Packaging Corporation of America (NYSE:PKG) Stock Has Consensus Target Price of $271.86

Key Points

• Analysts maintain a “Moderate Buy” consensus on Packaging Corporation of America, with six buy ratings, one strong buy, and three holds. The average 12-month price target is $271.86 versus the stock’s $239.06 opening price.
• Packaging Corporation of America reported quarterly EPS of $3.04, beating estimates of $2.93, while revenue rose 12.5% year over year to $2.60 billion, slightly below expectations.
• The company declared a quarterly dividend of $1.50 per share, equal to $6.00 annually and a 2.5% yield. Institutional investors own 89.78% of the stock, while insiders sold more than $10.2 million in shares during the last quarter.

Packaging Corporation of America (NYSE:PKG - Get Free Report) has been assigned an average rating of "Moderate Buy" from the ten brokerages that are covering the stock, Marketbeat Ratings reports. Three equities research analysts have rated the stock with a hold recommendation, six have issued a buy recommendation and one has issued a strong buy recommendation on the company. The average 1-year price target among brokers that have updated their coverage on the stock in the last year is $271.86.

Several research analysts have weighed in on the stock. Wells Fargo & Company decreased their price objective on shares of Packaging Corporation of America from $246.00 to $245.00 and set an "equal weight" rating for the company in a report on Wednesday, October 7th. UBS Group cut their target price on shares of Packaging Corporation of America from $292.00 to $289.00 and set a "buy" rating on the stock in a research note on Monday, October 5th. Citigroup reduced their price target on shares of Packaging Corporation of America from $254.00 to $253.00 and set a "neutral" rating on the stock in a research report on Friday, October 2nd. Weiss Ratings raised shares of Packaging Corporation of America from a "hold (c+)" rating to a "buy (b-)" rating in a research report on Tuesday, August 25th. Finally, Truist Financial boosted their price objective on Packaging Corporation of America from $270.00 to $280.00 and gave the company a "buy" rating in a report on Monday, October 12th.

Packaging Corporation of America Stock Up 0.1%

PKG stock opened at $239.06 on Thursday. The company has a current ratio of 2.94, a quick ratio of 1.86 and a debt-to-equity ratio of 0.85. The firm has a 50 day simple moving average of $237.35 and a 200-day simple moving average of $230.48. The company has a market capitalization of $21.30 billion, a P/E ratio of 31.05, a PEG ratio of 1.96 and a beta of 0.75. Packaging Corporation of America has a twelve month low of $191.50 and a twelve month high of $259.98.

Packaging Corporation of America (NYSE:PKG - Get Free Report) last posted its quarterly earnings results on Wednesday, October 21st. The industrial products company reported $3.04 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.93 by $0.11. Packaging Corporation of America had a net margin of 7.25% and a return on equity of 18.94%. The firm had revenue of $2.60 billion for the quarter, compared to analysts' expectations of $2.61 billion. During the same period in the prior year, the company posted $2.73 earnings per share. The firm's quarterly revenue was up 12.5% on a year-over-year basis. On average, equities research analysts predict that Packaging Corporation of America will post 10.45 earnings per share for the current fiscal year.

Packaging Corporation of America Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Thursday, October 15th. Shareholders of record on Tuesday, September 15th were issued a dividend of $1.50 per share. This represents a $6.00 dividend on an annualized basis and a yield of 2.5%. The ex-dividend date of this dividend was Tuesday, September 15th. Packaging Corporation of America's dividend payout ratio (DPR) is currently 77.92%.

Insider Activity at Packaging Corporation of America

In related news, President Thomas A. Hassfurther sold 12,531 shares of the company's stock in a transaction that occurred on Monday, August 3rd. The stock was sold at an average price of $250.00, for a total transaction of $3,132,750.00. Following the sale, the president directly owned 218,751 shares of the company's stock, valued at approximately $54,687,750. This represents a 5.42% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, VP Donald R. Shirley sold 12,000 shares of the company's stock in a transaction that occurred on Thursday, August 20th. The shares were sold at an average price of $250.71, for a total value of $3,008,520.00. Following the sale, the vice president directly owned 19,110 shares in the company, valued at approximately $4,791,068.10. This represents a 38.57% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders sold 40,391 shares of company stock valued at $10,196,101. Insiders own 1.60% of the company's stock.

Hedge Funds Weigh In On Packaging Corporation of America

Hedge funds have recently added to or reduced their stakes in the business. Greenleaf Trust increased its stake in Packaging Corporation of America by 1.7% during the second quarter. Greenleaf Trust now owns 2,705 shares of the industrial products company's stock valued at $645,000 after purchasing an additional 46 shares during the last quarter. Pinnacle Associates Ltd. lifted its position in shares of Packaging Corporation of America by 4.0% in the 3rd quarter. Pinnacle Associates Ltd. now owns 1,547 shares of the industrial products company's stock worth $355,000 after buying an additional 59 shares during the last quarter. Root Financial Partners LLC lifted its position in shares of Packaging Corporation of America by 28.4% in the 1st quarter. Root Financial Partners LLC now owns 276 shares of the industrial products company's stock worth $59,000 after buying an additional 61 shares during the last quarter. CX Institutional lifted its position in shares of Packaging Corporation of America by 8.2% in the 2nd quarter. CX Institutional now owns 816 shares of the industrial products company's stock worth $195,000 after buying an additional 62 shares during the last quarter. Finally, Avidian Wealth Enterprises LLC grew its position in shares of Packaging Corporation of America by 3.1% during the 3rd quarter. Avidian Wealth Enterprises LLC now owns 2,110 shares of the industrial products company's stock valued at $484,000 after buying an additional 63 shares during the last quarter. Institutional investors and hedge funds own 89.78% of the company's stock.

Packaging Corporation of America Company Profile

Packaging Corporation of America NYSE: PKG is a manufacturer of corrugated packaging and containerboard products serving businesses primarily in the United States. Its products include shipping boxes, retail packaging, displays, protective packaging and specialty corrugated solutions used to transport and present a broad range of consumer and industrial goods.

The company also produces uncoated freesheet paper and related paper products for commercial printing, office use, publishing, converting and other applications.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.