018-10-31	4.37
2018-07-31	4.23
2018-04-30	3.74
2018-01-31	3.55
2017-10-31	2.48
2017-07-31	1.96
2017-04-30	2.01
2017-01-31	1.91
2016-10-31	1.57
2016-07-31	1.65

*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.

Unable to establish if Greif will efficiently use shareholders’ funds in the future without estimates of Return on Equity.

Future performance checks

We assess Greif's future performance by looking at:

Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
Is the annual earnings growth rate expected to be above 20%? (1 check)
Is the annual revenue growth rate expected to be above 20%? (1 check)
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.
Greif has a total score of 2/6, 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 Greif 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 Greif'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.

Greif's year on year earnings growth rate has been positive over the past 5 years.
Greif's 1-year earnings growth is negative, it can't be compared to the 5-year average.
Greif's 1-year earnings growth is negative, it can't be compared to the US Packaging industry average.

Earnings and Revenue History

Greif'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 Greif Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:GEF Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions)	Revenue	Net Income *	G+A Expenses
2019-04-30	4,110.10	151.10	431.70
2019-01-31	3,865.10	182.60	397.00
2018-10-31	3,873.80	209.40	403.80
2018-07-31	3,854.20	202.60	405.70
2018-04-30	3,803.90	178.80	396.80
2018-01-31	3,723.00	169.70	389.40
2017-10-31	3,638.20	118.60	380.60
2017-07-31	3,537.70	93.80	382.60
2017-04-30	3,420.90	96.00	382.80
2017-01-31	3,373.10	91.40	380.20
2016-10-31	3,323.60	74.90	376.80
2016-07-31	3,324.50	78.80	376.30
2016-04-30	3,409.50	41.30	380.60
2016-01-31	3,485.80	30.70	394.60
2015-10-31	3,616.70	71.90	413.20
2015-07-31	3,796.30	68.20	429.20
2015-04-30	3,990.30	73.30	461.40
2015-01-31	4,139.90	90.90	485.60
2014-10-31	4,239.10	91.50	496.70
2014-07-31	4,183.70	117.00	498.70
2014-04-30	4,189.40	150.00	486.00
2014-01-31	4,212.80	151.80	475.20
2013-10-31	4,219.90	144.70	476.50
2013-07-31	4,302.80	136.30	476.30
2013-04-30	4,276.00	127.10	475.10
2013-01-31	4,285.30	124.30	471.90
2012-10-31	4,129.50	118.10	461.60

*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.

Greif has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
Greif used its assets less efficiently than the US Packaging industry average last year based on Return on Assets.
Greif's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).

Past performance checks

We assess Greif's performance over the past 5 years by checking for:

Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the Packaging industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
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.
Greif has a total score of 1/6, 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 Greif'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 Greif's finances.

The net worth of a company is the difference between its assets and liabilities.

Net Worth

Greif is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
Greif's long term commitments exceed its cash and other short term assets.

Balance sheet

This treemap shows a more detailed breakdown of Greif'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 0.5x 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 Greif Company Filings, last reported 3 months ago.

NYSE:GEF Past Debt and Equity Data
Date (Data in USD Millions)	Total Equity	Total Debt	Cash & Short Term Investments
2019-04-30	1,160.70	2,993.80	89.80
2019-01-31	1,195.40	1,137.40	84.50
2018-10-31	1,189.70	962.10	94.20
2018-07-31	1,192.00	1,092.30	100.90
2018-04-30	1,163.10	1,098.20	108.20
2018-01-31	1,160.00	1,086.10	94.30
2017-10-31	1,079.00	1,019.80	142.30
2017-07-31	1,072.50	1,111.60	94.60
2017-04-30	1,019.80	1,127.40	87.00
2017-01-31	997.70	1,157.00	106.80
2016-10-31	989.70	1,078.50	103.70
2016-07-31	1,026.50	1,167.40	94.30
2016-04-30	1,035.90	1,206.80	89.60
2016-01-31	990.30	1,221.70	65.30
2015-10-31	1,059.90	1,230.90	106.20
2015-07-31	1,092.50	1,273.00	101.70
2015-04-30	1,103.70	1,259.40	67.40
2015-01-31	1,148.30	1,249.80	55.80
2014-10-31	1,223.20	1,196.60	85.10
2014-07-31	1,384.10	1,367.90	65.00
2014-04-30	1,409.80	1,430.10	87.40
2014-01-31	1,374.60	1,496.60	82.00
2013-10-31	1,379.90	1,325.50	78.10
2013-07-31	1,335.10	1,360.60	94.90
2013-04-30	1,337.60	1,384.80	85.60
2013-01-31	1,338.20	1,462.60	91.60
2012-10-31	1,310.80	1,321.10	91.50

Greif's level of debt (257.9%) compared to net worth is high (greater than 40%).
The level of debt compared to net worth has increased over the past 5 years (101.4% vs 257.9% today).
Debt is not well covered by operating cash flow (10.1%, less than 20% of total debt).
Interest payments on debt are well covered by earnings (EBIT is 5.9x coverage).

Financial health checks

We assess Greif's financial health by checking for:

Are short term assets greater than short term liabilities? (1 check)
Are short term assets greater than long term liabilities? (1 check)
Has the debt to equity ratio increased in the past 5 years? (1 check)
Is the debt to equity ratio over 40%? (1 check)
Is the debt covered by operating cash flow? (1 check)
Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)

For companies that are loss making and have been so on average in the past we replace the last 2 checks with:

Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
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 Greif'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

5.51%

Current annual income from Greif dividends. Estimated to be 5.51% next year.

If you bought $2,000 of Greif shares you are expected to receive $110 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?

Greif's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.5%).
Greif's dividend is above the markets top 25% of dividend payers in United States of America (3.9%).

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:GEF 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 6 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 2009 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	3.9%

Industry and Market average data is calculated daily.

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

NYSE:GEF Future Dividends Estimate Data
Date (Data in $)	Dividend per Share (annual)	Avg. No. Analysts
2022-10-31	1.76	1.00
2021-10-31	1.76	1.00
2020-10-31	1.76	3.00
2019-10-31	1.76	3.00

NYSE:GEF Past Annualized Dividends Data
Date (Data in $)	Dividend per share (annual)	Avg. Yield (%)
2019-06-04	1.760	5.197
2019-02-26	1.760	4.476
2018-12-04	1.760	4.451
2018-08-28	1.760	3.429
2018-06-05	1.680	3.101
2018-02-27	1.680	2.996
2017-12-05	1.680	2.826
2017-08-29	1.680	3.000
2017-06-06	1.680	2.986
2017-02-28	1.680	2.986
2016-12-06	1.680	3.052
2016-08-30	1.680	3.434
2016-06-07	1.680	4.244
2016-03-01	1.680	5.112
2015-12-08	1.680	6.066
2015-09-01	1.680	5.025
2015-06-02	1.680	4.986
2015-03-03	1.680	4.206
2014-12-09	1.680	3.901
2014-08-26	1.680	3.734
2014-06-03	1.680	3.201
2014-02-24	1.680	3.191
2013-12-09	1.680	3.253
2013-09-03	1.680	3.223
2013-06-04	1.680	3.093
2013-02-25	1.680	3.314
2012-12-05	1.680	3.610
2012-09-07	1.680	3.906
2012-09-04	1.680	3.726
2012-06-06	1.680	4.001
2012-03-01	1.680	3.312
2011-12-06	1.680	3.518
2011-08-30	1.680	3.628
2011-06-07	1.680	2.789
2011-02-28	1.680	2.635
2010-12-07	1.680	2.659
2010-08-31	1.680	2.836
2010-06-01	1.680	2.933
2010-02-22	1.520	2.777
2009-12-08	1.520	2.911
2009-09-01	1.520	2.770
2009-06-02	1.520	3.180
2009-02-23	1.520	4.088
2008-12-09	1.520	4.831
2008-08-26	1.520	3.498

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

Dividends per share have been stable in the past 10 years.
Dividends per share have increased over the past 10 years.

Current Payout to shareholders

What portion of Greif's earnings are paid to the shareholders as a dividend.

Dividends paid are covered by earnings (1.8x coverage).

Future Payout to shareholders

Dividends after 3 years are expected to be well covered by earnings (2.6x coverage).

Show me more dividend paying companies in the Packaging industry

Income/ dividend checks

We assess Greif's dividend by checking for:

Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
Is current dividend yield above the bottom 25% of dividend payers? (1 check)
Is current dividend yield above the top 25% of dividend payers? (1 check)
Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
If they have paid a dividend for 10 years has it increased in this time? (1 check)
How sustainable is the dividend, can Greif afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)

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

Management

What is the CEO of Greif'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

Pete Watson

COMPENSATION	$10,187,093
AGE	62
TENURE AS CEO	3.8 years

CEO Bio

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, Greif Brothers Corp) from January 1, 2014 to November 1, 2015. He served as Vice President and Division President of Paper Packaging & Services at Greif, Inc. from January 2010 to September 2012. He served as Vice President, Service Solutions and General Manager of Sheet Plant Operations, Containerboard & Corrugated Products at Greif Brothers Corp., since 1999. During 1996 to 1999, he served as Vice President and General Manager at Concept Packaging Group. For more than five years, he served as General Manager for Union Camp Corporation. Mr. Watson has been a Director of Greif, Inc. since December 8, 2015.

CEO Compensation

Pete's compensation has increased by more than 20% in the past year whilst earnings fell less than 20%.
Pete's remuneration is higher than average for companies of similar size in United States of America.

Management Team Tenure

Average tenure and age of the Greif management team in years:

3.8

Average Tenure

Average Age

The tenure for the Greif management team is about average.

48

TENURE

0.8 yrs

Tim Bergwall

TITLE

Senior Vice President and Group President of Paper Packaging & Services and Soterra LLC

AGE

54

TENURE

0.4 yrs

Board of Directors Tenure

Average tenure and age of the Greif board of directors in years:

13.5

Average Tenure

Average Age

The average tenure for the Greif board of directors is over 10 years, this suggests they are a seasoned and experienced board.

10 yrs

Who owns this company?

Recent Insider Trading

More shares have been bought than sold by Greif individual insiders in the past 3 months.

Show me more companies with insider buying in the Packaging industry

Recent Insider Transactions

Announced	Type	Name	Entity	Start	End	Shares	Max Price ($)	Value ($)
12. Jul 19	Buy	Timothy Bergwall	Individual	10. Jul 19	10. Jul 19	500	$33.55	$16,775
08. Jul 19	Buy	Lawrence Hilsheimer	Individual	05. Jul 19	08. Jul 19	3,668	$33.97	$123,876
02. Jul 19	Buy	Peter Watson	Individual	02. Jul 19	02. Jul 19	15,000	$32.71	$490,650
02. Jul 19	Buy	Mark Emkes	Individual	02. Jul 19	02. Jul 19	1,190	$32.75	$38,968
10. Jan 19	Buy	Hari Kumar	Individual	09. Jan 19	09. Jan 19	4,501	$38.87	$174,954
02. Jan 19	Buy	Ole Rosgaard	Individual	31. Dec 18	31. Dec 18	3,000	$36.11	$108,330
28. Dec 18	Buy	Peter Watson	Individual	27. Dec 18	27. Dec 18	10,000	$33.26	$332,600

Management checks

We assess Greif's management by checking for:

Is the CEO's compensation unreasonable compared to market cap? (1 check)
Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
Is the average tenure of the management team less than 2 years? (1 check)
Is the average tenure of the board of directors team less than 3 years? (1 check)

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

Greif, Inc. (NYSE:GEF): What Does Its Beta Value Mean For Your Portfolio?

A stock with a beta below one is either less volatile than the market, or more volatile but not corellated with the overall market. … The fact that this is well above 1 indicates that its share price movements have shown sensitivity to overall market volatility. … What this means for you: Beta only tells us that the Greif share price is sensitive to broader market movements.

Simply Wall St - 1 day ago – Full article

Does Greif, Inc.'s (NYSE:GEF) CEO Pay Reflect Performance?

First, this article will compare CEO compensation with compensation at similar sized companies. … View our latest analysis for Greif How Does Pete Watson's Compensation Compare With Similar Sized Companies? … We examined companies with market caps from US$1.0b to US$3.2b, and discovered that the median CEO total compensation of that group was US$4.1m.

Simply Wall St - 1 week ago – Full article

What Are Analysts Saying About Greif, Inc.'s (NYSE:GEF) Growth?

After Greif, Inc.'s (NYSE:GEF) earnings announcement in April 2019, analyst consensus outlook appear cautiously optimistic, with profits predicted to increase by 41% next year relative to the past 5-year average growth rate of 18%. … To get an idea of the overall earnings growth trend for GEF, I’ve plotted out each year’s earnings expectations and inserted a line of best fit to determine an annual rate of growth from the slope of this line. … NYSE:GEF Past and Future Earnings, July 31st 2019 By 2022, GEF's earnings should reach US$372m, from current levels of US$209m, resulting in an annual growth rate of 17%.

Simply Wall St - 2 weeks ago – Full article

Did Greif, Inc. (NYSE:GEF) Use Debt To Deliver Its ROE Of 15%?

The formula for ROE is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for Greif: 15% = US$151m ÷ US$1.2b (Based on the trailing twelve months to April 2019.) Most know that net profit is the total earnings after all expenses, but the concept of shareholders' equity is a little more complicated. … How Does Debt Impact Return On Equity? … Combining Greif's Debt And Its 15% Return On Equity Greif does use a significant amount of debt to increase returns.

Simply Wall St - 3 weeks ago – Full article

Does Greif (NYSE:GEF) Have A Healthy Balance Sheet?

NYSE:GEF Historical Debt, July 15th 2019 A Look At Greif's Liabilities We can see from the most recent balance sheet that Greif had liabilities of US$809.4m falling due within a year, and liabilities of US$3.54b due beyond that. … Since Greif does have net debt, we think it is worthwhile for shareholders to keep an eye on the balance sheet, over time. … Overall, we think it's fair to say that Greif has enough debt that there are some real risks around the balance sheet.