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1. Company Snapshot

1.a. Company Description

Ranpak Holdings Corp., together with its subsidiaries, provide product protection solutions for e-commerce and industrial supply chains in North America, Europe, and Asia.The company offers protective packaging solutions, such as void-fill protective systems that convert paper to fill empty spaces in secondary packages and protect objects under the FillPak brand; cushioning protective systems, which convert paper into cushioning pads under the PadPak brand; and wrapping protective systems that create pads or paper mesh to wrap and protect fragile items, as well as to line boxes and provide separation when shipping various objects under the WrapPak, Geami, and ReadyRoll brands.The company's products also include line automation products, which help end users automate the void filling and box closure processes after product packing is complete.


It sells its products to end users primarily through a distributor network, and directly to select end users.Ranpak Holdings Corp.was founded in 1972 and is headquartered in Concord Township, Ohio.

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1.b. Last Insights on PACK

Ranpak Holdings Corp.'s recent performance was negatively impacted by challenges in profitability, despite revenue growth driven by automation and void fill operations. The company's third-quarter 2025 earnings call revealed improved adjusted operating cash flow and EBITDA. However, major long-term deals with Walmart and Amazon, potentially worth up to $700 million, provide significant revenue visibility. Analysts predict a 35.8% upside, citing strong agreement on raising earnings estimates. A soft "Buy" rating is justified by attractive valuation and growth prospects, particularly in automation solutions.

1.c. Company Highlights

2. Ranpak Holdings' Q3 Earnings: A Mixed Bag with Growth Opportunities

Ranpak Holdings reported a 4.4% year-over-year increase in consolidated net revenue to a certain amount on a constant currency basis, driven by solid volume growth in North America and an increase in automation revenue. However, the company's EPS came out at -$0.12, missing estimates of $0.03. The gross margin bounced back quickly in Q3, and the company expects to continue improving it through internal processes and vendor relationships. Automation revenue increased 56% on a constant currency basis, keeping the company on track to achieve its expected full-year automation revenue of $40 million to $45 million.

Publication Date: Nov -16

📋 Highlights
  • Strategic Walmart Partnership:: $300M over 10 years for automation and PPS products.
  • Automation Revenue Surge:: 56% YoY growth, on track for $40M–$45M annual target.
  • Medline Enterprise Agreement:: Deployment of Decision Tower in 14 distribution centers.
  • Revenue Guidance Adjustment:: Expects $216M–$230M H2 revenue, lower due to Europe/APAC challenges.
  • 5-Year Revenue Target:: $800M organically, with automation contributing 15% ($120M+).

Segment Performance

The company's enterprise accounts in North America and global automation continue to be the main top-line growth engines, with large accounts driving 3.7% volume growth in North America. However, the company faced a sluggish environment in Europe and destocking in APAC, which offset some of the growth. The company's automation business is a significant growth driver, with revenue increasing 56% year-over-year.

Strategic Partnerships and Growth Opportunities

Ranpak has entered into strategic partnerships with Walmart and Medline, which are expected to drive growth and expansion into new markets. The company's solution set of box customization, automated dunnage insertion, robotic pad insertion, data and analytics, and partnerships with cutting-edge AI players are a clear differentiator in the market and driving adoption of its solutions. As Omar Asali, Chairman and CEO, noted, "Our new products in cushioning, void-fill, and wrapping are invigorating both reporting regions, energizing our partners, and attracting new talent."

Valuation and Outlook

With a P/S Ratio of 1.1 and an EV/EBITDA of 18.98, the market is pricing in some growth expectations. However, the company's ROE is -7.3%, and ROIC is -1.56%, indicating that the company still has challenges to overcome. The company expects to finish the year with $65 million to $70 million in cash on hand and generate $15 million to $20 million in free cash next year. Analysts estimate revenue growth at 9.5% next year, which may be achievable with the company's strategic partnerships and growth opportunities.

3. NewsRoom

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Ranpak Holdings: Its Catalyst And Valuation Justify Upside

Nov -07

Source: seekingalpha.com

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Ranpak Holdings Corp. (PACK) Q3 2025 Earnings Call Transcript

Oct -31

Source: seekingalpha.com

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Ranpak Holdings Corp. Reports Third Quarter 2025 Financial Results

Oct -30

Source: businesswire.com

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Ranpak to Hold Conference Call to Discuss Third Quarter 2025 Results

Oct -23

Source: businesswire.com

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Ranpak to Debut Complete End-to-End Packaging Solutions for Smarter, Greener Logistics at IMHX 2025

Sep -04

Source: businesswire.com

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Wall Street Analysts Predict a 35.8% Upside in Ranpak Holdings (PACK): Here's What You Should Know

Sep -01

Source: zacks.com

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Ranpak and Walmart Join Forces to Roll Out Automated Technology and Sustainable Packaging Collaboration

Aug -26

Source: businesswire.com

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Why Fast-paced Mover Ranpak Holdings (PACK) Is a Great Choice for Value Investors

Aug -25

Source: zacks.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (10.75%)

6. Segments

Cushioning Machines

Expected Growth: 10%

Ranpak Holdings Corp.'s Cushioning Machines segment growth is driven by increasing e-commerce demand, rising need for protective packaging, and growing adoption of sustainable packaging solutions. Additionally, expansion into new markets, strategic partnerships, and investments in product innovation are contributing to the 10% growth rate.

Void-Fill Machines

Expected Growth: 12%

Ranpak's Void-Fill Machines growth is driven by increasing e-commerce demand, rising need for sustainable packaging, and growing adoption in industries such as pharmaceuticals and automotive. Additionally, the machines' ability to reduce packaging material usage and minimize product damage during shipping contributes to their popularity, resulting in 12% growth.

Wrapping Machines

Expected Growth: 9%

Ranpak's Wrapping Machines segment growth is driven by increasing e-commerce demand, rising need for sustainable packaging, and growing adoption of automated packaging solutions. Additionally, the company's focus on innovation, expanding product offerings, and strategic acquisitions are contributing to its 9% growth rate.

Other

Expected Growth: 11%

Ranpak Holdings Corp.'s 11% growth in 'Other' segment is driven by increasing demand for sustainable packaging solutions, expansion into new markets, and strategic partnerships. Additionally, the company's focus on innovation, such as its automated packaging systems, has contributed to revenue growth.

7. Detailed Products

Paper-Based Protective Packaging

Customizable paper-based packaging solutions for protecting fragile and sensitive items during shipping and storage

Inflatable Packaging Systems

Inflatable packaging solutions for protecting items during shipping and storage, with customizable sizes and shapes

Thermal Insulated Packaging

Temperature-controlled packaging solutions for shipping temperature-sensitive items, such as pharmaceuticals and food products

Automated Packaging Systems

Customizable automated packaging systems for high-volume packaging and shipping operations

Paper Fill Packaging

Paper-based fill packaging solutions for protecting items during shipping and storage, with customizable sizes and shapes

Custom Packaging Solutions

Custom-designed packaging solutions for unique and specialty items, such as artwork and machinery

8. Ranpak Holdings Corp.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Ranpak Holdings Corp. operates in a niche market with limited substitutes, but customers may still opt for alternative packaging solutions.

Bargaining Power Of Customers

Ranpak Holdings Corp. has a diverse customer base, which reduces the bargaining power of individual customers.

Bargaining Power Of Suppliers

Ranpak Holdings Corp. relies on a few key suppliers for raw materials, which gives them some bargaining power.

Threat Of New Entrants

The packaging industry has high barriers to entry, making it difficult for new entrants to compete with Ranpak Holdings Corp.

Intensity Of Rivalry

The packaging industry is highly competitive, with several established players competing for market share.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 41.34%
Debt Cost 4.61%
Equity Weight 58.66%
Equity Cost 15.46%
WACC 10.97%
Leverage 70.47%

11. Quality Control: Ranpak Holdings Corp. passed 1 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

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Myers Industries

A-Score: 5.7/10

Value: 5.9

Growth: 4.6

Quality: 4.2

Yield: 6.0

Momentum: 8.0

Volatility: 5.3

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TriMas

A-Score: 4.6/10

Value: 3.1

Growth: 2.7

Quality: 5.6

Yield: 0.0

Momentum: 9.0

Volatility: 7.3

1-Year Total Return ->

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Pactiv Evergreen

A-Score: 4.4/10

Value: 5.6

Growth: 1.9

Quality: 1.6

Yield: 3.0

Momentum: 9.0

Volatility: 5.3

1-Year Total Return ->

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Tupperware

A-Score: 4.0/10

Value: 9.5

Growth: 3.7

Quality: 5.8

Yield: 0.0

Momentum: 5.0

Volatility: 0.0

1-Year Total Return ->

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Stock-Card
O-I Glass

A-Score: 3.8/10

Value: 7.7

Growth: 2.6

Quality: 2.2

Yield: 0.0

Momentum: 5.0

Volatility: 5.0

1-Year Total Return ->

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Stock-Card
Ranpak

A-Score: 2.7/10

Value: 5.8

Growth: 2.6

Quality: 2.8

Yield: 0.0

Momentum: 3.5

Volatility: 1.3

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

5.01$

Current Price

5.01$

Potential

-0.00%

Expected Cash-Flows