CCL Industries (A) (TSE:CCL.A)
TSX:CCL.A
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CCL Industries (A)
(TSX:CCL.A)
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Rating:77Outperform
Price Target:
C$101.00
▲(13.42% Upside)
Action:ReiteratedDate:02/27/26
The score is driven primarily by strong financial performance (healthy margins, improving free cash flow, and improving leverage), supported by positive technical momentum (above key moving averages with positive MACD). Valuation is acceptable but not especially compelling given a moderate P/E and a modest dividend yield.
Positive Factors
Strong Cash Generation
Sustained, large operating and free cash flows provide durable funding for capex, dividends, acquisitions and debt reduction. High absolute FCF and rapid FCF growth increase strategic flexibility and reduce reliance on external financing over the medium term.
Negative Factors
Sizable Absolute Debt
Even with improving ratios, a large absolute debt stock creates ongoing exposure to interest-rate moves and refinancing cycles. Material debt can constrain strategic investment, increase interest costs in a higher-rate environment, and amplify earnings sensitivity to cash-flow shocks.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong Cash Generation
Sustained, large operating and free cash flows provide durable funding for capex, dividends, acquisitions and debt reduction. High absolute FCF and rapid FCF growth increase strategic flexibility and reduce reliance on external financing over the medium term.
Read all positive factors
CCL Industries (A) (CCL.A) vs. iShares MSCI Canada ETF (EWC)
Market Cap
C$15.19B
Dividend Yield1.44%
Average Volume (3M)156.00
Price to Earnings (P/E)18.9
Beta (1Y)0.69
Revenue Growth7.12%
EPS Growth17.15%
CountryCA
Employees26,300
SectorConsumer Cyclical
Sector Strength84
IndustryPackaging & Containers
Share Statistics
EPS (TTM)1.03
Shares Outstanding11,700,000
10 Day Avg. Volume289
30 Day Avg. Volume156
Financial Highlights & Ratios
PEG Ratio-6.38
Price to Book (P/B)2.69
Price to Sales (P/S)1.98
P/FCF Ratio17.55
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)4.93
Revenue Forecast (FY)C$7.98B
CCL Industries (A) Business Overview & Revenue Model
Company Description
CCL Industries Inc. engages in manufacture and sale of labels, and provides media and software solutions. It operates through four segments: CCL, Avery, Checkpoint, and Innovia. The CCL segment offers pressure sensitive and extruded film materials...
How the Company Makes Money
CCL Industries generates revenue primarily through the sale of labels, packaging solutions, and specialty products. The company operates under a diversified revenue model with key revenue streams coming from its various segments: CCL Label, which ...
CCL Industries (A) Earnings Call Summary
Earnings Call Date:Aug 13, 2025
(Q2-2025)
| % Change Since: |
Next Earnings Date:May 13, 2026
Earnings Call Sentiment Neutral
The earnings call presented a mixed picture with both positive and negative aspects. While there was notable growth in sales, operating income, and free cash flow, challenges such as a decline in net earnings, increased tax rates, and tariff impacts were significant. The CCL segment performed well, but other areas like Innovia and RFID faced challenges.Positive Updates
Sales and Operating Income Growth
Sales increased by 4.8% to $1.9 billion, with operating income rising by 5% to $322.1 million compared to the same quarter in 2024.
Negative Updates
Net Earnings Decline
Net earnings for the second quarter of 2025 were $213.1 million, down from $279.5 million in the second quarter of 2024.
Read all updates
Q2-2025 Updates
Positive
Negative
Sales and Operating Income Growth
Sales increased by 4.8% to $1.9 billion, with operating income rising by 5% to $322.1 million compared to the same quarter in 2024.
Read all positive updates
Company Guidance
In the second quarter of 2025, CCL Industries reported a 4.8% increase in sales, reaching $1.9 billion compared to $1.8 billion in the prior year. This growth was driven by 2% organic growth, 1% acquisition-related growth, and a 1.8% positive impact from foreign currency translation. Operating income rose by 5% to $322.1 million, excluding currency impacts, while consolidated EBITDA increased by 6%. The effective tax rate increased to 25.3%, affecting net earnings, which were $213.1 million, compared to $279.5 million in 2024, a year that included a $78.1 million revaluation gain. Free cash flow from operations saw a significant increase, reaching $226 million, up from $118.8 million. The company repurchased 1.3 million shares for $100 million and paid $112.1 million in dividends, reflecting strong shareholder returns. Net debt was $1.63 billion with a leverage ratio of 1.04x, supported by $963 million in cash and significant credit capacity. CCL also planned capital spending of $485 million for the year, with notable growth in their CCL Design and Healthcare segments.CCL Industries (A) Financial Statement Overview
Summary
Income Statement
84
Very Positive
Balance Sheet
78
Positive
Cash Flow
81
Very Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 7.66B | 7.25B | 6.65B | 6.38B | 5.73B |
| Gross Profit | 2.30B | 2.14B | 1.91B | 1.72B | 1.59B |
| EBITDA | 1.62B | 1.43B | 1.27B | 1.18B | 1.13B |
| Net Income | 802.40M | 843.10M | 530.20M | 622.70M | 599.10M |
Balance Sheet | |||||
| Total Assets | 10.10B | 9.86B | 8.92B | 8.66B | 7.63B |
| Cash, Cash Equivalents and Short-Term Investments | 998.20M | 828.70M | 774.20M | 839.50M | 602.10M |
| Total Debt | 2.41B | 2.45B | 2.28B | 2.36B | 1.85B |
| Total Liabilities | 4.46B | 4.58B | 4.30B | 4.40B | 3.88B |
| Stockholders Equity | 5.64B | 5.28B | 4.62B | 4.27B | 3.75B |
Cash Flow | |||||
| Free Cash Flow | 863.20M | 601.90M | 541.70M | 545.60M | 514.90M |
| Operating Cash Flow | 1.30B | 1.06B | 1.00B | 992.80M | 838.70M |
| Investing Cash Flow | -437.70M | -600.30M | -768.00M | -706.60M | -541.30M |
| Financing Cash Flow | -709.50M | -424.30M | -295.20M | -72.60M | -370.00M |
CCL Industries (A) Technical Analysis
Positive
89.05
Price Trends
87.24
Positive
86.24
Positive
82.70
Positive
Market Momentum
-0.16
Negative
51.32
Neutral
54.57
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 89.05 is above the 20-day moving average (MA) of 87.17, above the 50-day MA of 87.24, and above the 200-day MA of 82.70, indicating a bullish trend. The MACD of -0.16 indicates Negative momentum. The RSI at 51.32 is Neutral, neither overbought nor oversold. The STOCH value of 54.57 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
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
77 Outperform | C$15.19B | 18.88 | 14.55% | 1.44% | 7.12% | 17.15% | |
77 Outperform | C$2.67B | 14.22 | 10.69% | 7.11% | 3.19% | -0.26% | |
70 Outperform | C$5.28B | 8.51 | 9.92% | 1.32% | -5.33% | -57.58% | |
68 Neutral | C$456.85M | 16.26 | 7.69% | 8.22% | -2.45% | 44.20% | |
64 Neutral | C$456.85M | 16.26 | 7.69% | 8.32% | -2.45% | 44.20% | |
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% | |
53 Neutral | C$1.20B | 18.01 | 4.11% | 3.90% | 3.50% | ― |
* Consumer Cyclical Sector Average
TSE:CCL.A
CCL Industries (A)
88.24
18.62
26.74%
TSE:LNR
Linamar
88.79
37.88
74.39%
TSE:TCL.A
Transcontinental
5.21
2.77
113.18%
TSE:TCL.B
Transcontinental Inc. Class B
7.44
4.04
118.63%
TSE:WPK
Winpak
45.58
6.07
15.37%
TSE:CAS
Cascades
11.85
2.24
23.35%
CCL Industries (A) Corporate Events
Business Operations and StrategyStock Buyback
CCL Industries Adopts Automatic Plan to Accelerate Class B Share Buybacks
Positive
Feb 26, 2026
CCL Industries Inc. has entered into an automatic securities purchase plan with a designated broker to facilitate buybacks of its Class B non-voting shares under its existing normal course issuer bid. The plan, effective March 2, 2026, is designed...
Business Operations and StrategyStock BuybackDividendsFinancial Disclosures
CCL Industries Delivers Record 2025 Earnings Amid Mixed Segment Performance
Positive
Feb 26, 2026
CCL Industries reported record annual results for 2025, with sales up 5.8% to $7.66 billion and operating income rising 8.7%, supported by 2.5% organic growth, modest acquisition contributions and a favourable currency tailwind. Adjusted basic ear...
Business Operations and StrategyFinancial Disclosures
CCL Industries Schedules Webcast to Review Fourth-Quarter and 2025 Year-End Results
Neutral
Jan 30, 2026
CCL Industries announced it will release its fourth-quarter and full-year 2025 financial results on February 25, 2026, followed by a live webcast and audio call on February 26 to discuss the performance and take questions from stakeholders. The ev...
Business Operations and StrategyM&A Transactions
CCL Industries to Acquire ALT Technologies, Expanding Automotive Safety Business
Positive
Jan 16, 2026
CCL Industries has signed a binding agreement to acquire Advanced Safety Technologies B.V. and its subsidiaries, which operate as ALT Technologies, a privately owned producer of covers, wraps and seals for automotive airbags and durable labels for...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.