Graphic Packaging Holding
Graphic Packaging Holding Company, together with its subsidiaries, provides paper-based packaging solutions to food, beverage, foodservice, and other consumer products companies. The last earnings update was 28 days ago. More info.
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GPK Share Price and Events
7 Day Returns
1 Year Returns
GPK Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| Graphic Packaging Holding (GPK) | -1.5% | -8.7% | 1.3% | -9.3% | -10.1% | 3.4% |
| US Packaging | -0.1% | -2.3% | 3.8% | 3.8% | 16.3% | 29.1% |
| US Market | -0.7% | -3% | 0.9% | -0.5% | 30.4% | 37% |
1 Year Return vs Industry and Market
- GPK underperformed the Packaging industry which returned 3.8% over the past year.
- GPK underperformed the Market in United States of America which returned -0.5% over the past year.
Value
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
Graphic Packaging Holding
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.
Below are the data sources, inputs and calculation used to determine the intrinsic value for Graphic Packaging Holding.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 12 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.
| 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))
= 0.803 (1 + (1- 21%) (85.26%)) |
1.231 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
1.23 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.231 * 5.96%) |
10.06% |
Discounted Cash Flow Calculation for NYSE:GPK using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for Graphic Packaging Holding 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.
| Levered FCF (USD, Millions) | Source |
Present Value Discounted (@ 10.06%) |
|
|---|---|---|---|
| 2020 | 530.00 | Analyst x4 | 481.53 |
| 2021 | 542.00 | Analyst x1 | 447.41 |
| 2022 | 554.94 | Est @ 2.39% | 416.20 |
| 2023 | 568.76 | Est @ 2.49% | 387.56 |
| 2024 | 583.33 | Est @ 2.56% | 361.14 |
| 2025 | 598.57 | Est @ 2.61% | 336.69 |
| 2026 | 614.42 | Est @ 2.65% | 314.00 |
| 2027 | 630.84 | Est @ 2.67% | 292.91 |
| 2028 | 647.80 | Est @ 2.69% | 273.28 |
| 2029 | 665.30 | Est @ 2.7% | 255.00 |
| Present value of next 10 years cash flows | $3,565.71 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2029
× (1 + g) ÷ (Discount Rate – g)
= $665.30 × (1 + 2.73%) ÷ (10.06% – 2.73%) |
$9,318.26 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= $9,318.26 ÷ (1 + 10.06%)10 |
$3,571.53 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= $3,565.71 + $3,571.53 |
$7,137.23 |
| Equity Value per Share (USD) |
= Total value / Shares Outstanding
= $7,137.23 / 293.97 |
$24.28 |
| Calculation | Result | |
|---|---|---|
| Value per share (USD) | From above. | $24.28 |
| Current discount | Discount to share price of
$13.01
= -1 x ($13.01 - $24.28) / $24.28 |
46.4% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
Current Discount
Current Discount Checks
- Graphic Packaging Holding's share price is below the future cash flow value, and at a moderate discount (> 20%).
- Graphic Packaging Holding'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 Graphic Packaging Holding's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
Graphic Packaging Holding's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2019-06-30) in USD | $0.87 |
| NYSE:GPK Share Price ** | NYSE (2019-08-19) in USD | $13.01 |
| United States of America Packaging Industry PE Ratio | Median Figure of 15 Publicly-Listed Packaging Companies | 16.87x |
| United States of America Market PE Ratio | Median Figure of 3,094 Publicly-Listed Companies | 17.25x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of Graphic Packaging Holding.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = NYSE:GPK Share Price ÷ EPS (both in USD) = 13.01 ÷ 0.87 |
14.93x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Graphic Packaging Holding is good value based on earnings compared to the US Packaging industry average.
- Graphic Packaging Holding is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does
Graphic Packaging Holding's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 14.93x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 12 Analysts |
5.4%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 2,126 Publicly-Listed Companies | 1.4x |
*Line of best fit is calculated by linear regression .
| Calculation | Outcome | |
|---|---|---|
| PEG Ratio | = PE Ratio ÷ Net Income Annual Growth Rate = 14.93x ÷ 5.4% |
2.75x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Graphic Packaging Holding is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on
Graphic Packaging Holding's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2019-06-30) in USD | $5.39 |
| NYSE:GPK Share Price * | NYSE (2019-08-19) in USD | $13.01 |
| United States of America Packaging Industry PB Ratio | Median Figure of 20 Publicly-Listed Packaging Companies | 3.32x |
| United States of America Market PB Ratio | Median Figure of 5,276 Publicly-Listed Companies | 1.7x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = NYSE:GPK Share Price ÷ Book Value per Share (both in USD) = 13.01 ÷ 5.39 |
2.41x |
* Primary Listing of Graphic Packaging Holding.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Graphic Packaging Holding is good value based on assets compared to the US Packaging industry average.
Value checks
We assess Graphic Packaging Holding'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) Graphic Packaging Holding has a total score of 5/6, 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
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!
Earnings growth vs Low Risk Savings
- Graphic Packaging Holding's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
- Graphic Packaging Holding's earnings growth is positive but not above the United States of America market average.
- Graphic Packaging Holding's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| NYSE:GPK Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 12 Analysts | 5.4% |
| NYSE:GPK Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 12 Analysts | 1.7% |
| 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 | 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 | 7.5% |
*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
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (1 month ago) | See Below |
| Future Estimates | Average of up to 12 Analyst Estimates (S&P Global) | See Below |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-12-31 | 6,382 | 256 | 4 | |
| 2020-12-31 | 6,341 | 847 | 297 | 12 |
| 2019-12-31 | 6,203 | 791 | 257 | 12 |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2019-06-30 | 6,093 | -14 | 264 |
| 2019-03-31 | 6,052 | -356 | 249 |
| 2018-12-31 | 6,023 | -374 | 221 |
| 2018-09-30 | 5,628 | -374 | 348 |
| 2018-06-30 | 5,236 | -389 | 301 |
| 2018-03-31 | 4,820 | -291 | 293 |
| 2017-12-31 | 4,404 | -193 | 300 |
| 2017-09-30 | 4,351 | 129 | 161 |
| 2017-06-30 | 4,317 | 291 | 172 |
| 2017-03-31 | 4,326 | 491 | 208 |
| 2016-12-31 | 4,298 | 74 | 228 |
| 2016-09-30 | 4,266 | 633 | 250 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (1 month ago) | See Below |
| Future Estimates | Average of up to 12 Analyst Estimates (S&P Global) | See Below |
All data from Graphic Packaging Holding Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-12-31 | 0.88 | 0.88 | 0.88 | 1.00 |
| 2020-12-31 | 0.99 | 1.18 | 0.88 | 5.00 |
| 2019-12-31 | 0.83 | 0.87 | 0.82 | 5.00 |
| Date (Data in USD Millions) | EPS * |
|---|---|
| 2019-06-30 | 0.87 |
| 2019-03-31 | 0.81 |
| 2018-12-31 | 0.71 |
| 2018-09-30 | 1.12 |
| 2018-06-30 | 0.97 |
| 2018-03-31 | 0.94 |
| 2017-12-31 | 0.96 |
| 2017-09-30 | 0.52 |
| 2017-06-30 | 0.54 |
| 2017-03-31 | 0.65 |
| 2016-12-31 | 0.71 |
| 2016-09-30 | 0.77 |
*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.
- Graphic Packaging Holding is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
Future performance checks
We assess Graphic Packaging Holding'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)
Graphic Packaging Holding has a total score of 1/6, 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 Graphic Packaging Holding 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
Past Earnings growth analysis
- Graphic Packaging Holding's year on year earnings growth rate has been positive over the past 5 years.
- Graphic Packaging Holding's 1-year earnings growth is negative, it can't be compared to the 5-year average.
- Graphic Packaging Holding's 1-year earnings growth is negative, it can't be compared to the US Packaging industry average.
Earnings and Revenue History
All data from Graphic Packaging Holding Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2019-06-30 | 6,093.40 | 263.50 | 476.90 | |
| 2019-03-31 | 6,051.50 | 249.10 | 457.10 | |
| 2018-12-31 | 6,023.00 | 221.10 | 450.80 | |
| 2018-09-30 | 5,628.20 | 347.50 | 418.10 | |
| 2018-06-30 | 5,235.80 | 300.50 | 392.80 | |
| 2018-03-31 | 4,819.60 | 293.10 | 361.30 | |
| 2017-12-31 | 4,403.70 | 300.20 | 330.80 | |
| 2017-09-30 | 4,351.00 | 161.20 | 350.90 | |
| 2017-06-30 | 4,317.10 | 171.70 | 342.40 | |
| 2017-03-31 | 4,325.60 | 207.50 | 354.60 | |
| 2016-12-31 | 4,298.10 | 228.00 | 364.80 | |
| 2016-09-30 | 4,265.80 | 250.30 | 350.60 | |
| 2016-06-30 | 4,232.10 | 252.70 | 355.40 | |
| 2016-03-31 | 4,186.00 | 232.50 | 351.40 | |
| 2015-12-31 | 4,160.20 | 230.10 | 347.70 | |
| 2015-09-30 | 4,136.40 | 214.40 | 344.30 | |
| 2015-06-30 | 4,116.40 | 207.20 | 344.20 | |
| 2015-03-31 | 4,176.00 | 109.60 | 350.00 | |
| 2014-12-31 | 4,240.50 | 89.70 | 365.50 | |
| 2014-09-30 | 4,314.30 | 94.20 | 373.30 | |
| 2014-06-30 | 4,427.30 | 85.70 | 383.50 | |
| 2014-03-31 | 4,450.30 | 146.90 | 386.00 | |
| 2013-12-31 | 4,478.10 | 146.60 | 384.30 | |
| 2013-09-30 | 4,456.50 | 123.50 | 381.40 | |
| 2013-06-30 | 4,398.20 | 119.10 | 382.70 | |
| 2013-03-31 | 4,370.40 | 140.30 | 381.00 | |
| 2012-12-31 | 4,337.10 | 122.60 | 378.10 | |
| 2012-09-30 | 4,335.50 | 365.30 | 373.90 |
*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.
- Graphic Packaging Holding has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
- Graphic Packaging Holding used its assets less efficiently than the US Packaging industry average last year based on Return on Assets.
- Graphic Packaging Holding's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
Past performance checks
We assess Graphic Packaging Holding'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)
Graphic Packaging Holding 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 Graphic Packaging Holding'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 Graphic Packaging Holding's finances.
The net worth of a company is the difference between its assets and liabilities.
- Graphic Packaging Holding is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- Graphic Packaging Holding's long term commitments exceed its cash and other short term assets.
Balance sheet
Assets
Liabilities and shares
- High level of physical assets or inventory.
- Debt is not covered by short term assets, assets are 0.6x 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.
All data from Graphic Packaging Holding Company Filings, last reported 1 month ago.
| Date (Data in USD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2019-06-30 | 2,326.50 | 2,920.00 | 64.90 |
| 2019-03-31 | 2,291.20 | 3,051.10 | 62.30 |
| 2018-12-31 | 2,294.30 | 2,896.80 | 70.50 |
| 2018-09-30 | 2,553.90 | 2,932.60 | 39.70 |
| 2018-06-30 | 2,455.50 | 2,975.80 | 50.90 |
| 2018-03-31 | 2,442.90 | 3,099.10 | 52.50 |
| 2017-12-31 | 1,291.90 | 2,244.50 | 67.40 |
| 2017-09-30 | 1,133.70 | 2,274.80 | 17.20 |
| 2017-06-30 | 1,096.70 | 2,213.20 | 12.50 |
| 2017-03-31 | 1,080.80 | 2,252.80 | 37.40 |
| 2016-12-31 | 1,056.50 | 2,134.00 | 59.10 |
| 2016-09-30 | 1,108.00 | 2,255.00 | 45.70 |
| 2016-06-30 | 1,086.60 | 2,274.70 | 38.70 |
| 2016-03-31 | 1,099.70 | 2,301.00 | 75.60 |
| 2015-12-31 | 1,101.70 | 1,873.70 | 54.90 |
| 2015-09-30 | 1,104.30 | 1,994.20 | 81.50 |
| 2015-06-30 | 1,089.20 | 2,044.40 | 46.80 |
| 2015-03-31 | 1,014.10 | 2,105.90 | 43.40 |
| 2014-12-31 | 1,012.30 | 1,954.60 | 81.60 |
| 2014-09-30 | 1,098.30 | 2,079.20 | 55.20 |
| 2014-06-30 | 1,062.10 | 2,318.30 | 157.00 |
| 2014-03-31 | 1,103.90 | 2,211.20 | 34.70 |
| 2013-12-31 | 1,073.60 | 2,248.00 | 52.20 |
| 2013-09-30 | 1,107.80 | 2,236.50 | 92.00 |
| 2013-06-30 | 1,042.40 | 2,325.40 | 33.10 |
| 2013-03-31 | 1,010.50 | 2,378.00 | 38.80 |
| 2012-12-31 | 983.10 | 2,331.50 | 51.50 |
| 2012-09-30 | 1,300.20 | 1,983.80 | 36.50 |
- Graphic Packaging Holding's level of debt (125.5%) compared to net worth is high (greater than 40%).
- The level of debt compared to net worth has been reduced over the past 5 years (217.5% vs 125.5% today).
- Operating cash flow is negative therefore debt is not well covered.
- Interest payments on debt are well covered by earnings (EBIT is 4.1x coverage).
Financial health checks
We assess Graphic Packaging Holding'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) Graphic Packaging Holding has a total score of 3/6, see the detailed checks below.
- 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 Graphic Packaging Holding'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
If you bought
$2,000 of
Graphic Packaging Holding
shares you are expected to receive
$46
in your first year as a dividend.
Dividend Amount
- Graphic Packaging Holding's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).
- Graphic Packaging Holding's dividend is below the markets top 25% of dividend payers in United States of America (3.84%).
Upcoming dividend payment
Purchase Graphic Packaging Holding before the 'Ex-dividend' to receive their next dividend payment.
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.
| 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 12 Analyst Estimates (S&P Global) | See Below |
| United States of America Packaging Industry Average Dividend Yield | Market Cap Weighted Average of 13 Stocks | 2.6% |
| United States of America Market Average Dividend Yield | Market Cap Weighted Average of 2010 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 | 3.8% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in $) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2021-12-31 | 0.40 | 3.00 |
| 2020-12-31 | 0.38 | 7.00 |
| 2019-12-31 | 0.32 | 6.00 |
| Date (Data in $) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2019-07-25 | 0.300 | 2.139 |
| 2019-05-22 | 0.300 | 2.169 |
| 2019-02-21 | 0.300 | 2.325 |
| 2018-11-15 | 0.300 | 2.597 |
| 2018-07-26 | 0.300 | 2.264 |
| 2018-05-23 | 0.300 | 2.041 |
| 2018-02-22 | 0.300 | 1.991 |
| 2017-11-16 | 0.300 | 1.931 |
| 2017-07-28 | 0.300 | 2.157 |
| 2017-05-24 | 0.300 | 2.224 |
| 2017-03-13 | 0.300 | 2.254 |
| 2017-02-08 | 0.300 | 2.255 |
| 2017-02-07 | 0.300 | 2.321 |
| 2016-10-26 | 0.300 | 2.362 |
| 2016-10-25 | 0.300 | 2.407 |
| 2016-07-29 | 0.200 | 1.438 |
| 2016-05-25 | 0.200 | 1.536 |
| 2016-02-25 | 0.200 | 1.544 |
| 2015-11-19 | 0.200 | 1.627 |
| 2015-07-30 | 0.200 | 1.433 |
| 2015-05-20 | 0.200 | 1.407 |
| 2015-04-23 | 0.200 | 1.369 |
| 2015-02-05 | 0.200 | 1.354 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Whilst dividend payments have been stable, Graphic Packaging Holding has been paying a dividend for less than 10 years.
- Dividend payments have increased, but Graphic Packaging Holding only paid a dividend in the past 5 years.
Income/ dividend checks
We assess Graphic Packaging Holding'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 Graphic Packaging Holding afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Graphic Packaging Holding has a total score of 3/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
Management
CEO
| COMPENSATION | $7,264,270 |
| AGE | 53 |
| TENURE AS CEO | 3.6 years |
CEO Bio
Mr. Michael P. Doss, also known as Mike, has been the Chief Executive Officer and President of Graphic Packaging Holding Company since January 1, 2016 and May 20, 2015 respectively. Mr. Doss has been Chief Executive Officer and President at Graphic Packaging International, Inc. and since January 5, 2016 and served as its Chief Operating Officer until January 5, 2016. Mr. Doss served as Chief Operating Officer of Graphic Packaging Holding Company since January 1, 2014 until May 19, 2015. Prior to March 10, 2008, he served as Senior Vice President of Food and Consumer Products Packaging at Graphic Packaging Holding Company from September 2006 and served as its Executive Vice President of Commercial Operations from January 2012 to November 21, 2013. He served as Senior Vice President of Consumer Packaging Division at Graphic Packaging Holding Company. Mr. Doss serves as a Director at Graphic Packaging International, LLC. Mr. Doss served as Executive Vice President of Commercial Operations at Graphic Packaging International, Inc. from January 2012 to November 21, 2013. He served as Senior Vice President Food and Consumer Products Packaging at Graphic Packaging Corp. since August 17, 2006 and also served to its subsidiary, Graphic Packaging International, Inc. Mr. Doss served as a Vice President of Operations, Food and Consumer Products Packaging at Graphic Packaging Corp. During his sixteen-year career with Graphic Packaging Corp., he held positions of increasing management responsibility including Plant Manager at the Gordonsville, TN and Wausua, WI plants. He has held several positions of commercial and operational leadership during his 27-year career with Graphic Packaging. He has been Director at Sustainable Forestry Initiative, Inc since November 2017. He has been Director of Graphic Packaging International New Zealand Limited since April 29, 2017. He has been Director of Graphic Packaging Holding Company since May 20, 2015. He served as Director of Web Systems for the then Universal Packaging Division until his promotion to Vice President of Operations. He completed General Manager Program at Harvard's Business School. Mr. Doss received Bachelor's degree in Industrial Marketing and MBA in Finance from Western Michigan University.
CEO Compensation
- Mike's compensation has increased by more than 20% in the past year whilst earnings fell less than 20%.
- Mike'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 Graphic Packaging Holding management team in years:
- The tenure for the Graphic Packaging Holding management team is about average.
Management Team
Mike Doss
President
$7M
53
3.6 yrs
Steve Scherger
Executive VP & CFO
$3M
55
4.6 yrs
Lauren Tashma
Executive VP
$2M
53
5.5 yrs
Joe Yost
Executive VP & President of Americas
$2M
52
10.6 yrs
Debbie Frank
Senior VP & Chief Accounting Officer
59
Alex Ovshey
Vice President of Investor Relations
Stacey Panayiotou
Executive Vice President of Human Resources
0.3 yrs
Hilde Van Moeseke
Senior VP & President of EMEA
49
2.1 yrs
Mike Farrell
Executive Vice President of Mills Division
52
1.6 yrs
Paul McCann
Senior Vice President of Supply Chain
1 yrs
Board of Directors Tenure
Average tenure and age of the Graphic Packaging Holding board of directors in years:
- The tenure for the Graphic Packaging Holding board of directors is about average.
Board of Directors
Phil Martens
Chairman
$350K
59
3.3 yrs
Mike Doss
President
$7M
53
4.3 yrs
Lynn Wentworth
Director
$220K
61
9.8 yrs
Bob Hagemann
Director
$213K
62
5.3 yrs
David Campbell
Director
$200K
69
7.5 yrs
Paul Carrico
Director
$200K
68
4.9 yrs
Larry Venturelli
Independent Director
$200K
59
3.3 yrs
Dean Scarborough
Independent Director
$39K
64
1.1 yrs
Laurie Brlas
Director
61
0.6 yrs
Who owns this company?
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price ($) | Value ($) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 28. Feb 19 | Buy | Robert Hagemann | Individual | 27. Feb 19 | 27. Feb 19 | 15,000 | $12.25 | $183,750 | ||
| 25. Oct 18 | Buy | Larry Venturelli | Individual | 25. Oct 18 | 25. Oct 18 | 25,000 | $10.59 | $264,693 | ||
Management checks
We assess Graphic Packaging Holding'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) Graphic Packaging Holding 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
What Is Graphic Packaging Holding Company's (NYSE:GPK) Share Price Doing?
Graphic Packaging Holding Company (NYSE:GPK), which is in the packaging business, and is based in United States, saw a decent share price growth in the teens level on the NYSE over the last few months. … This is because Graphic Packaging Holding’s beta (a measure of share price volatility) is high, meaning its price movements will be exaggerated relative to the rest of the market. … If you are no longer interested in Graphic Packaging Holding, you can use our free platform to see my list of over 50 other stocks with a high growth potential.
Simply Wall St - – Full articleIs There An Opportunity With Graphic Packaging Holding Company's (NYSE:GPK) 39% Undervaluation?
Today we will run through one way of estimating the intrinsic value of Graphic Packaging Holding Company (NYSE:GPK) by estimating the company's future cash flows and discounting them to their present value. … Generally we assume that a dollar today is more valuable than a dollar in the future, 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 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 Levered FCF ($, Millions) $533.5m $542.0m $552.4m $564.4m $577.6m $591.7m $606.7m $622.5m $638.9m $655.9m Growth Rate Estimate Source Analyst x5 Analyst x1 Est @ 1.92% Est @ 2.17% Est @ 2.33% Est @ 2.45% Est @ 2.54% Est @ 2.59% Est @ 2.64% Est @ 2.66% Present Value ($, Millions) Discounted @ 9.76% $486.1 $449.9 $417.8 $388.9 $362.6 $338.4 $316.2 $295.5 $276.3 $258.5 ("Est" = FCF growth rate estimated by Simply Wall St) Present Value of 10-year Cash Flow (PVCF)= $3.6b 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$656m × (1 + 2.7%) ÷ (9.8% – 2.7%) = US$9.6b Present Value of Terminal Value (PVTV) = TV / (1 + r)10 = $US$9.6b ÷ ( 1 + 9.8%)10 = $3.78b 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 $7.37b.
Simply Wall St - – Full articleDon’t Buy Graphic Packaging Holding Company (NYSE:GPK) Until You Understand Its ROCE
The formula for calculating the return on capital employed is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Graphic Packaging Holding: 0.084 = US$525m ÷ (US$7.3b - US$1.0b) (Based on the trailing twelve months to March 2019.) So, Graphic Packaging Holding has an ROCE of 8.4%. … How Graphic Packaging Holding's Current Liabilities Impact Its ROCE Current liabilities are short term bills and invoices that need to be paid in 12 months or less. … Due to the way ROCE is calculated, a high level of current liabilities makes a company look as though it has less capital employed, and thus can (sometimes unfairly) boost the ROCE.
Simply Wall St - – Full articleIs Graphic Packaging Holding Company's (NYSE:GPK) CEO Overpaid Relative To Its Peers?
At the time of writing our data says that Graphic Packaging Holding Company has a market cap of US$4.2b, and is paying total annual CEO compensation of US$7.3m. … Thus we can conclude that Mike Doss receives more in total compensation than the median of a group of companies in the same market, and of similar size to Graphic Packaging Holding Company. … Graphic Packaging Holding Company has served shareholders reasonably well, with a total return of 22% over three years.
Simply Wall St - – Full articleDo You Like Graphic Packaging Holding Company (NYSE:GPK) At This P/E Ratio?
Graphic Packaging Holding has a price to earnings ratio of 17.47, based on the last twelve months. … The formula for price to earnings is: Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS) Or for Graphic Packaging Holding: P/E of 17.47 = $14.21 ÷ $0.81 (Based on the trailing twelve months to March 2019.) Is A High P/E Ratio Good? … The Verdict On Graphic Packaging Holding's P/E Ratio Graphic Packaging Holding has a P/E of 17.5.
Simply Wall St - – Full articleHave Insiders Been Buying Graphic Packaging Holding Company (NYSE:GPK) Shares This Year?
So before you buy or sell Graphic Packaging Holding Company (NYSE:GPK), you may well want to know whether insiders have been buying or selling. … For example, a Harvard University study found that 'insider purchases earn abnormal returns of more than 6% per year.' View our latest analysis for Graphic Packaging Holding The Last 12 Months Of Insider Transactions At Graphic Packaging Holding Over the last year, we can see that the biggest insider purchase was by Independent Director Larry Venturelli for US$265k worth of shares, at about US$10.59 per share. … Overall we don't see anything to make us think Graphic Packaging Holding insiders are doubting the company, and they do own shares.
Simply Wall St - – Full articleWhat To Know Before Buying Graphic Packaging Holding Company (NYSE:GPK) For Its Dividend
Is Graphic Packaging Holding Company (NYSE:GPK) a good dividend stock? … With a 2.3% yield and a four-year payment history, investors probably think Graphic Packaging Holding looks like a reliable dividend stock. … Dividend Growth Potential The other half of the dividend investing equation is evaluating whether earnings per share (EPS) are growing. Growing EPS can help maintain or increase the purchasing power of the dividend over the long run. It's good to see Graphic Packaging Holding has been growing its earnings per share at 14% a year over the past 5 years. A company paying out less than a quarter of its earnings as dividends, and growing earnings at more than 10% per annum, looks to be right in the cusp of its growth phase. At the right price, we might be interested. Conclusion Dividend investors should always want to know if a) a company's dividends are affordable, b) if there is a track record of consistent payments, and c) if the dividend is capable of growing.
Simply Wall St - – Full articleAre Graphic Packaging Holding Company's (NYSE:GPK) Interest Costs Too High?
While small-cap stocks, such as Graphic Packaging Holding Company (NYSE:GPK) with its market cap of US$4.1b, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn.
Simply Wall St - – Full articleWhat Does Graphic Packaging Holding Company's (NYSE:GPK) Share Price Indicate?
Graphic Packaging Holding Company (NYSE:GPK), which is in the packaging business, and is based in United States,. … With many analysts covering the mid-cap stock, we may expect any price-sensitive announcements have already been factored into the stock’s share price? … Today I will analyse the most recent data on Graphic Packaging Holding’s outlook and valuation to see if the opportunity still exists
Simply Wall St - – Full articleThe Graphic Packaging Holding (NYSE:GPK) Share Price Is Up 30% And Shareholders Are Holding On
But Graphic Packaging Holding Company (NYSE:GPK) has fallen short of that second goal, with a share price rise of 30% over five years, which is below the market return. … Over half a decade, Graphic Packaging Holding managed to grow its earnings per share at 11% a year. … It might be well worthwhile taking a look at our free report on Graphic Packaging Holding's earnings, revenue and cash flow.
Simply Wall St - – Full articleCompany Info
Description
Graphic Packaging Holding Company, together with its subsidiaries, provides paper-based packaging solutions to food, beverage, foodservice, and other consumer products companies. It operates through three segments: Paperboard Mills, Americas Paperboard Packaging, and Europe Paperboard Packaging. The company offers coated unbleached kraft (CUK), coated recycled paperboard (CRB), and solid bleached sulfate paperboard (SBS) to various paperboard packaging converters and brokers; and paperboard packaging folding cartons and cups, lids, and food containers primarily to consumer packaged goods, quick-service restaurants, and foodservice companies. It also manufactures corrugated medium products; offers various laminated, coated, and printed packaging structures that are produced from its CUK, CRB, and SBS, as well as other grades of paperboards that are purchased from third-party suppliers; designs and manufactures specialized packaging machines that package bottles and cans, and non-beverage consumer products; and installs its packaging machines at customer plants and provides support, service, and performance monitoring of the machines. The company markets its products primarily through sales offices and broker arrangements with third parties in the Americas, Europe, and the Asia Pacific. Graphic Packaging Holding Company was founded in 1992 and is headquartered in Atlanta, Georgia.
Details
| Name: | Graphic Packaging Holding Company |
| GPK | |
| Exchange: | NYSE |
| Founded: | 1992 |
| $3,824,554,982 | |
| 293,970,406 | |
| Website: | http://www.graphicpkg.com |
| Address: |
Graphic Packaging Holding Company 1500 Riveredge Parkway, Suite 100, Atlanta, Georgia, 30328, United States |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| NYSE | GPK | Common Stock | New York Stock Exchange | US | USD | 11. Aug 2003 | |
| DB | 4W8 | Common Stock | Deutsche Boerse AG | DE | EUR | 11. Aug 2003 |
Number of employees
Current staff
Industry
| Paper Packaging | |
| Materials |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/08/20 00:13 |
| End of day share price update: | 2019/08/19 00:00 |
| Last estimates confirmation: | 2019/08/15 |
| Last earnings filing: | 2019/07/23 |
| Last earnings reported: | 2019/06/30 |
| Last annual earnings reported: | 2018/12/31 |
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.
