MATW vs PKG

For growth investors, Packaging Corporation of America (PKG) is the stronger pick with 7.

2% revenue growth year-over-year, versus -16. 6% for Matthews International Corporation (MATW). Packaging Corporation of America (PKG) offers the better valuation at 26. 4x trailing P/E (22. 0x forward), making it the more compelling value choice. Analysts rate Matthews International Corporation (MATW) a "Buy" — based on 10 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On forward P/E, Packaging Corporation of America is actually cheaper at 22.

0x.

Over the past 5 years, Packaging Corporation of America (PKG) delivered a total return of +63.

7%, compared to -22. 4% for Matthews International Corporation (MATW). Over 10 years, the gap is even starker: PKG returned +307. 0% versus MATW's -30. 4%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Packaging Corporation of America (PKG) is the lower-risk stock at 0.

76β versus Matthews International Corporation's 1. 03β — meaning MATW is approximately 37% more volatile than PKG relative to the S&P 500. On balance sheet safety, Packaging Corporation of America (PKG) carries a lower debt/equity ratio of 95% versus 159% for Matthews International Corporation — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Packaging Corporation of America (PKG) is pulling ahead at 7.

2% versus -16. 6% for Matthews International Corporation (MATW). On earnings-per-share growth, the picture is similar: Matthews International Corporation grew EPS 59. 1% year-over-year, compared to -3. 9% for Packaging Corporation of America. Over a 3-year CAGR, PKG leads at 2. 0% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Packaging Corporation of America (PKG) is the more profitable company, earning 8.

6% net margin versus -1. 6% for Matthews International Corporation — meaning it keeps 8. 6% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: PKG leads at 14. 0% versus 1. 4% for MATW. At the gross margin level — before operating expenses — MATW leads at 32. 6%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

On forward earnings alone, Packaging Corporation of America (PKG) trades at 22.

0x forward P/E versus 35. 1x for Matthews International Corporation — 13. 1x cheaper on a one-year earnings basis.

All stocks in this comparison pay dividends.

Matthews International Corporation (MATW) offers the highest yield at 3. 8%, versus 2. 2% for Packaging Corporation of America (PKG).

For long-horizon retirement investors, Packaging Corporation of America (PKG) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.

76), 2. 2% yield, +307. 0% 10Y return). Both have compounded well over 10 years (PKG: +307. 0%, MATW: -30. 4%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

These companies operate in different sectors (MATW (Industrials) and PKG (Consumer Cyclical)), which means they face different economic cycles, regulatory environments, and macro sensitivities — making direct comparison nuanced.

In terms of investment character: MATW is a small-cap income-oriented stock; PKG is a mid-cap quality compounder stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.