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Pactiv Evergreen (Pactiv Evergreen) ROE % : 6.35% (As of Dec. 2023)


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What is Pactiv Evergreen ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Pactiv Evergreen's annualized net income for the quarter that ended in Dec. 2023 was $84 Mil. Pactiv Evergreen's average Total Stockholders Equity over the quarter that ended in Dec. 2023 was $1,323 Mil. Therefore, Pactiv Evergreen's annualized ROE % for the quarter that ended in Dec. 2023 was 6.35%.

The historical rank and industry rank for Pactiv Evergreen's ROE % or its related term are showing as below:

PTVE' s ROE % Range Over the Past 10 Years
Min: -16.2   Med: 17.12   Max: Negative Equity
Current: -16.2

During the past 11 years, Pactiv Evergreen's highest ROE % was Negative Equity%. The lowest was -16.20%. And the median was 17.12%.

PTVE's ROE % is ranked worse than
95.25% of 379 companies
in the Packaging & Containers industry
Industry Median: 6.13 vs PTVE: -16.20

Pactiv Evergreen ROE % Historical Data

The historical data trend for Pactiv Evergreen's ROE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Pactiv Evergreen ROE % Chart

Pactiv Evergreen Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.92 -1.71 1.95 22.46 -15.42

Pactiv Evergreen Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
ROE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.91 -36.29 -41.37 8.99 6.35

Competitive Comparison of Pactiv Evergreen's ROE %

For the Packaging & Containers subindustry, Pactiv Evergreen's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Pactiv Evergreen's ROE % Distribution in the Packaging & Containers Industry

For the Packaging & Containers industry and Consumer Cyclical sector, Pactiv Evergreen's ROE % distribution charts can be found below:

* The bar in red indicates where Pactiv Evergreen's ROE % falls into.



Pactiv Evergreen ROE % Calculation

Pactiv Evergreen's annualized ROE % for the fiscal year that ended in Dec. 2023 is calculated as

ROE %=Net Income (A: Dec. 2023 )/( (Total Stockholders Equity (A: Dec. 2022 )+Total Stockholders Equity (A: Dec. 2023 ))/ count )
=-223/( (1548+1345)/ 2 )
=-223/1446.5
=-15.42 %

Pactiv Evergreen's annualized ROE % for the quarter that ended in Dec. 2023 is calculated as

ROE %=Net Income (Q: Dec. 2023 )/( (Total Stockholders Equity (Q: Sep. 2023 )+Total Stockholders Equity (Q: Dec. 2023 ))/ count )
=84/( (1300+1345)/ 2 )
=84/1322.5
=6.35 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Dec. 2023) net income data. ROE % is displayed in the 30-year financial page.


Pactiv Evergreen  (NAS:PTVE) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Dec. 2023 )
=Net Income/Total Stockholders Equity
=84/1322.5
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(84 / 5096)*(5096 / 6420.5)*(6420.5 / 1322.5)
=Net Margin %*Asset Turnover*Equity Multiplier
=1.65 %*0.7937*4.8548
=ROA %*Equity Multiplier
=1.31 %*4.8548
=6.35 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Dec. 2023 )
=Net Income/Total Stockholders Equity
=84/1322.5
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (84 / 96) * (96 / 480) * (480 / 5096) * (5096 / 6420.5) * (6420.5 / 1322.5)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.875 * 0.2 * 9.42 % * 0.7937 * 4.8548
=6.35 %

Note: The net income data used here is four times the quarterly (Dec. 2023) net income data. The Revenue data used here is four times the quarterly (Dec. 2023) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Pactiv Evergreen ROE % Related Terms

Thank you for viewing the detailed overview of Pactiv Evergreen's ROE % provided by GuruFocus.com. Please click on the following links to see related term pages.


Pactiv Evergreen (Pactiv Evergreen) Business Description

Traded in Other Exchanges
Address
1900 West Field Court, Lake Forest, IL, USA, 60045
Pactiv Evergreen Inc is engaged in the business of manufacturing and distributing fresh foodservice and food merchandising products and fresh beverage cartons. It operates in three segments: Foodservice, Food Merchandising, and Beverage Merchandising. These segments manufacture a broad range of products such as food containers, drinkware, tableware, service ware, ready-to-eat food containers, clear rigid-display containers, trays for meat and poultry, molded fiber egg cartons, printed cartons, spouts & filling machines, and other products. The company's geographical segments are the United States, the Rest of North America, and Others, of which the vast majority of its revenue comes from the United States.
Executives
Allen Hugli director C/O RANK GROUP, LEVEL II, 148 QUAY ST, AUCKLAND Q2 00000
Duncan Hawkesby director C/O PACTIV EVERGREEN INC., 1900 W. FIELD COURT, LAKE FOREST IL 60045
Tim A. Levenda officer: President, Foodservice 1900 W. FIELD COURT, LAKE FOREST IL 60045
Jonathan Baksht officer: Chief Financial Officer 5847 SAN FELIPE, SUITE 3300, HOUSTON TX 77057
Eric Wulf officer: President, Food Merchandising 1900 W. FIELD COURT, LAKE FOREST IL 60045
Chandra J Mitchell officer: Chief Legal Officer & Sec. C/O 7 ACQUISITION CORPORATION, 750 EAST MAIN STREET, SUITE 600, STAMFORD CT 06902
Douglas Owenby officer: Chief Operations Officer C/O PACTIV EVERGREEN INC, 1900 W FIELD COURT, LAKE FOREST IL 60045
Byron Jason Racki officer: Pres., Beverage Merchandising 3460 PRESTON RIDGE ROAD, SUITE 600, ALPHARETTA GA 30005
Michael Jack King director 1900 W. FIELD COURT, LAKE FOREST IL 60045
Rolf Stangl director 1900 W. FIELD COURT, LAKE FOREST IL 60045
John P. Rooney officer: Pres, Beverage Merchandising 1900 W. FIELD COURT, LAKE FOREST IL 60045
Michael Ragen officer: COO and CFO 1900 W. FIELD COURT, LAKE FOREST IL 60045
Jonathan D Rich director 1144 EAST MARKET STREET, AKRON OH 44316-0001
John T. Mcgrath director, officer: Chief Executive Officer 1900 W. FIELD COURT, LAKE FOREST IL 60045
Felicia D Thornton director 250 PARKCENTER BLVD PO BOX 20, BOISE ID 83726