Greif Inc. (GEF.B) vs Sonoco Products Company (SON)

Greif Inc. and Sonoco Products Company are both Packaging & Containers companies. Sonoco Products Company is the larger, with a market value of $4.9B against $3.7B — 1.3× the size. Sonoco Products Company trades at the lower P/E: 8.0× against 14.3×. Sonoco Products Company grew revenue faster over the last twelve months: 17.7% against −10.1%. Sonoco Products Company has the higher net margin (8.41% vs 6.81%) and the higher return on invested capital (9.36% vs 7.77%). Both pay a dividend; Sonoco Products Company yields more (3.56% vs 3.22%). Across the 23 metrics below, Sonoco Products Company leads on 17 and Greif Inc. on 6.

Valuation

Metric GEF.B SON Packaging & Containers median
P/E 14.26 7.96 15.79
P/S 1.14 0.67 0.88
P/B 1.64 1.38 1.60
Price to free cash flow 7.40 12.37 13.41
EV/EBITDA 6.81 5.32 9.04
EV/Sales 1.32 1.11 1.31
Earnings yield 7.01% 12.56% 5.04%
Free cash flow yield 13.52% 8.08% 6.34%

Profitability

Metric GEF.B SON Packaging & Containers median
Gross margin 22.42% 20.81% 20.03%
Operating margin 10.83% 13.87% 8.36%
Net margin 6.81% 8.41% 4.53%
Free cash flow margin 15.46% 5.40% 5.14%
Return on equity 11.28% 18.33% 11.28%
Return on assets 4.78% 5.47% 4.29%
Return on invested capital 7.77% 9.36% 6.43%

Growth

Metric GEF.B SON Packaging & Containers median
Revenue growth (TTM) (10.05%) 17.73% 9.10%
EPS growth (last fiscal year) (21.72%) 510.30% —
Revenue growth, 5-year CAGR 3.46% 7.50% 5.66%
Net income growth, 5-year CAGR 17.14% 37.05% 0.00%

Health

Metric GEF.B SON Packaging & Containers median
Debt to equity 0.35 0.97 0.78
Current ratio 1.29 0.99 1.29
Net debt to EBITDA 3.55 2.22 2.65

Dividend

Metric GEF.B SON Packaging & Containers median
Dividend yield 3.22% 3.56% 2.79%
Payout ratio 0.30 0.41 0.28

Size

Metric GEF.B SON Packaging & Containers median
Market cap 3.71b 4.94b 3.71b

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