Silgan Holdings Inc. [SLGN] is following downward trend in the market concluded with the last trading session. The shares of the Consumer Goods sector company has a current value of $29.50 after SLGN shares went down by -2.19% during the last trading session. One of the reasons why Consumer Goods stocks may go bearish is decreased momentum in the press.
Silgan Holdings Inc. [NASDAQ:SLGN]: Analyst Rating and Earnings
Experts stock market traders frequently make a point to check what top Wall Street analysts say regarding a potential buy. Regarding Silgan Holdings Inc. [SLGN] currently, the latest Wall Street ratings we can see is from the fiscal quarter that’s going to end in December. On average, stock market experts give SLGN an Hold rating. Its stock price has been found in the range of 22.24 to 30.90. This is compared to its latest closing price of $30.16.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Silgan Holdings Inc. [SLGN] is sitting at 2.92. This is compared to 1 month ago, when its average rating was 2.86.
For the quarter ending in Mar-19 Silgan Holdings Inc. [SLGN] generated $1.03 billion in sales. That’s 2.04% higher than the average estimate of $1.01 billion as provided by Wall Street analysts. The three indicators above suggest that overall, this stock is demonstrating a mixed bag of positive appeal and some drawbacks, making it a somewhat risky investment that also has the potential to generate high ROI in the long run.
Stay on the lookout for the next publication of this organization’s financial results for the quarter, which will be made public on Wed 24 Jul (In 40 Days).
Fundamental Analysis of Silgan Holdings Inc. [SLGN]
Now let’s turn to look at profitability: with a current Operating Margin for Silgan Holdings Inc. [SLGN] sitting at +8.57 and its Gross Margin at +15.50.
This company’s Return on Total Capital is 11.74, and its Return on Invested Capital has reached 10.70%. Its Return on Equity is 27.19, and its Return on Assets is 4.86. These metrics suggest that this Silgan Holdings Inc. does a poor job of managing its assets, and likely won’t be able to provide successful business outcomes for its investors in the near term.
Turning to investigate this organization’s capital structure, Silgan Holdings Inc. [SLGN] has generated a Total Debt to Total Equity ratio of 261.51. Similarly, its Total Debt to Total Capital is 72.34, while its Total Debt to Total Assets stands at 50.33. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 242.20, and its Long-Term Debt to Total Capital is 67.00. This company is not leveraging its assets to take on debt, which stunts its growth and limits the ROI for investors.
What about valuation? This company’s Enterprise Value to EBITDA is 9.71 and its Total Debt to EBITDA Value is 4.02. The Enterprise Value to Sales for this firm is now 1.25, and its Total Debt to Enterprise Value stands at 0.47. Silgan Holdings Inc. [SLGN] has a Price to Book Ratio of 2.96, a Price to Cash Flow Ratio of 5.21 and P/E Ratio of 14.61. These metrics all suggest that Silgan Holdings Inc. is more likely to generate a positive ROI.
Shifting the focus to workforce efficiency, Silgan Holdings Inc. [SLGN] earns $339,609 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 9.21 and its Total Asset Turnover is 0.96. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 0.61 and its Current Ratio is 1.20. This company is not investing its short-term assets in an optimally efficient way, making it a riskier investment.
Silgan Holdings Inc. [SLGN] has 111.14M shares outstanding, amounting to a total market cap of $3.28B. Its stock price has been found in the range of 22.24 to 30.90. At its current price, it has moved down by -4.53% from its 52-week high, and it has moved up 32.64% from its 52-week low.
This stock’s Beta value is currently 0.80, which indicates that it is 1.65% more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 44.29. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Silgan Holdings Inc. [SLGN] a Reliable Buy?
Silgan Holdings Inc. [SLGN] stock is presenting a less attractive investment opportunity when compared to similarly-sized corporations in the same industry. The price performance of these shares has not shown much promise, and the financial results that this company has recently delivered present a highly risky investment.