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GPK vs LCII

GPK
Graphic Packaging Holding Company
BEARISH
Price
$9.60
Market Cap
$2.84B
Sector
Consumer Cyclical
AI Confidence
85%
LCII
LCI Industries
BULLISH
Price
$118.09
Market Cap
$2.87B
Sector
Consumer Cyclical
AI Confidence
85%

Valuation

P/E Ratio
GPK
6.49
LCII
15.6
Forward P/E
GPK
8.15
LCII
11.9
P/B Ratio
GPK
0.85
LCII
2.1
P/S Ratio
GPK
0.33
LCII
0.7
EV/EBITDA
GPK
6.12
LCII
9.65

Profitability

Gross Margin
GPK
18.72%
LCII
23.78%
Operating Margin
GPK
6.8%
LCII
3.79%
Profit Margin
GPK
5.15%
LCII
4.57%
ROE
GPK
13.98%
LCII
13.7%
ROA
GPK
4.66%
LCII
5.76%

Growth

Revenue Growth
GPK
0.4%
LCII
16.1%
Earnings Growth
GPK
-48.0%
LCII
104.2%

Financial Health

Debt/Equity
GPK
1.76
LCII
0.91
Current Ratio
GPK
1.3
LCII
2.85
Quick Ratio
GPK
0.46
LCII
0.98

Dividends

Dividend Yield
GPK
4.58%
LCII
3.9%
Payout Ratio
GPK
29.73%
LCII
60.77%

AI Verdict

GPK BEARISH

GPK presents as a classic value trap, characterized by a stable Piotroski F-Score of 4/9 but severe fundamental deterioration. While the stock trades significantly below its Graham Number ($19.4) and Intrinsic Value ($10.36), these metrics are lagging indicators that fail to account for a catastrophic -48% collapse in earnings growth. The combination of stagnant revenue (0.40%) and a consistent streak of earnings misses (0/4 in the last year) suggests the current low valuation is a reflection of declining business quality rather than a market mispricing.

Strengths
Deeply undervalued on trailing metrics (P/E 6.49, P/B 0.85)
Trading below Graham Number ($19.4) and Intrinsic Value ($10.36)
Sustainable dividend payout ratio (29.73%)
Risks
Severe earnings contraction (-48% YoY)
Stagnant revenue growth (0.40% YoY)
Poor short-term liquidity (Quick Ratio 0.46)
LCII BULLISH

LCII exhibits strong fundamental health with a Piotroski F-Score of 7/9 and trades significantly below its growth-based intrinsic value of $223.31. While the Graham Number suggests a more conservative defensive value of $97.87, the company's explosive earnings growth (104.2% YoY) and low Price/Sales ratio (0.70) indicate substantial undervaluation. Despite bearish insider sentiment and a current technical downturn, the company's profitability and liquidity metrics far outperform its sector peers.

Strengths
Strong Piotroski F-Score (7/9) indicating robust financial health
Explosive earnings growth (104.2% YoY) and consistent earnings beats
Highly attractive valuation with a P/S ratio of 0.70 and PEG of 1.04
Risks
Bearish insider activity with $13.14M in sales by the CEO and Officers
Thin net profit margins (4.57%) leaving little room for operational error
Exposure to the highly cyclical Recreational Vehicles industry

Compare Another Pair

GPK vs LCII: Head-to-Head Comparison

This page compares Graphic Packaging Holding Company (GPK) and LCI Industries (LCII) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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