Pactiv Evergreen Inc.
Pactiv Evergreen Inc. Fundamental Analysis
Pactiv Evergreen Inc. (PTVE) shows weak financial fundamentals with a PE ratio of -24.33, profit margin of -2.77%, and ROE of -10.86%. The company generates $4.9B in annual revenue with weak year-over-year growth of -12.70%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of -14.7/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze PTVE's fundamental strength across five key dimensions:
Efficiency Score
WeakPTVE struggles to generate sufficient returns from assets.
Valuation Score
ExcellentPTVE trades at attractive valuation levels.
Growth Score
ModeratePTVE shows steady but slowing expansion.
Financial Health Score
ModeratePTVE shows balanced financial health with some risks.
Profitability Score
WeakPTVE struggles to sustain strong margins.
Key Financial Metrics
Is PTVE Expensive or Cheap?
P/E Ratio
PTVE trades at -24.33 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, PTVE's PEG of 0.01 indicates potential undervaluation.
Price to Book
The market values Pactiv Evergreen Inc. at 2.93 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -0.66 times EBITDA. This is generally considered low.
How Well Does PTVE Make Money?
Net Profit Margin
For every $100 in sales, Pactiv Evergreen Inc. keeps $-2.77 as profit after all expenses.
Operating Margin
Core operations generate 2.29 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-10.86 in profit for every $100 of shareholder equity.
ROA
Pactiv Evergreen Inc. generates $-2.26 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Pactiv Evergreen Inc. generates limited operating cash flow of $398.98M, signaling weaker underlying cash strength.
Free Cash Flow
Pactiv Evergreen Inc. produces free cash flow of $398.98M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $2.20 in free cash annually.
FCF Yield
PTVE converts 12.08% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-24.33
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.008
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.93
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.68
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
3.35
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.54
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.11
vs 25 benchmark
ROA
Return on assets percentage
-0.02
vs 25 benchmark
ROCE
Return on capital employed
0.02
vs 25 benchmark
How PTVE Stacks Against Its Sector Peers
| Metric | PTVE Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -24.33 | 24.36 | Better (Cheaper) |
| ROE | -10.86% | 1166.00% | Weak |
| Net Margin | -2.77% | 871.00% | Weak |
| Debt/Equity | 3.35 | 0.79 | Weak (High Leverage) |
| Current Ratio | 1.54 | 2.84 | Neutral |
| ROA | -2.26% | -30137.00% (disorted) | Weak |
PTVE outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Pactiv Evergreen Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-88.70%
Industry Style: Cyclical, Growth, Discretionary
DecliningEPS CAGR
-116.59%
Industry Style: Cyclical, Growth, Discretionary
DecliningFCF CAGR
-90.58%
Industry Style: Cyclical, Growth, Discretionary
Declining