Intrinsic value of Packaging of America - PKG

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$98.78

  Intrinsic Value

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  Rating & Target

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  Value-price divergence*

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$98.78

 
Intrinsic value

$126.81

 
Up/down potential

+28%

 
Rating

buy

 
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*Intrinsic value change (in %) minus stock price change (in %) in the past 12 months.

We calculate the intrinsic value of PKG stock by summing up the current values of future distributable cash flows generated by the company and dividing the sum by the number of outstanding shares. As such, the intrinsic value calculation depends entirely on projections. The more accurate your projections of the company's performance are - the more reliable is the intrinsic value calculation result. Please make sure to check the stock valuation input data below and adjust it if necessary. The quality of the output (intrinsic valuation result) is only as good as the quality of the input. See also DISCLAIMERS.

STOCK VALUATION INPUT DATA

Revenue (in 2016), $M
Initial revenue growth rate, %
Terminal revenue growth rate, %
Revenue decline factor
Initial discount rate, %
Discount rate multiplier
Variable cost ratio, %
Fixed operating expenses, $M
Interest rate on debt, %
Effective corporate tax rate, %
Production assets / Revenue, %
Life of production assets, yrs
Working capital / Revenue, %
Revenue / Adjusted assets
Adjusted equity ratio
Cash flow adjustment, % of Revenue
Book value of equity, $M
Shares outstanding, mln
Market capitalization, $bln 9.4

 

FINANCIAL STATEMENTS FORECAST and PRESENT VALUE CALCULATION

Fiscal year
2016(a)
   2017
   2018
   2019
   2020
   2021
   2022
   2023
   2024
   2025
   2026
   2027
   2028
   2029
   2030
   2031
   2032
   2033
   2034
   2035
   2036
   2037
   2038
   2039
   2040
   2041
   2042
   2043
   2044
   2045
   2046

INCOME STATEMENT

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revenue growth rate, %
  0.64
  6.20
  6.08
  5.97
  5.87
  5.79
  5.71
  5.64
  5.57
  5.52
  5.46
  5.42
  5.38
  5.34
  5.31
  5.27
  5.25
  5.22
  5.20
  5.18
  5.16
  5.15
  5.13
  5.12
  5.11
  5.10
  5.09
  5.08
  5.07
  5.06
  5.06
Revenue, $m
  5,779
  6,137
  6,510
  6,899
  7,305
  7,727
  8,168
  8,629
  9,110
  9,612
  10,138
  10,687
  11,262
  11,863
  12,492
  13,151
  13,841
  14,564
  15,321
  16,115
  16,947
  17,819
  18,733
  19,692
  20,698
  21,752
  22,859
  24,019
  25,237
  26,515
  27,856
Variable operating expenses, $m
 
  1,155
  1,221
  1,290
  1,361
  1,436
  1,513
  1,594
  1,679
  1,768
  1,860
  1,883
  1,985
  2,091
  2,202
  2,318
  2,439
  2,567
  2,700
  2,840
  2,987
  3,140
  3,301
  3,470
  3,648
  3,833
  4,028
  4,233
  4,448
  4,673
  4,909
Fixed operating expenses, $m
 
  4,104
  4,207
  4,312
  4,420
  4,530
  4,643
  4,759
  4,878
  5,000
  5,125
  5,254
  5,385
  5,520
  5,658
  5,799
  5,944
  6,093
  6,245
  6,401
  6,561
  6,725
  6,893
  7,066
  7,242
  7,423
  7,609
  7,799
  7,994
  8,194
  8,399
Total operating expenses, $m
  4,999
  5,259
  5,428
  5,602
  5,781
  5,966
  6,156
  6,353
  6,557
  6,768
  6,985
  7,137
  7,370
  7,611
  7,860
  8,117
  8,383
  8,660
  8,945
  9,241
  9,548
  9,865
  10,194
  10,536
  10,890
  11,256
  11,637
  12,032
  12,442
  12,867
  13,308
Operating income, $m
  780
  878
  1,083
  1,298
  1,524
  1,762
  2,012
  2,275
  2,552
  2,844
  3,152
  3,550
  3,892
  4,253
  4,633
  5,035
  5,458
  5,905
  6,376
  6,874
  7,399
  7,954
  8,539
  9,156
  9,808
  10,496
  11,222
  11,988
  12,796
  13,648
  14,548
EBITDA, $m
  1,138
  1,268
  1,492
  1,727
  1,974
  2,233
  2,506
  2,793
  3,095
  3,413
  3,748
  4,100
  4,472
  4,864
  5,277
  5,712
  6,171
  6,655
  7,165
  7,704
  8,272
  8,871
  9,504
  10,170
  10,874
  11,616
  12,399
  13,224
  14,095
  15,014
  15,982
Interest expense (income), $m
  0
  92
  101
  110
  119
  129
  139
  150
  161
  173
  185
  197
  211
  225
  239
  254
  270
  287
  304
  323
  342
  362
  383
  405
  428
  452
  478
  505
  533
  562
  593
Earnings before tax, $m
  689
  785
  982
  1,188
  1,405
  1,632
  1,872
  2,125
  2,391
  2,672
  2,967
  3,353
  3,681
  4,028
  4,394
  4,780
  5,188
  5,618
  6,072
  6,552
  7,058
  7,592
  8,156
  8,751
  9,380
  10,043
  10,744
  11,483
  12,263
  13,086
  13,955
Tax expense, $m
  239
  212
  265
  321
  379
  441
  506
  574
  646
  721
  801
  905
  994
  1,088
  1,186
  1,291
  1,401
  1,517
  1,639
  1,769
  1,906
  2,050
  2,202
  2,363
  2,533
  2,712
  2,901
  3,100
  3,311
  3,533
  3,768
Net income, $m
  450
  573
  717
  867
  1,025
  1,192
  1,367
  1,551
  1,746
  1,950
  2,166
  2,447
  2,687
  2,941
  3,208
  3,490
  3,787
  4,101
  4,433
  4,783
  5,152
  5,542
  5,954
  6,389
  6,847
  7,332
  7,843
  8,383
  8,952
  9,553
  10,187

BALANCE SHEET

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash and short-term investments, $m
  239
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Total assets, $m
  5,777
  5,879
  6,236
  6,608
  6,997
  7,402
  7,824
  8,265
  8,726
  9,207
  9,711
  10,237
  10,787
  11,363
  11,966
  12,597
  13,258
  13,950
  14,676
  15,436
  16,233
  17,068
  17,944
  18,862
  19,825
  20,836
  21,895
  23,007
  24,174
  25,397
  26,682
Adjusted assets (=assets-cash), $m
  5,538
  5,879
  6,236
  6,608
  6,997
  7,402
  7,824
  8,265
  8,726
  9,207
  9,711
  10,237
  10,787
  11,363
  11,966
  12,597
  13,258
  13,950
  14,676
  15,436
  16,233
  17,068
  17,944
  18,862
  19,825
  20,836
  21,895
  23,007
  24,174
  25,397
  26,682
Revenue / Adjusted assets
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
  1.044
Average production assets, $m
  3,183
  3,382
  3,587
  3,801
  4,025
  4,258
  4,501
  4,755
  5,020
  5,296
  5,586
  5,889
  6,205
  6,536
  6,883
  7,246
  7,627
  8,025
  8,442
  8,879
  9,338
  9,818
  10,322
  10,850
  11,404
  11,986
  12,595
  13,235
  13,906
  14,610
  15,348
Working capital, $m
  1,071
  914
  970
  1,028
  1,088
  1,151
  1,217
  1,286
  1,357
  1,432
  1,511
  1,592
  1,678
  1,768
  1,861
  1,960
  2,062
  2,170
  2,283
  2,401
  2,525
  2,655
  2,791
  2,934
  3,084
  3,241
  3,406
  3,579
  3,760
  3,951
  4,150
Total debt, $m
  2,667
  2,883
  3,140
  3,408
  3,688
  3,979
  4,283
  4,601
  4,933
  5,279
  5,642
  6,020
  6,417
  6,831
  7,265
  7,720
  8,196
  8,694
  9,216
  9,764
  10,338
  10,939
  11,570
  12,231
  12,924
  13,652
  14,415
  15,215
  16,055
  16,936
  17,861
Total liabilities, $m
  4,017
  4,233
  4,490
  4,758
  5,038
  5,329
  5,633
  5,951
  6,283
  6,629
  6,992
  7,370
  7,767
  8,181
  8,615
  9,070
  9,546
  10,044
  10,566
  11,114
  11,688
  12,289
  12,920
  13,581
  14,274
  15,002
  15,765
  16,565
  17,405
  18,286
  19,211
Total equity, $m
  1,760
  1,646
  1,746
  1,850
  1,959
  2,072
  2,191
  2,314
  2,443
  2,578
  2,719
  2,866
  3,020
  3,182
  3,350
  3,527
  3,712
  3,906
  4,109
  4,322
  4,545
  4,779
  5,024
  5,281
  5,551
  5,834
  6,131
  6,442
  6,769
  7,111
  7,471
Total liabilities and equity, $m
  5,777
  5,879
  6,236
  6,608
  6,997
  7,401
  7,824
  8,265
  8,726
  9,207
  9,711
  10,236
  10,787
  11,363
  11,965
  12,597
  13,258
  13,950
  14,675
  15,436
  16,233
  17,068
  17,944
  18,862
  19,825
  20,836
  21,896
  23,007
  24,174
  25,397
  26,682
Debt-to-equity ratio
  1.515
  1.750
  1.800
  1.840
  1.880
  1.920
  1.960
  1.990
  2.020
  2.050
  2.070
  2.100
  2.120
  2.150
  2.170
  2.190
  2.210
  2.230
  2.240
  2.260
  2.270
  2.290
  2.300
  2.320
  2.330
  2.340
  2.350
  2.360
  2.370
  2.380
  2.390
Adjusted equity ratio
  0.275
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280
  0.280

CASH FLOW

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net income, $m
  450
  573
  717
  867
  1,025
  1,192
  1,367
  1,551
  1,746
  1,950
  2,166
  2,447
  2,687
  2,941
  3,208
  3,490
  3,787
  4,101
  4,433
  4,783
  5,152
  5,542
  5,954
  6,389
  6,847
  7,332
  7,843
  8,383
  8,952
  9,553
  10,187
Depreciation, amort., depletion, $m
  358
  390
  409
  429
  450
  472
  494
  518
  543
  569
  596
  550
  580
  611
  643
  677
  713
  750
  789
  830
  873
  918
  965
  1,014
  1,066
  1,120
  1,177
  1,237
  1,300
  1,365
  1,434
Funds from operations, $m
  800
  963
  1,126
  1,296
  1,475
  1,663
  1,861
  2,069
  2,288
  2,519
  2,762
  2,998
  3,267
  3,551
  3,851
  4,167
  4,500
  4,851
  5,222
  5,612
  6,025
  6,460
  6,919
  7,403
  7,913
  8,452
  9,020
  9,619
  10,252
  10,919
  11,622
Change in working capital, $m
  -1
  53
  56
  58
  60
  63
  66
  69
  72
  75
  78
  82
  86
  90
  94
  98
  103
  108
  113
  118
  124
  130
  136
  143
  150
  157
  165
  173
  181
  190
  200
Cash from operations, $m
  801
  989
  1,070
  1,238
  1,415
  1,600
  1,796
  2,001
  2,217
  2,444
  2,684
  2,916
  3,182
  3,462
  3,757
  4,069
  4,397
  4,743
  5,109
  5,494
  5,901
  6,330
  6,782
  7,260
  7,763
  8,295
  8,855
  9,447
  10,070
  10,728
  11,422
Maintenance CAPEX, $m
  0
  -297
  -316
  -335
  -355
  -376
  -398
  -421
  -444
  -469
  -495
  -522
  -550
  -580
  -611
  -643
  -677
  -713
  -750
  -789
  -830
  -873
  -918
  -965
  -1,014
  -1,066
  -1,120
  -1,177
  -1,237
  -1,300
  -1,365
New CAPEX, $m
  -285
  -199
  -206
  -214
  -223
  -233
  -243
  -254
  -265
  -277
  -289
  -303
  -317
  -331
  -347
  -363
  -380
  -398
  -417
  -437
  -458
  -481
  -504
  -528
  -554
  -581
  -610
  -640
  -671
  -704
  -739
Cash from investing activities, $m
  -770
  -496
  -522
  -549
  -578
  -609
  -641
  -675
  -709
  -746
  -784
  -825
  -867
  -911
  -958
  -1,006
  -1,057
  -1,111
  -1,167
  -1,226
  -1,288
  -1,354
  -1,422
  -1,493
  -1,568
  -1,647
  -1,730
  -1,817
  -1,908
  -2,004
  -2,104
Free cash flow, $m
  31
  493
  548
  689
  836
  991
  1,155
  1,326
  1,507
  1,698
  1,899
  2,091
  2,315
  2,551
  2,800
  3,062
  3,340
  3,632
  3,942
  4,268
  4,613
  4,977
  5,361
  5,767
  6,195
  6,648
  7,126
  7,630
  8,162
  8,725
  9,318
Issuance/(repayment) of debt, $m
  348
  243
  257
  268
  280
  292
  304
  318
  332
  347
  362
  379
  396
  415
  434
  454
  476
  499
  522
  547
  574
  601
  631
  661
  693
  727
  763
  800
  840
  881
  925
Issuance/(repurchase) of shares, $m
  -100
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash from financing (excl. dividends), $m  
  240
  243
  257
  268
  280
  292
  304
  318
  332
  347
  362
  379
  396
  415
  434
  454
  476
  499
  522
  547
  574
  601
  631
  661
  693
  727
  763
  800
  840
  881
  925
Total cash flow (excl. dividends), $m
  271
  735
  806
  957
  1,116
  1,283
  1,459
  1,644
  1,839
  2,045
  2,261
  2,470
  2,711
  2,965
  3,234
  3,517
  3,816
  4,131
  4,464
  4,815
  5,186
  5,578
  5,991
  6,428
  6,889
  7,375
  7,889
  8,430
  9,002
  9,606
  10,242
Retained Cash Flow (-), $m
  -127
  -98
  -100
  -104
  -109
  -113
  -118
  -124
  -129
  -135
  -141
  -147
  -154
  -161
  -169
  -177
  -185
  -194
  -203
  -213
  -223
  -234
  -245
  -257
  -270
  -283
  -297
  -311
  -327
  -343
  -360
Prev. year cash balance distribution, $m
 
  212
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash flow adjustment, $m
 
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash available for distribution, $m
 
  849
  706
  853
  1,007
  1,170
  1,341
  1,521
  1,710
  1,910
  2,121
  2,323
  2,557
  2,804
  3,065
  3,340
  3,630
  3,937
  4,261
  4,602
  4,963
  5,344
  5,746
  6,171
  6,619
  7,092
  7,592
  8,119
  8,676
  9,263
  9,883
Discount rate, %
 
  7.30
  7.67
  8.05
  8.45
  8.87
  9.32
  9.78
  10.27
  10.79
  11.32
  11.89
  12.49
  13.11
  13.77
  14.45
  15.18
  15.93
  16.73
  17.57
  18.45
  19.37
  20.34
  21.35
  22.42
  23.54
  24.72
  25.96
  27.25
  28.62
  30.05
PV of cash for distribution, $m
 
  792
  609
  676
  728
  765
  786
  791
  782
  760
  725
  675
  623
  565
  504
  441
  379
  319
  263
  213
  168
  130
  98
  72
  52
  36
  24
  16
  10
  6
  4
Current shareholders' claim on cash, %
  100
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0

Packaging Corporation of America manufactures and sells containerboard and corrugated packaging products in the United States, Europe, Mexico, and Canada. It operates through Packaging, Paper, and Corporate and Other segments. The company offers various corrugated packaging products, such as conventional shipping containers used to protect and transport manufactured goods, multi-color boxes and displays that help to merchandise the packaged product in retail locations, and honeycomb protective packaging. It also produces packaging for meat, fresh fruit and vegetables, processed food, beverages, and other industrial and consumer products. In addition, the company provides white papers comprising commodity and specialty papers with various features, such as colors, coatings, high brightness, and recycled content. Its white papers consist of communication papers, including cut-size office papers, and printing and converting papers; and pressure sensitive papers, such as release liners that are used to produce labels for use in consumer and commercially-packaged products. The company also produces market pulp. Packaging Corporation of America was founded in 1867 and is headquartered in Lake Forest, Illinois.

FINANCIAL RATIOS  of  Packaging of America (PKG)

Valuation Ratios
P/E Ratio 20.7
Price to Sales 1.6
Price to Book 5.3
Price to Tangible Book
Price to Cash Flow 11.6
Price to Free Cash Flow 18
Growth Rates
Sales Growth Rate 0.6%
Sales - 3 Yr. Growth Rate %
EPS Growth Rate %
EPS - 3 Yr. Growth Rate %
Capital Spending Gr. Rate -12.8%
Cap. Spend. - 3 Yr. Gr. Rate 3.7%
Financial Strength
Quick Ratio 9
Current Ratio 0
LT Debt to Equity 150%
Total Debt to Equity 151.5%
Interest Coverage 0
Management Effectiveness
Return On Assets 8.1%
Ret/ On Assets - 3 Yr. Avg. 8%
Return On Total Capital 10.7%
Ret/ On T. Cap. - 3 Yr. Avg. 10.6%
Return On Equity 26.5%
Return On Equity - 3 Yr. Avg. 27.2%
Asset Turnover 1
Profitability Ratios
Gross Margin 22.1%
Gross Margin - 3 Yr. Avg. 21.4%
EBITDA Margin 18.1%
EBITDA Margin - 3 Yr. Avg. 17.6%
Operating Margin 13.5%
Oper. Margin - 3 Yr. Avg. 12.9%
Pre-Tax Margin 11.9%
Pre-Tax Margin - 3 Yr. Avg. 11.3%
Net Profit Margin 7.8%
Net Profit Margin - 3 Yr. Avg. 7.4%
Effective Tax Rate 34.7%
Eff/ Tax Rate - 3 Yr. Avg. 35%
Payout Ratio 48%

PKG stock valuation input parameters

Revenue. Company's revenue (or sales) is always the starting point of any cash flow forecast. In the PKG stock intrinsic value calculation we used $5779 million for the last fiscal year's total revenue generated by Packaging of America. The default revenue input number comes from 2016 income statement of Packaging of America. You may change it if you feel that it should be adjusted for some unusual circumstances that are not expected to be repeated in the future or if you already know (from interim financial statements, for example) that this year's revenue is going to be quite different.

Revenue growth rate. Forecasted future revenue growth rate is the most important input parameter for the intrinsic value calculation. Unlike other input parameters that are reasonably expected to be in line with their historic averages or their historic trends, the revenue growth rate by and large is a wild card: nobody really knows what the company's revenue will be in the future. Of course, the level of unpredictability is different for different industries (utility companies being the most predictable and, thus, less risky).
    We use three input parameters to forecast the revenue growth rate in our PKG stock valuation model: a) initial revenue growth rate of 6.2% whose default value is the revenue growth rate in the most recent quarter compared to the quarterly revenue a year ago; b) terminal revenue growth rate of 5% whose default value is chosen to be close to the average nominal (i.e. not adjusted for inflation) GDP growth rate; and c) revenue decline factor of 0.9, which stipulates that revenue growth rate in each forecasted year will be equal to the difference of the revenue growth rate in the preceding year and the terminal revenue growth rate multiplied by this revenue decline factor (with the passage of time the revenue growth rate will be approaching the terminal revenue growth rate, but not quite reaching it - though the difference could be infinitesimally small).
    At the revenue decline factor of 1, the future revenue growth rate is forecasted to be constant and equal to the initial revenue growth rate. The smaller the revenue decline factor, the faster the revenue growth rate will approach the terminal revenue growth.

Discount rate. The discount rate is used for determining the present value of future cash flows: future cash flows are "discounted" as at normal conditions (that translate into positive expected return on investment) one dollar today is worth more than the same dollar in the future. Unlike all other valuation models, we use variable discount rate, i.e. it increases for each consecutive year. This is done to account for higher risk of cash flows coming in further in the future.
    The initial discount rate of 7.3%, whose default value for PKG is calculated based on our internal credit rating of Packaging of America, is applied to the cash flow expected to be received a year from now (well, actually, to be precise, in the financial year following the base year - the last year for which we have financial statements). For each consecutive year the discount rate is multiplied by the discount rate multiplier of 1.05, e.i. each year it increases by 5%. Feel free to change this number to correspond to your level of risk assessment of Packaging of America.
    By the way, it is easy to set the discount rate to be constant (this would make comparison with other valuation models easier): just set the discount rate multiplier equal to 1 and chose the magnitude of the initial discount rate to your liking.

Variable cost ratio is the ratio of variable costs (i.e. costs that fluctuate with fluctuation of the volume of production) to the revenue expressed as a percentage. In the calculation of intrinsic value of PKG stock the variable cost ratio is equal to 18.9%.

Fixed operating expenses is just that - expenses that are not dependant on the volume of production. They are set to $4004 million in the base year in the intrinsic value calculation for PKG stock. These expenses increase with the level of inflation in subsequent years.

Interest rate on debt is the average all-in rate of interest paid by the company on its debt. It is set at 3.5% for Packaging of America.

Corporate tax rate of 27% is the nominal tax rate for Packaging of America. In reality, companies find ways to pay much less taxes than that or not to pay them at all.

Cash flow adjustment could be used for any adjustment the investor deems necessary. Most commonly we use this field to account for stock options-related effects in excess of what is reported on the company's income statement. The cash flow adjustment is expressed as a percentage of the revenue, and in the current valuation of the PKG stock is equal to 0%.

Production assets are the company's assets used for manufacturing products or provision of services. In the valuation model input table they are expressed as a percentage of revenue and for PKG are equal to 55.1%.

Life of production assets of 10.7 years is the average useful life of capital assets used in Packaging of America operations. It is used to calculate yearly capital expenditures needed to keep these assets in good order - we call it the maintenance CAPEX.

Working capital is the difference between the company's current assets and liabilities. In the model we use the ratio of working capital to revenue, which for PKG is equal to 14.9%. A negative number means that the company is apt at using financial resources of its suppliers and customers; a large positive number, on the other hand, means that it either provides in-kind financing to others or is not good at managing its inventories.

Book value of equity - $1760 million for Packaging of America - is used in calculation of the "floor" for intrinsic valuation based on the discounted cash flow (DCF) method. Even if the prospects are very bad for a company, its assets could always be sold now for their current fair market value.

Shares outstanding of 94.739 million for Packaging of America is needed to calculate the intrinsic value of one share.

Market capitalization is used here only for reference purposes and as a quick check that the share price and the number of shares outstanding numbers are correct - something especially to be cognizant about at stock splits. So, the market capitalization of Packaging of America at the current share price and the inputted number of shares is $9.4 billion.


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