Tredegar Corporation
$7.77
-2.8%Tredegar Corporation, through its subsidiaries, manufactures and sells aluminum extrusions, polyethylene (PE) films, and polyester films in the United States and internationally. It operates through three segments: Aluminum Extrusions, PE Films, and Flexible Packaging Films. The Aluminum Extrusions segment produces soft-alloy and medium-strength custom fabricated and finished aluminum extrusions for the building and construction, automotive and transportation, consumer durables, machinery and equipment, electrical and renewable energy, and distribution markets; and manufactures mill, anodized, and painted and fabricated aluminum extrusions to fabricators and distributors. The PE Films segment offers single- and multi-layer surface protection films for protecting components of flat panel displays that are used in televisions, monitors, notebooks, smart phones, tablets, e-readers, and digital signage under the UltraMask, ForceField, ForceField PEARL, and Pearl A brands. This segment also provides thin-gauge films as overwrap for bathroom tissue and paper towels, as well as polyethylene overwrap films and films for other markets. The Flexible Packaging Films segment offers polyester-based films for food packaging and industrial applications under the Terphane, Ecophane, and Sealphane brands. Tredegar Corporation was founded in 1955 and is headquartered in Richmond, Virginia.
At a Glance
Live SnapshotIntrinsic Alpha Methodology
Thesis Lenses
Signal
High confidenceValuation multiple is compressed (P/E 11.3).
Valuation inputs: P/E 11.3, earnings yield +8.9%, momentum -2.8%.
If multiples stay elevated while momentum fades, downside repricing risk rises.
Driver
High confidenceReturn profile is acceptable (ROE +11.0%, ROIC +7.7%).
Profitability stack: net margin +3.3%, ROE +11.0%, ROIC +7.7%.
Quality deterioration often appears in margins before it shows up in headline EPS.
Risk
High confidenceRisk profile is balanced but has notable pressure points to monitor.
Risk factors: liabilities/assets +41.7%, momentum -2.8%, net margin +3.3%.
Higher leverage with weak momentum and thin margins can amplify drawdown severity.
Tredegar Corporation Market vs Earnings Trajectory
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Tredegar Corporation Fair Value Envelope
Tredegar Corporation Profit Bridge
Profitability Analysis
Gross Margin
Thin margins leave little room for error. Cost management and pricing strategy are critical.
Operating Margin
Minimal operating profit suggests high operating costs or pricing challenges. Scalability is concerning.
Net Profit Margin
Minimal profitability after all expenses. Limited financial flexibility for reinvestment or shareholder returns.
Effective Tax Rate
Moderate tax rate typical for most corporations. Represents standard tax burden on profits.
Profitability Insight
Efficient profit conversion: Minimal margin compression from gross to net indicates lean operations and favorable tax/interest environment.
Tredegar Corporation Cash Conversion Engine
Cash Flow Quality Analysis
FCF Conversion Rate
Weak cash conversion. Significant portion of earnings not converting to cash—review working capital trends and capital intensity.
CapEx Intensity
Capital-intensive operations require significant reinvestment. Monitor whether CapEx is maintenance or growth-oriented.
FCF Growth Trend
Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.
Working Capital Impact
Significant working capital drain. Growth may be consuming cash through inventory buildup or receivables extension—monitor closely.
Cash Flow Quality Insight
Working capital strain: Significant cash tied up in operations. Monitor receivables collection, inventory turns, and payment terms to optimize cash conversion cycle.
Tredegar Corporation Funding & Solvency Profile
Financial Health Analysis
Current Ratio
Strong liquidity. The company has adequate resources to meet short-term liabilities.
Debt-to-Equity Ratio
Balanced capital structure with moderate leverage. Equity exceeds debt, suggesting healthy financial stability.
Working Capital
Strong working capital position provides significant operational flexibility and financial cushion.
Asset Composition
Balanced asset mix between current and non-current assets, typical of many stable businesses.
Financial Health Insight
Strong financial foundation: Excellent liquidity combined with conservative leverage suggests the company is well-positioned to weather economic uncertainties and fund growth opportunities.
Tredegar Corporation Street Expectations Map
No Target Data
No analyst price targets available for tg.
Tredegar Corporation Insider Positioning
During the last 12 months, insiders have purchased $294K and sold $8.44M worth of TG shares, resulting in $8.14M of net selling activity.
3 Months
1.0K
7.55K
206.4K
1.71M
-1.7M
-$1.70M
3-6 Months
0
0.00
628.0K
5.55M
-5.6M
-$5.55M
6-9 Months
18.1K
143.10K
140.3K
1.16M
-1.0M
-$1.02M
9-12 Months
16.0K
143.07K
2.0K
17.52K
+126K
+$126K
Top Buyers
Pratt Gregory A
Director
$61K
Newsome Kenneth
Director
$45K
Snead Thomas G Jr
Director
$45K
Tack Carl E. Iii
Director
$45K
Freeman George C Iii
Director
$45K
Top Sellers
Gottwald William M
10 Percent Owner
$2.78M
Gottwald John D
10 Percent Owner
$2.78M
Gottwald James T.
10 Percent Owner
$2.78M
Gamco Investors, Inc. Et Al
10 Percent Owner
$65K
Tack Carl E. Iii
Director
$42K
Insider Activity Analysis
Net Insider Sentiment
Strong bearish signal with $8.14M net selling. Heavy insider selling may indicate concerns about valuation or near-term prospects.
Buy/Sell Ratio
Very poor ratio. Heavy selling with minimal buying suggests insiders may be concerned about valuation or outlook.
Recent Trend (3 Months)
Heavy recent selling activity. Recent insider sales notably exceed purchases—may warrant investigation into company developments.
Insider Participation
5 insider buyers and 5 sellers. Equal participation suggests mixed or neutral insider views.
Insider Activity Insight
Multiple red flags: Heavy selling, numerous sellers, and continued recent selling create a concerning pattern. Investigate fundamental drivers and consider whether company guidance or industry conditions have deteriorated.
tg Dividend History
Learning Layer
Related Guides
Build conviction on TG by pairing this stock hub with focused valuation guides.
Research Paths
Snapshot
Start with context, operating signals, and key market metrics.
Value Model
Stress test fair value across bear, base, and bull assumptions.
Statements
Validate revenue quality, margins, and balance sheet durability.
Earnings Call
Read management commentary and compare it with reported outcomes.
Dividends
Check payout sustainability and long-term distribution behavior.
Analyst Expectations
Review consensus spread and where estimate risk is concentrated.