Packaging Corporation of America (PKG) vs Reynolds Consumer Products Inc. (REYN)

Packaging Corporation of America and Reynolds Consumer Products Inc. are both Packaging & Containers companies. Packaging Corporation of America is the larger, with a market value of $22.2B against $5.2B — 4.3× the size. Reynolds Consumer Products Inc. trades at the lower P/E: 16.0× against 30.4×. Packaging Corporation of America grew revenue faster over the last twelve months: 12.0% against 2.43%. Reynolds Consumer Products Inc. has the higher net margin (8.53% vs 7.37%) and the higher return on invested capital (8.29% vs 0.00%). Both pay a dividend; Reynolds Consumer Products Inc. yields more (3.74% vs 2.22%). Across the 23 metrics below, Reynolds Consumer Products Inc. leads on 17 and Packaging Corporation of America on 6.

Valuation

Metric PKG REYN Packaging & Containers median
P/E 30.43 16.03 20.50
P/S 2.25 1.37 0.84
P/B 4.75 2.22 1.81
Price to free cash flow 29.74 18.46 13.39
EV/EBITDA 14.26 10.46 9.53
EV/Sales 2.64 1.77 1.39
Earnings yield 3.29% 6.24% 2.89%
Free cash flow yield 3.36% 5.42% 5.42%

Profitability

Metric PKG REYN Packaging & Containers median
Gross margin 20.53% 25.11% 20.09%
Operating margin 11.16% 13.40% 6.42%
Net margin 7.37% 8.53% 3.43%
Free cash flow margin 0.00% 7.40% 4.78%
Return on equity 0.00% 14.36% 2.28%
Return on assets 0.00% 6.48% 1.04%
Return on invested capital 0.00% 8.29% 4.57%

Growth

Metric PKG REYN Packaging & Containers median
Revenue growth (TTM) 11.98% 2.43% 4.05%
EPS growth (last fiscal year) (3.92%) (14.37%) 0.69%
Revenue growth, 5-year CAGR 6.19% 2.66% 5.66%
Net income growth, 5-year CAGR 10.95% (3.68%) 0.00%

Health

Metric PKG REYN Packaging & Containers median
Debt to equity 0.85 0.66 0.79
Current ratio 2.94 1.80 1.29
Net debt to EBITDA 1.91 2.32 2.59

Dividend

Metric PKG REYN Packaging & Containers median
Dividend yield 2.22% 3.74% 3.38%
Payout ratio 0.68 0.60 0.60

Size

Metric PKG REYN Packaging & Containers median
Market cap 22.17b 5.17b 3.71b

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