Silgan Holdings (SLGN) AI Stock Analysis

• Market Cap: $4.96B
• Dividend Yield: 1.68%
• Average Volume (3M): 1.03M
• Price to Earnings (P/E): 16.5
• Beta (1Y): 0.66
• Revenue Growth: 5.49%
• EPS Growth: -1.00%
• Country: US
• Employees: 17,315
• Sector: Consumer Cyclical
• Sector Strength: 73
• Industry: Packaging & Containers
• EPS (TTM): 1.01
• Shares Outstanding: 106,993,180
• 10 Day Avg. Volume: 1,893,253
• 30 Day Avg. Volume: 1,032,220
• PEG Ratio: -1.48
• Price to Book (P/B): 2.80
• Price to Sales (P/S): 0.95
• P/FCF Ratio: 12.14
• Enterprise Value/Market Cap: 2.13
• Enterprise Value/Revenue: 1.71
• Enterprise Value/Gross Profit: 9.57
• Enterprise Value/Ebitda: 15.00
• 1Y Price Target: $59.86
• Price Target Upside: 29.09% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8

• Rating: 69 Neutral
• Price Target: $51.00 ▲(9.98% Upside)

Silgan Holdings' overall stock score is driven by stable financial performance and positive corporate events. However, high leverage and declining cash flow metrics, along with revised earnings guidance, suggest a cautious outlook.

Positive Factors

Earnings Performance

SLGN delivered a solid Q1 and reaffirmed its EPS growth, highlighting resilience amid macro uncertainty.

Mergers and Acquisitions

Silgan's acquisition of Weener is expected to add more than $100m to EBITDA annually, enhancing financial performance.

Portfolio Optimization

Exiting Custom Containers is seen as a positive step towards further portfolio optimization.

Negative Factors

Free Cash Flow

The FCF outlook was reduced to $430M from $450M.

Guidance Cut

SLGN surprised investors with an atypical guidance cut owing to two discreet items: a metal can customer's Chapter 11 filing (~$10MM impact) and lowered NT expectations for isotonic bevs. in NA (~$10MM impact).

Silgan Holdings Business Overview & Revenue Model

Company Description

Silgan Holdings Inc. (SLGN) is a leading supplier of rigid packaging for consumer goods products. The company operates through three primary segments: metal containers, closures, and plastic containers. Silgan Holdings is known for providing packaging solutions to a wide range of markets, including food and beverage, household, healthcare, and personal care. With a strong presence in North America, Europe, and other international markets, Silgan is recognized for its commitment to innovation, quality, and customer service.

How the Company Makes Money

Silgan Holdings generates revenue primarily through the manufacturing and sale of packaging products. The company's key revenue streams include the production of metal containers, primarily for food products, closures for food and beverage as well as household and health care products, and plastic containers serving a variety of end markets. Silgan's revenue model is heavily reliant on long-term contracts with established consumer goods companies, ensuring a stable and recurring income. The company benefits from scale efficiencies and innovations in packaging technology, enhancing its competitive edge. Significant partnerships with major consumer packaged goods companies also contribute to Silgan's financial performance, as these collaborations often lead to long-term supply agreements and co-development of packaging solutions.

Silgan Holdings Financial Statement Overview

Summary

Silgan Holdings demonstrates solid financial performance with consistent revenue growth and strong operational efficiency. Despite moderate net profitability and high leverage, the company maintains strong returns on equity and stable cash generation.

Income Statement

Silgan Holdings has shown consistent revenue growth with a TTM revenue surpassing previous annual figures, indicating positive momentum. The gross profit margin for the TTM is at 17.63%, reflecting strong cost management. However, the net profit margin stands at a moderate 4.82%, suggesting room for improvement in overall profitability. The EBIT and EBITDA margins are healthy at 9.86% and 14.49% respectively, showcasing efficient operations. The company has managed to increase its revenue from the previous period, which is a positive indicator of growth.

Balance Sheet

The debt-to-equity ratio is quite high at 2.22, which indicates a reliance on debt financing and potential risk in financial stability. However, the return on equity is robust at 13.88%, demonstrating effective use of equity to generate profits. The equity ratio is 23.76%, suggesting that a significant portion of the company’s assets is financed through debt. While leverage is a concern, the company’s ability to generate returns on equity remains a strong point.

Cash Flow

The company has experienced a decline in free cash flow growth with a TTM free cash flow of $315.85 million compared to the previous annual figure. However, the operating cash flow to net income ratio is strong at 2.03, indicating efficient cash generation from operations relative to net income. The free cash flow to net income ratio is at 1.09, showing that the company is generating enough free cash flow to cover its net income. Overall, cash flows remain stable despite the decrease in free cash flow, with strong operational cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.16B	5.85B	5.99B	6.41B	5.68B	4.92B
Gross Profit	1.10B	1.01B	992.56M	1.05B	918.40M	867.40M
EBITDA	703.06M	789.92M	858.67M	964.03M	846.44M	770.01M
Net Income	302.05M	276.38M	325.96M	340.85M	359.08M	308.72M
Balance Sheet
Total Assets	9.41B	8.58B	7.61B	7.35B	7.77B	6.52B
Cash, Cash Equivalents and Short-Term Investments	317.50M	822.85M	642.92M	585.60M	631.40M	409.50M
Total Debt	5.05B	4.36B	3.43B	3.51B	3.79B	3.25B
Total Liabilities	7.19B	6.60B	5.72B	5.63B	6.21B	5.27B
Stockholders Equity	2.22B	1.99B	1.89B	1.72B	1.56B	1.25B
Cash Flow
Free Cash Flow	56.87M	459.09M	255.79M	532.60M	324.50M	378.30M
Operating Cash Flow	343.87M	721.87M	482.60M	748.40M	556.80M	602.50M
Investing Cash Flow	-1.19B	-1.18B	-223.81M	-215.60M	-976.00M	-1.16B
Financing Cash Flow	847.46M	662.52M	-211.39M	-569.60M	648.60M	759.90M

Silgan Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 46.37
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SLGN, the sentiment is Negative. The current price of 46.37 is below the 20-day moving average (MA) of 51.74, below the 50-day MA of 53.57, and below the 200-day MA of 52.72, indicating a bearish trend. The MACD of -2.40 indicates Positive momentum. The RSI at 25.36 is Positive, neither overbought nor oversold. The STOCH value of 11.55 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SLGN.

Silgan Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
REYN	71 Outperform	$4.81B	15.47	14.85%	4.03%	-0.49%	-13.92%
SLGN	69 Neutral	$4.96B	16.46	14.54%	1.68%	5.49%	-1.00%
GPK	69 Neutral	$6.49B	12.41	17.71%	1.85%	-5.05%	-24.52%
SON	67 Neutral	$4.48B	30.97	3.98%	4.57%	0.90%	-118.86%
SEE	66 Neutral	$4.31B	14.37	37.35%	2.73%	-2.45%	-16.55%
AMBP	61 Neutral	$2.25B	―	-69.06%	10.60%	8.39%	72.18%
Sector *	56 Neutral	HK$24.71B	3.78	-3.23%	5.89%	0.25%	-59.97%

Silgan Holdings Corporate Events

Silgan Holdings Declares Quarterly Cash Dividend

On August 5, 2025, Silgan Holdings Inc. announced that its Board of Directors declared a quarterly cash dividend of $0.20 per share, payable on September 16, 2025, to shareholders of record as of September 2, 2025. This marks the 86th consecutive quarterly dividend payment since 2004, reflecting the company’s consistent financial performance and commitment to returning value to shareholders.

The most recent analyst rating on (SLGN) stock is a Buy with a $65.00 price target. To see the full list of analyst forecasts on Silgan Holdings stock, see the SLGN Stock Forecast page.

Silgan Holdings President Resigns Amid Leadership Change

On June 3, 2025, Thomas J. Snyder, President of Silgan Containers, announced his resignation to pursue another opportunity, with his last day being June 4, 2025. This leadership change may impact Silgan Holdings‘ operations and its market positioning within the metal container industry.

The most recent analyst rating on (SLGN) stock is a Buy with a $65.00 price target. To see the full list of analyst forecasts on Silgan Holdings stock, see the SLGN Stock Forecast page.

Silgan Holdings Stockholders Approve Key Governance Decisions

On May 27, 2025, Silgan Holdings held its annual meeting of stockholders, where key decisions were made regarding the company’s governance and financial oversight. The stockholders elected three directors to the Board to serve until 2028, ratified the appointment of Ernst & Young LLP as the independent accounting firm for the fiscal year 2025, and approved the compensation of the Named Executive Officers, reflecting confidence in the company’s leadership and strategic direction.

The most recent analyst rating on (SLGN) stock is a Buy with a $50.00 price target. To see the full list of analyst forecasts on Silgan Holdings stock, see the SLGN Stock Forecast page.