📊 REYN Key Takeaways
Is REYN a Good Investment? Thesis Analysis
Reynolds demonstrates solid financial health with strong free cash flow generation ($316M), excellent interest coverage (15.7x), and moderate leverage, but faces fundamental business challenges including stagnant revenue growth (+0.7% YoY) and declining profitability (-14.5% net income YoY) indicating persistent margin compression that management has not successfully addressed.
Why Buy REYN? Key Strengths
- Strong free cash flow generation ($316M) with 8.5% FCF margin and excellent conversion from net income
- Excellent interest coverage (15.7x) and moderate leverage (0.70x D/E) providing financial flexibility
- Solid balance sheet with 1.93x current ratio and $147M cash enabling debt service and strategic flexibility
REYN Investment Risks to Consider
- Revenue growth essentially flat (+0.7% YoY) in a mature packaging market with limited expansion opportunities
- Profitability declining sharply (-14.5% net income YoY) despite flat revenues indicating structural margin pressure and cost inflation inability to be passed to customers
- Operating margins compressed (10.6%) with declining EPS (-14.4% YoY) suggesting commoditized product offering with weak pricing power
Key Metrics to Watch
- Revenue growth trajectory and customer concentration - any deterioration would signal market share loss
- Gross margin trend - whether cost inflation stabilizes or continues to compress margins
- Free cash flow sustainability - monitor if FCF declines align with profitability trends
REYN Financial Metrics
💡 AI Analyst Insight
Reynolds Consumer Products Inc. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
REYN Profitability Ratios
REYN vs Energy Sector
How Reynolds Consumer Products Inc. compares to Energy sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is REYN Overvalued or Undervalued?
Based on fundamental analysis, Reynolds Consumer Products Inc. has mixed fundamental signals relative to the Energy sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
REYN Balance Sheet & Liquidity
REYN 5-Year Financial Trend & Growth Analysis
5-Year Trend Summary: Reynolds Consumer Products Inc.'s revenue has grown significantly by 19% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.42 reflects profitable operations.
REYN Growth Metrics (YoY)
REYN Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $910.0M | $31.0M | $0.38 |
| Q2 2025 | $930.0M | $31.0M | $0.35 |
| Q1 2025 | $818.0M | $31.0M | $0.15 |
| Q3 2024 | $910.0M | $17.0M | $0.37 |
| Q2 2024 | $930.0M | $17.0M | $0.32 |
| Q1 2023 | $818.0M | $17.0M | $0.08 |
| Q3 2022 | $876.0M | $48.0M | $0.23 |
| Q2 2022 | $847.0M | $52.0M | $0.25 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
REYN Capital Allocation
REYN SEC 10-K & 10-Q Filing Analysis
Access official SEC EDGAR filings for Reynolds Consumer Products Inc. (CIK: 0001786431)
📋 Recent SEC Filings
❓ Frequently Asked Questions about REYN
What is the AI rating for REYN?
Reynolds Consumer Products Inc. (REYN) has an AI rating of HOLD with 73% confidence, based on fundamental analysis of SEC EDGAR filings.
What are REYN's key strengths?
Claude: Strong free cash flow generation ($316M) with 8.5% FCF margin and excellent conversion from net income. Excellent interest coverage (15.7x) and moderate leverage (0.70x D/E) providing financial flexibility.
What are the risks of investing in REYN?
Claude: Revenue growth essentially flat (+0.7% YoY) in a mature packaging market with limited expansion opportunities. Profitability declining sharply (-14.5% net income YoY) despite flat revenues indicating structural margin pressure and cost inflation inability to be passed to customers.
What is REYN's revenue and growth?
Reynolds Consumer Products Inc. reported revenue of $3.7B.
Does REYN pay dividends?
Reynolds Consumer Products Inc. pays dividends, with $192.0M distributed to shareholders in the trailing twelve months.
Where can I find REYN SEC filings?
Official SEC filings for Reynolds Consumer Products Inc. (CIK: 0001786431) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is REYN's EPS?
Reynolds Consumer Products Inc. has a diluted EPS of $1.43.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is REYN a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Reynolds Consumer Products Inc. has a HOLD rating with 73% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is REYN stock overvalued or undervalued?
Valuation metrics for REYN: ROE of 13.4% (sector avg: 14%), net margin of 8.1% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy REYN stock in 2026?
Our dual AI analysis gives Reynolds Consumer Products Inc. a combined HOLD rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is REYN's free cash flow?
Reynolds Consumer Products Inc.'s operating cash flow is $477.0M, with capital expenditures of $161.0M. FCF margin is 8.5%.
How does REYN compare to other Energy stocks?
Vs Energy sector averages: Net margin 8.1% (avg: 12%), ROE 13.4% (avg: 14%), current ratio 1.93 (avg: 1.3).