Packaging Corporation of America cash flow to debt ratio of 35.68% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.

Packaging Corporation of America's free cash flow has increased 39.71% from $521.50M last year to $728.60M, signaling increasing performance

Packaging Corporation of America's debt to equity ratio is 0.94, which means that the company's assets are unhealthy financed, signaling financial risk.

Packaging Corporation of America's debt has increased relative to shareholder equity from 0.63 last year to 0.94 today, signaling weakened financials

Packaging Corporation of America has a net debt to EBITDA ratio of 2.14x, which is below the 3.00x threshold, indicating healthy leverage and financial stability

Packaging Corporation of America's interest coverage ratio of 10.19 indicates that earnings with good margin can cover interest payments on company debt

Packaging Corporation of America's profit margin has decreased (24.54%) in the last year from 9.60% to 7.25%, signaling decreasing performance

Packaging Corporation of America's short-term assets of $3.21B exceed its short-term liabilities of $1.02B

Packaging Corporation of America's return on assets of 6.27% is higher than the 5.00% threshold, indicating efficient asset utilization

Packaging Corporation of America's return on equity of 14.86%, is lower than 15.00%, indicating bad performance

Packaging Corporation of America's operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

Packaging Corporation of America had positive net income in 5 out of 5 years, indicating stable and consistent earnings

Packaging Corporation of America has positive free cash flow, indicating the company generates cash after capital expenditures

Packaging Corporation of America has a free cash flow yield of 3.21%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Packaging Corporation of America's yearly earnings has decreased 4.50% since last year from $805.10M to $768.90M, signaling decreasing performance

Packaging Corporation of America's yearly revenue has increased 7.23% since last year from $8.38B to $8.99B, signaling increasing performance

ROIC 9.17% (Source: FMP key-metrics). In the 5–10% partial-credit band. Score: 1 of 2. This band sits within the typical US weighted-average cost of capital range. Methodology choice can change the conclusion: under FMP's invested-capital definition the company is at or near its cost of capital; under narrower operating-capital definitions the same company may score higher. Invested capital here includes equity, non-current liabilities, and short-term debt. Cash is not subtracted. See methodology.

Packaging Corporation of America's 3-year revenue CAGR of 1.97% is positive, indicating growing revenue over the past 3 years

Packaging Corporation of America had revenue growth in 4 out of 5 years, indicating consistent revenue performance

Packaging Corporation of America had positive ROE in 5 out of 5 years, indicating consistent and reliable returns on equity

Packaging Corporation of America is overvalued relative to its fair value price of 68.23 based on Discounted Cash Flow model

Packaging Corporation of America has an earnings yield of 3.07%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings

Packaging Corporation of America is overvalued relative to its fair value price of 95.08 based on EBITDA multiple model

Packaging Corporation of America has an EV/EBITDA ratio of 15.04x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Packaging Corporation of America is overvalued relative to its fair value price of 224.77 based on Earnings Fair Value model

Packaging Corporation of America has a PEG-ratio over 1 which is considered overvalued

Packaging Corporation of America has a price-to-book ratio of 3.87x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Packaging Corporation of America has a price-to-sales ratio of 2.36x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue