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Reynolds Consumer Products Inc.

Rank #375Value

REYN · Nasdaq · Consumer Cyclical

Reynolds Consumer Products Inc. (REYN) — Rank #375 by gross profitability (GP/assets 0.19) · ROE 13.3% · Piotroski F-Score 6 / 9.

As-of 2026-09-15 · CIK 0001786431 · all metrics point-in-time as of the filing date.

About

Reynolds Consumer Products Inc. produces and sells products in cooking, serving, cleanup, and storage, and tableware product categories in the United States and internationally.

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The company operates through four segments: Reynolds Cooking & Baking, Hefty Waste & Storage, Hefty Tableware, and Presto Products. The Reynolds Cooking & Baking segment produces aluminum foil, disposable aluminum pans, parchment paper, freezer paper, wax paper, butcher paper, plastic wrap, baking cups, oven bags, and slow cooker liners under the Reynolds Wrap, Reynolds Kitchens, and EZ Foil brands in the United States, as well as under the ALCAN brand in Canada and under the Diamond brand internationally. The Hefty Waste & Storage segment offers trash and food storage bags under the Hefty Ultra Strong and Hefty Strong brands; and food storage bags under the Hefty brands. It also provides a suite of products, including compostable bags, bags made from recycled materials. The Hefty Tableware segment offers disposable and compostable plates, bowls, platters, containers, cups, and cutlery under the Hefty brand, as well as dishes and party cups. The Presto Products segment primarily sells store brand products in food storage bags, trash bags, and plastic wrap categories. It offers both branded and store brand products to grocery stores, mass merchants, warehouse clubs, discount chains, dollar stores, drug stores, home improvement stores, military outlets, and eCommerce retailers. Reynolds Consumer Products Inc.

was founded in 1947 and is headquartered in Lake Forest, Illinois. Reynolds Consumer Products Inc. is a subsidiary of Packaging Finance Limited.

Industry
Packaging & Containers
Sector
Consumer Cyclical
State
DE
Filer Category
Large accelerated filer
Fiscal Year End
December 31

Price History

REYN-8.9% · -1.9% CAGRSPY+80.5% · +12.5% CAGR

Company Snapshot

P/E and dividend yield are the primary valuation lenses for mature businesses.

Market Cap

$4.58B

P/E (annual)

15.2

P/S (annual)

1.2

P/B

2.0

P/OCF (annual)

9.6

Shareholder Yield

4.0%

Employees

6,000

Industry

Packaging & Containers

Exchange

Nasdaq

Signal Flags

1 green1 yellow2 red
Sequential beat (rev + EPS)Both revenue and EPS exceeded prior quarter — 1-quarter streak
Disclosure regressionA previously-disclosed line item is no longer reported — worth checking the filing for why
Revenue declining YoYRevenue contracted year over year
Valuation convergenceEPS declining, shares diluting, and revenue growth decelerating simultaneously

Quality Profile

Profitability

1/1 pass
GP / assets
0.19
Return on equity
13.3%
Gross margin trend
PASS

Safety

1/1 pass
Balance-sheet safety
PASS
Debt / equity
1.18
Current ratio
1.79×
Net cash
-$1.46B

Cash Flow

3/3 pass
Positive FCF
PASS
Cash-backed earnings
PASS
Accruals healthy
PASS
SBC / revenue
0.6%

Growth

1/2 pass
Revenue growth
-2.5%
Piotroski F-Score
6 / 9
Share dilution
0.2%

Terry Smith quality gate

Passes 1/5 Terry Smith thresholds

3 of 5 thresholds not computable from filed data.

What Growth Is Priced In

Implied revenue growth (10Y)

3.3%

incredible deal

The annual FCF growth rate today's price requires over a 10-year horizon (discount rate 10%, terminal growth 2.5%).

Dilution drag: 0.2% — per-share value needs a total required return of 3.5% once share-count change is priced in.

vs. own 6-year median revenue growth: 7.6%

within its own history

Cost-of-equity sensitivity (implied growth at different discount rates)

r = 8%

-0.7%

r = 10% (base)

3.3%

r = 12%

6.8%

Net debt / market cap: 31.9%— material leverage inflates the implied growth read.

Note: current FCF margin is 2.0σ above its historical mean — implied growth may understate valuation risk if the margin reverts.

Base FCF: $316M3Y mean FCF: $266.7M

Valuation History

Current multiple vs historical range at each filing date. Band spans 25th-75th percentile.

P / E

Price / diluted EPS

20.0xFair
16.6xmed 20.1x25.9x

P / S

Price / revenue per share

1.6xFair
1.5xmed 1.6x1.8x

P / B

Price / book value per share

3.0xCheap
3.0xmed 3.2x3.7x

P / GP

Price / gross profit per share

6.3xFair
5.2xmed 6.2x7.4x

P / FCF

Price / free cash flow per share

11.0xCheap
10.2xmed 24.8x63.5x

Dividend yield and payout ratio are the primary reads at this stage (trailing P/E — see valuation above).

Profitability

Gross profitability (GP / assets)

0.19

Primary signal (Novy-Marx).

Return on equity

13.3%

Gross margin

24.6%

Revenue growth (YoY)

-2.5%

Gross margin improving

Margin trend vs prior year.

PASS

Operating Leverage

2020202120222023
Revenue vs COGS
Revenue vs OpEx
Op. Income vs Revenue

Growth

Revenue CAGR (3Y)

—

Revenue CAGR (5Y)

—

Earnings CAGR (3Y)

5.3%

FCF CAGR (3Y)

—

Anti-fragile safety

Balance-sheet safety

Composite anti-fragile check.

PASS

Debt / equity

1.18

Current ratio

1.79×

Quick ratio

0.71×

Net cash

-$1.46B

Cash & equivalents minus total debt.

Cash-flow health

Free cash flow

$316.00M

Operating cash flow minus capex.

Positive free cash flow

PASS

FCF / net income

0.05

Cash-backing of earnings.

FCF/NI divergence

Unfavorable divergence (yellow flag).

PASS

Accruals healthy

Cash-backed earnings.

PASS

SBC / revenue

0.6%

Stock-based comp intensity.

Dividend safety

Composite score

1.5 / 5

Weak
Payout ratio
63.8%2/5 Fair
FCF coverage
1.65×3/5 Good
Dividend growth streak
0 yr0/5 Weak
Balance-sheet health
D/E 1.18 · IC N/A1/5 Weak

Piotroski F-Score

F-Score

6 / 9

Fundamental-strength score (0-9).

Lifecycle Phase History

20182023
Capital Return
Value
View full financial statements →