CCL Industries (A) (CCL.A) AI Stock Analysis

• Market Cap: C$14.23B
• Dividend Yield: 1.46%
• Average Volume (3M): 24.00
• Price to Earnings (P/E): 18.6
• Beta (1Y): 0.60
• Revenue Growth: 7.90%
• EPS Growth: 19.55%
• Country: CA
• Employees: 26,300
• Sector: Consumer Cyclical
• Sector Strength: 80
• Industry: Packaging & Containers
• EPS (TTM): 1.22
• Shares Outstanding: 11,746,323
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 24
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: C$94.00
• Price Target Upside: 13.61% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 78 Outperform
• Price Target: C$94.00 ▲(13.61% Upside)

CCL Industries' strong financial performance and positive earnings call highlights are the primary drivers of the score. The technical analysis suggests positive momentum, though caution is advised due to potential overbought conditions. Valuation is fair, providing a balanced outlook.

CCL Industries (A) Business Overview & Revenue Model

Company Description

CCL Industries Inc. is a leading global provider of specialty label, security, and packaging solutions for global corporations, small businesses, and consumers. Headquartered in Toronto, Canada, the company operates across multiple sectors, including consumer packaged goods, healthcare, and industrial markets. CCL Industries is recognized for its diverse product offerings, such as pressure-sensitive labels, shrink sleeves, and tubes, catering to a wide range of industries and applications.

How the Company Makes Money

CCL Industries primarily generates revenue through the design, production, and sale of innovative labeling and packaging solutions. The company's revenue model is centered around its various business segments, including CCL Label, Avery, Checkpoint, and Innovia. CCL Label, the largest segment, serves global consumer product companies with specialty labels and sleeves. Avery generates income through printable media and related products for both consumers and businesses. Checkpoint focuses on providing technology-driven inventory management and labeling solutions, mainly for the retail industry. Innovia produces specialty films used in labels, packaging, and security applications. Key revenue streams include direct sales to businesses and long-term supply agreements. Partnerships with major global brands and a focus on R&D to drive product innovation and customization are significant contributors to CCL Industries' earnings.

CCL Industries (A) Financial Statement Overview

Summary

CCL Industries demonstrates strong financial health with consistent revenue growth, solid profitability, and efficient cash flow management. The company's capital structure is stable, with a balanced leverage position and effective equity utilization.

Income Statement

CCL Industries shows strong revenue growth with a TTM revenue increase of 2.07% compared to the previous year. The gross profit margin stands at 29.67%, indicating efficient cost management. The net profit margin of 11.61% reflects solid profitability. The EBIT margin at 14.83% and EBITDA margin at 22.10% further demonstrate robust operational performance.

Balance Sheet

The company's debt-to-equity ratio is 0.47, suggesting a balanced leverage position. With a return on equity of 15.73%, the company effectively utilizes its equity to generate profits. The equity ratio of 53.53% indicates a strong capital structure, with more than half of the assets funded by equity.

Cash Flow

The free cash flow growth rate is 7.68%, showcasing healthy cash generation. An operating cash flow to net income ratio of 1.22 reflects efficient cash flow management. The free cash flow to net income ratio of 0.76 indicates solid cash conversion from profits.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	7.48B	7.25B	6.65B	6.38B	5.73B	5.24B
Gross Profit	2.23B	2.14B	1.91B	1.72B	1.59B	1.50B
EBITDA	1.59B	1.58B	1.25B	1.26B	1.19B	1.09B
Net Income	792.00M	843.10M	530.20M	622.70M	599.10M	529.70M
Balance Sheet
Total Assets	10.15B	9.86B	8.92B	8.66B	7.63B	7.34B
Cash, Cash Equivalents and Short-Term Investments	962.50M	820.60M	774.20M	831.50M	594.10M	700.30M
Total Debt	2.60B	2.45B	2.28B	2.36B	1.85B	2.09B
Total Liabilities	4.77B	4.58B	4.30B	4.40B	3.88B	4.05B
Stockholders Equity	5.38B	5.28B	4.62B	4.27B	3.75B	3.28B
Cash Flow
Free Cash Flow	755.40M	601.90M	541.70M	545.60M	514.90M	600.10M
Operating Cash Flow	1.12B	1.06B	1.00B	992.80M	838.70M	882.90M
Investing Cash Flow	-370.10M	-600.30M	-768.00M	-706.60M	-541.30M	-428.00M
Financing Cash Flow	-471.40M	-424.30M	-295.20M	-72.60M	-370.00M	-461.30M

CCL Industries (A) Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 82.74
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:CCL.A, the sentiment is Positive. The current price of 82.74 is above the 20-day moving average (MA) of 80.37, above the 50-day MA of 80.14, and above the 200-day MA of 75.60, indicating a bullish trend. The MACD of 1.07 indicates Negative momentum. The RSI at 58.12 is Neutral, neither overbought nor oversold. The STOCH value of 50.20 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:CCL.A.

CCL Industries (A) Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CCL.A	78 Outperform	C$14.23B	18.63	15.20%	1.46%	7.90%	19.55%
TCL.B	74 Outperform	C$1.68B	9.46	9.65%	9.40%	-2.58%	100.21%
WPK	71 Outperform	C$2.56B	13.42	10.79%	7.70%	4.69%	4.54%
TCL.A	68 Neutral	C$1.68B	9.38	9.65%	9.45%	-2.58%	100.21%
Sector *	61 Neutral	$17.75B	12.56	-5.49%	3.02%	1.43%	-14.12%
CADNF	―	$725.48M	―	-0.47%	4.75%	―	―
CCDBF	―	$10.28B	18.36	14.88%	1.48%	―	―

CCL Industries (A) Corporate Events

CCL Industries Strengthens Board with New Appointments

CCL Industries has appointed Mandeep Chawla and Michael Larsson to its Board of Directors, enhancing its leadership with their extensive expertise in finance, global markets, and innovative manufacturing processes. This strategic move aims to strengthen CCL’s market position and operational efficiency, following the recent addition of Andrew M. Butler and Andrea E. Daly to the board, thus completing its leadership team.

CCL Industries Achieves Record Second Quarter Results in 2025

CCL Industries reported a 4.8% increase in sales for the second quarter of 2025, with organic growth contributing 2.0%, acquisitions 1.0%, and positive currency translation 1.8%. Operating income improved by 6.1%, and the company returned $155.8 million to shareholders through dividends and share repurchases. Despite a decrease in basic earnings due to a previous year’s revaluation gain, adjusted earnings per share increased by 8.0%, reflecting strong operational performance amid challenging conditions.

CCL Industries to Release Q2 2025 Earnings and Host Webcast

CCL Industries Inc. announced it will release its 2025 Second Quarter Earnings Results on August 13, 2025, followed by a live webcast on August 14, 2025, to discuss the results. This announcement highlights CCL’s commitment to transparency and stakeholder engagement, potentially impacting its market positioning by providing insights into its financial performance and strategic direction.

CCL Industries Expands Avery’s Portfolio with Strategic Acquisition

CCL Industries has announced the acquisition of Humphreys Holdings Limited, known as We Print Lanyards, a UK-based designer and manufacturer of custom lanyards, name badges, and ID cards. This acquisition is expected to enhance Avery’s portfolio in access control, badging, and credentials technologies, strengthening its market position in the retail, hospitality, and events sectors.

CCL Industries to Initiate Share Buyback Program

CCL Industries Inc. announced that the Toronto Stock Exchange has accepted its proposal to initiate a normal course issuer bid, allowing the company to repurchase up to 14,450,000 of its Class B non-voting shares, representing approximately 9.95% of the public float. This move is seen as a strategic use of funds, aimed at enhancing shareholder value by reducing the number of outstanding shares, which could potentially improve earnings per share and reflect confidence in the company’s financial health.