Shares of Graphic Packaging Holding Company (NYSE:GPK) recorded -0.84% loss during trading session on April 16th, 2019. The script traded as low as $12.59 and last traded at $13.02. 5.51 million shares changed exchanged hands during trading, a drop of -28.22% from the 30-day average session volume of 4.30M shares. The firm had previously closed at $13.13. The company has $302.13M outstanding shares, a price-to-earnings ratio of 19.23, price-to-earnings-growth ratio of 0.65 and a beta of 1.37. The company has a RSI of 59.26, ATR of 0.27 and a volatility of 2.28% this week. GPK has a 52 week low price of $10.04 and a 52 week high price of $16.61.
Investors have identified the tech company Graphic Packaging Holding Company as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around 3.93B, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Graphic Packaging Holding Company (GPK) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For GPK, the company has in raw cash 70.5 million on their books with 13.6 million currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 0 total, with 10 million as their total liabilities. This figure have given the company a good sense of viability under numerous contexts.
GPK were able to record 769 million as free cash flow during the recently reported quarter of the year, this saw their quarterly net cash flow reduce by 3.1 million. In cash movements, the company had a total of 373.8 million as operating cash flow.
Potential earnings growth for Graphic Packaging Holding Company (GPK)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the third quarter of the year, Graphic Packaging Holding Company recorded a total of 1.51 billion in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 0.26% coming in sequential stages and their sales for the third quarter reducing by -0.01%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 1.28 billion trying to sell their products during the last quarter, with the result yielding a gross income of 231.1 million. This allows shareholders to hold on to 302.13M with the revenue now reading 150 cents per share. This is a figure that is close to analyst’s prediction for their fourth quarter (0.20 cents a share).
Is the stock of GPK attractive?
Having a look at the company’s valuation, the company is expected to record 0.94 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on GPK sounds very interesting.
In related news, Director HAGEMANN ROBERT bought 15,000 shares of the company’s stock in a transaction that recorded on February 27th, 2019. The purchase was performed at an average price of 12.25, for a total value of 183,750. As the purchase deal closes, the Director HAGEMANN ROBERT now bought 25,000 shares of the company’s stock, valued at 264,693. In the last 6 months, insiders have changed their ownership in shares of company stock by 0.70%.
7 out of 15 analysts covering the stock have rated it a Buy, while 4 have maintained a Hold recommendation on Graphic Packaging Holding Company stock. 0 analysts has assigned a Sell rating on the GPK stock. The 12-month mean consensus price target for the company’s shares has been set at $14.91.