Silgan Holdings Inc. (SLGN) AI Stock Analysis
SLGN AI stock analysis summary
AI ResearchSilgan Holdings Inc. (SLGN) manufactures rigid packaging solutions, including metal containers, closures, and custom plastic containers. While trailing twelve months revenue reached $6.68B with an operating margin of 10.3%, the company carries significant leverage with total debt of $4.83B. Its stock trades at a trailing P/E of 14.8x and offers a forward dividend yield of 2.22%.
- Market cap
- $3.99B
- Revenue (TTM)
- $6.68B
- P/E
- 14.8x fwd 8.8x
- 1Y return
- -11.3% S&P 500 16.8%
- Avg. target
- $51.92 37.4% vs last close
Bull case
- Silgan trades at an attractive valuation, with a forward P/E of 8.8x and EV-to-EBITDA of 9.3x compared to US-listed Consumer Cyclical peer medians of 14.1x and 11.1x.
- Wall Street analysts hold a positive outlook with 12 out of 13 positive ratings and a mean price target of $51.92, representing 37.4% upside.
- The company maintains solid cash generation, generating $422.7M in free cash flow in FY2025 and supporting 23 consecutive years of dividend payments.
Bear case
- The balance sheet carries substantial leverage, with total debt of $4.83B and a debt-to-equity ratio of 2.03 as of June 30, 2026.
- Quarterly earnings dropped 13.7% year-over-year in the latest quarter ending June 30, 2026.
- The stock has lagged the broader market over long horizons, delivering a 5-year return of just 0.9% versus 83.0% for the S&P 500.
What Silgan does
Silgan Holdings Inc. manufactures and distributes rigid packaging solutions for consumer goods across North America, Europe, and globally. The company operates through three segments: Dispensing and Specialty Closures, Metal Containers, and Custom Containers. Metal Containers produces steel and aluminum packaging for pet food, vegetables, soups, nutritional drinks, and general line chemicals. Dispensing and Specialty Closures supplies metal and plastic closures, dispensing systems, capping equipment, and detection systems for food, beverage, healthcare, and home products. Custom Containers manufactures custom-designed plastic containers, thermoformed bowls, trays, and tubs for personal care, healthcare, food, household, and pharmaceutical markets.
Growth and profitability
Over the five-year period from FY2020 to FY2025, Silgan generated a revenue compound annual growth rate of 5.7%. After revenue fell 6.6% in FY2023 to $5.99B and 2.2% in FY2024 to $5.85B, sales rebounded 10.7% in FY2025 to $6.48B. Net income was $288.4M in FY2025 with an operating margin of 10.2%, up from a 2.0% operating margin in FY2023. Over the trailing twelve months, revenue totaled $6.68B with a 4.0% profit margin and diluted EPS of $2.55. In the latest quarter ending June 30, 2026, quarterly revenue rose 6.8% year-over-year, while quarterly earnings declined 13.7%.
Balance sheet and cash flow
As of June 30, 2026, Silgan held $351.5M in cash and short-term investments against total debt of $4.83B, resulting in net debt of $4.48B and a debt-to-equity ratio of 2.03. Total assets stood at $9.60B, supported by a current ratio of 1.27. In FY2025, operating cash flow reached $729.8M and free cash flow was $422.7M. The company allocated capital toward $307.1M in capital expenditures, $85.8M in dividends paid, and $74.9M in share buybacks.
Valuation and performance
At a last close of $37.80, Silgan trades at a trailing P/E of 14.8x and a forward P/E of 8.8x, both below the median of its US-listed Consumer Cyclical peers (18.0x and 14.1x, respectively). Its enterprise value of $8.41B reflects an EV-to-EBITDA multiple of 9.3x, lower than the peer median of 11.1x. The stock has underperformed the broader market, declining 11.3% over the past year and gaining 0.9% over five years, compared to returns of 16.8% and 83.0% for the S&P 500 (SPY).
SLGN dividend
Silgan pays an annual forward dividend of $0.84 per share, translating to a dividend yield of 2.22% with a payout ratio of 22.7%. Distributed quarterly, the dividend has been paid for 23 consecutive years and generated a 5-year annualized dividend growth rate of 10.8%. The last ex-dividend date was September 1, 2026.
What analysts expect
Wall Street coverage consists of 9 Strong Buy, 3 Buy, and 1 Hold ratings, with no Sell or Strong Sell recommendations. The mean price target is $51.92, representing 37.4% upside versus the last close of $37.80. For the fiscal year ending December 31, 2026, analysts estimate revenue of $6.87B and EPS of $3.81. Silgan has beaten EPS estimates in 3 of the last 4 quarters, and its next earnings report is scheduled for October 29, 2026.
Key risks and what to watch
- Net debt of $4.48B exposes the company to refinancing and interest rate risks relative to its $351.5M cash balance.
- Short interest represents 10.2% of float, indicating notable bearish positioning among market participants.
- Profitability remains relatively thin, with a trailing twelve months net profit margin of 4.0%.
AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer
About this SLGN AI stock analysis
This page is an AI-written research summary of Silgan Holdings Inc. (SLGN). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.
Related: SLGN income statement, SLGN balance sheet, SLGN key metrics, SLGN analyst forecast, SLGN chart. See the SLGN stock overview for the latest quote and news.
SLGN AI stock analysis FAQ
What is Silgan Holdings' dividend yield and payout ratio?
Silgan offers an annual forward dividend of $0.84 per share, which equates to a dividend yield of 2.22%. The dividend payout ratio is 22.7%, supported by 23 consecutive years of dividend payments.
How much debt does Silgan have?
As of June 30, 2026, Silgan reported total debt of $4.83B and net debt of $4.48B, against cash and short-term investments of $351.5M. This gives the company a debt-to-equity ratio of 2.03.
What are analysts' price targets for SLGN stock?
The consensus mean price target from analysts is $51.92, implying a 37.4% upside from its last closing price of $37.80. The company has 9 Strong Buy, 3 Buy, and 1 Hold ratings.
When is Silgan's next earnings report?
Silgan's next earnings date is scheduled for October 29, 2026. For the current fiscal year ending December 31, 2026, analysts anticipate revenue of $6.87B and an EPS of $3.81.