-
CCL Industries Inc. Unlimited Class B Non-Voting Shares (CCL.B)
-
CCL Industries Inc. Unlimited Class A Voting Shares (CCL.A)
Q: I would appreciate an updated opinion of CCL Industries Inc. Thanks!
5i Research Answer:
Despite a slowdown in some of its segments, CCL recently posted a strong quarter and has shown decent growth over the past few years. Management raised the dividend earlier this year, and operating cash flows have been growing. Earnings per share growth is expected to be in the mid-single-digit percentage range over the next two years, and shares trade at 17x forward earnings, closer to the lower end of the 5-year range. This may not be an 'exciting' name to consider, but it fulfills several fundamental criteria, such as strong cash flow, market share, margin stability, and business resilience. We continue to favor this option.