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GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 7/10

vs
industry
vs
history
Cash to Debt 0.01
RKT's Cash to Debt is ranked lower than
71% of the 276 Companies
in the Global Packaging & Containers industry.

( Industry Median: 0.56 vs. RKT: 0.01 )
RKT' s 10-Year Cash to Debt Range
Min: 0   Max: 0.35
Current: 0.01

0
0.35
Equity to Asset 0.41
RKT's Equity to Asset is ranked lower than
53% of the 280 Companies
in the Global Packaging & Containers industry.

( Industry Median: 0.52 vs. RKT: 0.41 )
RKT' s 10-Year Equity to Asset Range
Min: 0.2   Max: 0.69
Current: 0.41

0.2
0.69
Interest Coverage 7.62
RKT's Interest Coverage is ranked higher than
59% of the 174 Companies
in the Global Packaging & Containers industry.

( Industry Median: 7.62 vs. RKT: 7.62 )
RKT' s 10-Year Interest Coverage Range
Min: 1.01   Max: 9.05
Current: 7.62

1.01
9.05
F-Score: 8
Z-Score: 2.15
M-Score: -2.69
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 8/10

vs
industry
vs
history
Operating margin (%) 8.53
RKT's Operating margin (%) is ranked higher than
76% of the 279 Companies
in the Global Packaging & Containers industry.

( Industry Median: 6.77 vs. RKT: 8.53 )
RKT' s 10-Year Operating margin (%) Range
Min: 2.37   Max: 14.88
Current: 8.53

2.37
14.88
Net-margin (%) 7.62
RKT's Net-margin (%) is ranked higher than
82% of the 279 Companies
in the Global Packaging & Containers industry.

( Industry Median: 4.18 vs. RKT: 7.62 )
RKT' s 10-Year Net-margin (%) Range
Min: -1.09   Max: 7.9
Current: 7.62

-1.09
7.9
ROE (%) 16.87
RKT's ROE (%) is ranked higher than
92% of the 277 Companies
in the Global Packaging & Containers industry.

( Industry Median: 8.88 vs. RKT: 16.87 )
RKT' s 10-Year ROE (%) Range
Min: -4.12   Max: 28.62
Current: 16.87

-4.12
28.62
ROA (%) 6.78
RKT's ROA (%) is ranked higher than
80% of the 279 Companies
in the Global Packaging & Containers industry.

( Industry Median: 4.23 vs. RKT: 6.78 )
RKT' s 10-Year ROA (%) Range
Min: -1.37   Max: 8.78
Current: 6.78

-1.37
8.78
ROC (Joel Greenblatt) (%) 12.16
RKT's ROC (Joel Greenblatt) (%) is ranked higher than
62% of the 279 Companies
in the Global Packaging & Containers industry.

( Industry Median: 14.45 vs. RKT: 12.16 )
RKT' s 10-Year ROC (Joel Greenblatt) (%) Range
Min: 5   Max: 27.36
Current: 12.16

5
27.36
Revenue Growth (%) 19.40
RKT's Revenue Growth (%) is ranked higher than
94% of the 236 Companies
in the Global Packaging & Containers industry.

( Industry Median: 4.80 vs. RKT: 19.40 )
RKT' s 10-Year Revenue Growth (%) Range
Min: -0.9   Max: 20.5
Current: 19.4

-0.9
20.5
EBITDA Growth (%) 12.20
RKT's EBITDA Growth (%) is ranked higher than
84% of the 216 Companies
in the Global Packaging & Containers industry.

( Industry Median: 3.90 vs. RKT: 12.20 )
RKT' s 10-Year EBITDA Growth (%) Range
Min: -14.4   Max: 40.1
Current: 12.2

-14.4
40.1
EPS Growth (%) 19.90
RKT's EPS Growth (%) is ranked higher than
83% of the 185 Companies
in the Global Packaging & Containers industry.

( Industry Median: 5.60 vs. RKT: 19.90 )
RKT' s 10-Year EPS Growth (%) Range
Min: -33.1   Max: 97.2
Current: 19.9

-33.1
97.2
» RKT's 10-Y Financials

Financials


Revenue & Net Income
Cash & Debt
Oprt. Cash Flow & Free Cash Flow

» Details

Guru Trades

Q1 2013

RKT Guru Trades in Q1 2013

Paul Tudor Jones 4,800 sh (New)
Columbia Wanger 125,000 sh (New)
Ken Heebner 1,297,500 sh (+1.96%)
Pioneer Investments 35,000 sh (unchged)
John Paulson 1,400,000 sh (-12.5%)
John Keeley 330,230 sh (-12.63%)
David Dreman 78,435 sh (-14.66%)
Steven Cohen 24,537 sh (-18.43%)
John Burbank 391,363 sh (-19.77%)
Jeremy Grantham 57,300 sh (-57.87%)
» More
Q2 2013

RKT Guru Trades in Q2 2013

Louis Moore Bacon 10,000 sh (New)
Steven Cohen 195,200 sh (+695.53%)
Columbia Wanger 300,000 sh (+140%)
Pioneer Investments 71,793 sh (+105.12%)
Paul Tudor Jones 5,000 sh (+4.17%)
Jeremy Grantham 56,844 sh (-0.8%)
David Dreman 76,887 sh (-1.97%)
Ken Heebner 987,500 sh (-23.89%)
John Keeley 186,880 sh (-43.41%)
John Paulson 600,000 sh (-57.14%)
John Burbank 102,271 sh (-73.87%)
» More
Q3 2013

RKT Guru Trades in Q3 2013

Jim Simons 182,263 sh (New)
Ray Dalio 29,800 sh (New)
Paul Tudor Jones 10,600 sh (+112%)
Jeremy Grantham 77,537 sh (+36.4%)
John Paulson 600,000 sh (unchged)
Columbia Wanger Sold Out
Louis Moore Bacon Sold Out
Ken Heebner 627,500 sh (-36.46%)
Pioneer Investments 41,470 sh (-42.24%)
Steven Cohen 48,198 sh (-75.31%)
John Keeley 27,010 sh (-85.55%)
John Burbank 9,212 sh (-90.99%)
David Dreman 940 sh (-98.78%)
» More
Q4 2013

RKT Guru Trades in Q4 2013

Joel Greenblatt 2,039 sh (New)
Louis Moore Bacon 52,000 sh (New)
Steven Cohen 210,147 sh (+336.01%)
Pioneer Investments 63,661 sh (+53.51%)
John Paulson 800,000 sh (+33.33%)
Jim Simons 185,963 sh (+2.03%)
Paul Tudor Jones 10,686 sh (+0.81%)
Ray Dalio Sold Out
John Burbank Sold Out
John Keeley 26,340 sh (-2.48%)
Jeremy Grantham 24,620 sh (-68.25%)
David Dreman 260 sh (-72.34%)
Ken Heebner 25,000 sh (-96.02%)
» More
» Details

Insider Trades

Latest Guru Trades with RKT

GuruDate Trades Impact to Portfolio Price Range * (?) Current Price Change from Average Current Shares
John Paulson 2013-12-31 Add 33.33%0.1%$93.26 - $109.42 $ 98.97-2%800000
Ray Dalio 2013-12-31 Sold Out 0.03%$93.26 - $109.42 $ 98.97-2%0
John Burbank 2013-12-31 Sold Out 0.03%$93.26 - $109.42 $ 98.97-2%0
David Dreman 2013-12-31 Reduce -72.34%0.01%$93.26 - $109.42 $ 98.97-2%260
Joel Greenblatt 2013-12-31 New Buy0.01%$93.26 - $109.42 $ 98.97-2%2039
John Keeley 2013-09-30 Reduce -85.55%0.32%$103.93 - $124.41 $ 98.97-12%27010
John Burbank 2013-09-30 Reduce -90.99%0.31%$103.93 - $124.41 $ 98.97-12%9212
David Dreman 2013-09-30 Reduce -98.78%0.25%$103.93 - $124.41 $ 98.97-12%940
Ray Dalio 2013-09-30 New Buy0.03%$103.93 - $124.41 $ 98.97-12%29800
John Burbank 2013-06-30 Reduce -73.87%1.03%$86.36 - $107.05 $ 98.971%102271
John Paulson 2013-06-30 Reduce -57.14%0.42%$86.36 - $107.05 $ 98.971%600000
John Keeley 2013-06-30 Reduce -43.41%0.26%$86.36 - $107.05 $ 98.971%186880
John Burbank 2013-03-31 Reduce -19.77%0.26%$69.91 - $92.79 $ 98.9720%391363
Premium More recent guru trades are included for Premium Members only!!
» Interactive Charts

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Guru Investment Theses on Rock-Tenn Company

Keeley Funds Comments on Rock-Tenn Co. - Dec 11, 2012

The top performing position in the Fund was Rock-Tenn Co. (RKT), which rose over 32 percent and added 41 basis points of return to the portfolio during the third quarter. A leader in consumer packaging and recycling, Rock-Tenn posted strong earnings during the quarter and has realized synergies from their 2011 acquisition of Smurfit-Stone.

From Keeley Funds’ 2012 annual report.


Check out John Keeley latest stock trades

Ratios

vs
industry
vs
history
P/E(ttm) 9.60
RKT's P/E(ttm) is ranked higher than
84% of the 232 Companies
in the Global Packaging & Containers industry.

( Industry Median: 15.90 vs. RKT: 9.60 )
RKT' s 10-Year P/E(ttm) Range
Min: 5.99   Max: 156.74
Current: 9.6

5.99
156.74
P/B 1.63
RKT's P/B is ranked higher than
53% of the 276 Companies
in the Global Packaging & Containers industry.

( Industry Median: 1.41 vs. RKT: 1.63 )
RKT' s 10-Year P/B Range
Min: 0.82   Max: 2.76
Current: 1.63

0.82
2.76
P/S 0.75
RKT's P/S is ranked higher than
57% of the 284 Companies
in the Global Packaging & Containers industry.

( Industry Median: 0.79 vs. RKT: 0.75 )
RKT' s 10-Year P/S Range
Min: 0.23   Max: 0.97
Current: 0.75

0.23
0.97
PFCF 11.88
RKT's PFCF is ranked higher than
76% of the 165 Companies
in the Global Packaging & Containers industry.

( Industry Median: 17.58 vs. RKT: 11.88 )
RKT' s 10-Year PFCF Range
Min: 3.18   Max: 28.35
Current: 11.88

3.18
28.35
EV-to-EBIT 11.69
RKT's EV-to-EBIT is ranked higher than
66% of the 236 Companies
in the Global Packaging & Containers industry.

( Industry Median: 13.68 vs. RKT: 11.69 )
RKT' s 10-Year EV-to-EBIT Range
Min: 6.2   Max: 32
Current: 11.69

6.2
32
PEG 1.60
RKT's PEG is ranked higher than
69% of the 161 Companies
in the Global Packaging & Containers industry.

( Industry Median: 2.37 vs. RKT: 1.60 )
RKT' s 10-Year PEG Range
Min: 0.17   Max: 52.6
Current: 1.6

0.17
52.6
Shiller P/E 18.47
RKT's Shiller P/E is ranked higher than
65% of the 123 Companies
in the Global Packaging & Containers industry.

( Industry Median: 21.00 vs. RKT: 18.47 )
RKT' s 10-Year Shiller P/E Range
Min: 13.51   Max: 43.29
Current: 18.47

13.51
43.29

Dividend & Buy Back

vs
industry
vs
history
Dividend Yield 1.30
RKT's Dividend Yield is ranked lower than
71% of the 221 Companies
in the Global Packaging & Containers industry.

( Industry Median: 2.21 vs. RKT: 1.30 )
RKT' s 10-Year Dividend Yield Range
Min: 0.61   Max: 3.45
Current: 1.3

0.61
3.45
Dividend Payout 0.22
RKT's Dividend Payout is ranked higher than
74% of the 186 Companies
in the Global Packaging & Containers industry.

( Industry Median: 0.30 vs. RKT: 0.22 )
RKT' s 10-Year Dividend Payout Range
Min: 0.05   Max: 9
Current: 0.22

0.05
9
Dividend growth (3y) 11.20
RKT's Dividend growth (3y) is ranked higher than
80% of the 124 Companies
in the Global Packaging & Containers industry.

( Industry Median: 4.90 vs. RKT: 11.20 )
RKT' s 10-Year Dividend growth (3y) Range
Min: 0   Max: 26
Current: 11.2

0
26
Yield on cost (5-Year) 3.10
RKT's Yield on cost (5-Year) is ranked higher than
67% of the 225 Companies
in the Global Packaging & Containers industry.

( Industry Median: 2.27 vs. RKT: 3.10 )
RKT' s 10-Year Yield on cost (5-Year) Range
Min: 1.46   Max: 8.23
Current: 3.1

1.46
8.23
Share Buyback Rate -23.20
RKT's Share Buyback Rate is ranked lower than
56% of the 160 Companies
in the Global Packaging & Containers industry.

( Industry Median: -1.50 vs. RKT: -23.20 )
RKT' s 10-Year Share Buyback Rate Range
Min: 1.4   Max: -23.3
Current: -23.2

Valuation & Return

vs
industry
vs
history
Price/Tangible Book 4.01
RKT's Price/Tangible Book is ranked lower than
70% of the 254 Companies
in the Global Packaging & Containers industry.

( Industry Median: 1.40 vs. RKT: 4.01 )
RKT' s 10-Year Price/Tangible Book Range
Min: 1.84   Max: 46.86
Current: 4.01

1.84
46.86
Price/DCF (Projected) 0.87
RKT's Price/DCF (Projected) is ranked higher than
74% of the 117 Companies
in the Global Packaging & Containers industry.

( Industry Median: 1.24 vs. RKT: 0.87 )
RKT' s 10-Year Price/DCF (Projected) Range
Min: 0.4   Max: 1.16
Current: 0.87

0.4
1.16
Price/Median PS Value 1.51
RKT's Price/Median PS Value is ranked lower than
65% of the 265 Companies
in the Global Packaging & Containers industry.

( Industry Median: 1.10 vs. RKT: 1.51 )
RKT' s 10-Year Price/Median PS Value Range
Min: 0.35   Max: 1.74
Current: 1.51

0.35
1.74
Price/Peter Lynch Fair Value 1.72
RKT's Price/Peter Lynch Fair Value is ranked higher than
50% of the 82 Companies
in the Global Packaging & Containers industry.

( Industry Median: 1.48 vs. RKT: 1.72 )
RKT' s 10-Year Price/Peter Lynch Fair Value Range
Min: 0.29   Max: 25.09
Current: 1.72

0.29
25.09
Price/Graham Number 1.29
RKT's Price/Graham Number is ranked lower than
54% of the 212 Companies
in the Global Packaging & Containers industry.

( Industry Median: 1.09 vs. RKT: 1.29 )
RKT' s 10-Year Price/Graham Number Range
Min: 0.96   Max: 6.53
Current: 1.29

0.96
6.53
Earnings Yield (Greenblatt) 8.60
RKT's Earnings Yield (Greenblatt) is ranked higher than
68% of the 252 Companies
in the Global Packaging & Containers industry.

( Industry Median: 7.20 vs. RKT: 8.60 )
RKT' s 10-Year Earnings Yield (Greenblatt) Range
Min: 3.1   Max: 16
Current: 8.6

3.1
16
Forward Rate of Return (Yacktman) 10.84
RKT's Forward Rate of Return (Yacktman) is ranked higher than
77% of the 177 Companies
in the Global Packaging & Containers industry.

( Industry Median: 7.67 vs. RKT: 10.84 )
RKT' s 10-Year Forward Rate of Return (Yacktman) Range
Min: 1   Max: 44.9
Current: 10.84

1
44.9

Business Description

Industry: Packaging & Containers » Packaging & Containers
Compare:SON, BMBLY, AMCRY, BLL, REXMY » details
Traded in other countries:RTG.Germany
Rock-Tenn Company was incorporated in Georgia. The Company is a manufacturer of packaging products, recycled paperboard, containerboard, bleached paperboard and merchandising displays. It operates a total of 95 facilities located in 27 states, Canada, Mexico, Chile and Argentina. The Company reports its operations in 3 segments: (1) Corrugated Packaging, consisting of its containerboard mills and its corrugated converting operations; (2) Consumer Packaging, consisting of its coated and uncoated paperboard mills, consumer packaging converting operations and merchandising display facilities; and (3) Recycling, which consists of its recycled fiber brokerage and collection operations. Corrugated Packaging Segment operates an integrated system that manufactures primarily containerboard, corrugated sheets, corrugated packaging and preprinted linerboard for sale to industrial and consumer products manufacturers and corrugated box manufacturers. Consumer Packaging Segment operate an integrated system of coated recycled mills and a bleached paperboard mill that produce paperboard for folding carton operations and third parties. It is also one of the largest manufacturers of folding cartons in North America measured by net sales. They also manufacture express mail envelopes for the overnight courier industry. operate one of the lowest cost coated recycled paperboard mill systems in North America and are one of the largest North American manufacturers of 100% coated recycled paperboard measured by tons produced. They also design, manufacture and, in some cases, pre-assemble permanent displays for the same categories of customers. They make temporary displays primarily from corrugated paperboard. Recycling Segment is one of the largest paper recyclers in North America. Their recycled fiber brokerage and collection operations provide a strategic advantage to their mills. Rock-Tenn Company's recycling operations procure recovered paper (or recycled fiber) for its paper mills as well as for third parties from factories, warehouses, commercial printers, office complexes, grocery and retail stores, document storage facilities, paper converters and other wastepaper collectors they transfer recovered paper to its paperboard mills for processing, or sell it, principally to United States ("U.S.") manufacturers of paperboard as well as manufacturers of tissue, newsprint, roofing products and insulation and to export markets. They also collect aluminum and plastics for resale to manufacturers of these products. Its trademarks include: AngelCote, AngelBrite, CartonMate, Millennium, MillMask, BlueCuda, EcoMAX, MAXPDQ, ShopperGauge, AdvantaEdge, Clik Top, Formations, Bio-Pak, Bio-Plus, Fold-Pak, CaseMate, CitruSaver, WineGuard, and Pop-N-Shop. Paperboard packaging products compete with plastic and corrugated packaging and packaging made from other materials.

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