Graphic Packaging Holding Company (GPK) vs Sonoco Products Company (SON)

Graphic Packaging Holding Company and Sonoco Products Company are both Packaging & Containers companies. Sonoco Products Company is the larger, with a market value of $4.9B against $2.8B — 1.8× the size. Sonoco Products Company trades at the lower P/E: 8.0× against 14.2×. Sonoco Products Company grew revenue faster over the last twelve months: 17.7% against 0.02%. Sonoco Products Company has the higher net margin (8.41% vs 2.25%) and the higher return on invested capital (9.36% vs 3.62%). Both pay a dividend; Sonoco Products Company yields more (3.56% vs 1.60%). Across the 23 metrics below, Sonoco Products Company leads on 19 and Graphic Packaging Holding Company on 4.

Valuation

Metric GPK SON Packaging & Containers median
P/E 14.21 7.96 15.79
P/S 0.32 0.67 0.88
P/B 0.86 1.38 1.60
Price to free cash flow 14.72 12.37 13.41
EV/EBITDA 7.71 5.32 9.04
EV/Sales 0.95 1.11 1.31
Earnings yield 7.04% 12.56% 5.04%
Free cash flow yield 6.79% 8.08% 6.34%

Profitability

Metric GPK SON Packaging & Containers median
Gross margin 15.46% 20.81% 20.03%
Operating margin 5.84% 13.87% 8.36%
Net margin 2.25% 8.41% 4.53%
Free cash flow margin 2.19% 5.40% 5.14%
Return on equity 6.01% 18.33% 11.28%
Return on assets 1.65% 5.47% 4.29%
Return on invested capital 3.62% 9.36% 6.43%

Growth

Metric GPK SON Packaging & Containers median
Revenue growth (TTM) 0.02% 17.73% 9.10%
EPS growth (last fiscal year) (31.48%) 510.30% —
Revenue growth, 5-year CAGR 5.61% 7.50% 5.66%
Net income growth, 5-year CAGR 21.60% 37.05% 0.00%

Health

Metric GPK SON Packaging & Containers median
Debt to equity 1.75 0.97 0.78
Current ratio 1.38 0.99 1.29
Net debt to EBITDA 3.95 2.22 2.65

Dividend

Metric GPK SON Packaging & Containers median
Dividend yield 1.60% 3.56% 2.79%
Payout ratio 0.16 0.41 0.28

Size

Metric GPK SON Packaging & Containers median
Market cap 2.77b 4.94b 3.71b

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