Sylvamo Corporation (NYSE:SLVM) Receives Consensus Recommendation of "Hold" from Brokerages

Key Points

• Sylvamo received a consensus “Hold” rating from six analysts, split evenly among buy, hold, and sell recommendations. The average 12-month price target is $46.75, above the reported share price of $31.72.
• Institutional investors own approximately 91.16% of Sylvamo’s stock, with State Street, Dimensional Fund Advisors, and Allianz among firms that recently increased their positions.
• Sylvamo narrowly exceeded quarterly EPS expectations ($0.03 versus $0.02), though revenue fell short of estimates. The company announced a $0.45 quarterly dividend, equivalent to a 5.7% yield and a 95.74% payout ratio.

Sylvamo Corporation (NYSE:SLVM - Get Free Report) has earned a consensus recommendation of "Hold" from the six research firms that are presently covering the company, Marketbeat Ratings reports. Two investment analysts have rated the stock with a sell recommendation, two have given a hold recommendation and two have issued a buy recommendation on the company. The average twelve-month price objective among brokers that have updated their coverage on the stock in the last year is $46.75.

Several research firms have weighed in on SLVM. Royal Bank Of Canada lowered their price objective on Sylvamo from $49.00 to $46.00 and set a "sector perform" rating on the stock in a research report on Friday, July 17th. Truist Financial reissued a "buy" rating and issued a $49.00 target price (down from $51.00) on shares of Sylvamo in a research report on Monday, August 10th. Weiss Ratings restated a "sell (d+)" rating on shares of Sylvamo in a research note on Friday, August 7th. Bank of America reaffirmed a "neutral" rating and set a $45.00 price target on shares of Sylvamo in a research report on Tuesday, July 14th. Finally, Wall Street Zen upgraded shares of Sylvamo from a "sell" rating to a "hold" rating in a research note on Sunday, August 2nd.

Institutional Investors Weigh In On Sylvamo

Several institutional investors have recently made changes to their positions in the stock. State Street Corp increased its stake in Sylvamo by 5.2% during the 2nd quarter. State Street Corp now owns 1,389,749 shares of the company's stock worth $52,533,000 after acquiring an additional 69,299 shares during the period. Dimensional Fund Advisors LP raised its holdings in Sylvamo by 5.6% in the 1st quarter. Dimensional Fund Advisors LP now owns 1,362,474 shares of the company's stock valued at $57,547,000 after acquiring an additional 72,177 shares in the last quarter. Allianz Asset Management GmbH lifted its position in shares of Sylvamo by 15.8% during the 2nd quarter. Allianz Asset Management GmbH now owns 506,147 shares of the company's stock valued at $19,132,000 after acquiring an additional 69,195 shares during the period. Rokos Capital Management LLP bought a new stake in shares of Sylvamo during the 1st quarter valued at $10,802,000. Finally, SG Americas Securities LLC grew its holdings in shares of Sylvamo by 8.3% during the 1st quarter. SG Americas Securities LLC now owns 242,221 shares of the company's stock worth $10,231,000 after purchasing an additional 18,653 shares in the last quarter. 91.16% of the stock is currently owned by institutional investors.

Sylvamo Price Performance

Sylvamo stock opened at $31.72 on Thursday. Sylvamo has a 12 month low of $31.58 and a 12 month high of $56.80. The stock's 50 day moving average is $36.30 and its 200-day moving average is $38.67. The company has a current ratio of 1.47, a quick ratio of 0.80 and a debt-to-equity ratio of 0.88. The company has a market capitalization of $1.26 billion, a price-to-earnings ratio of 16.87, a PEG ratio of 1.18 and a beta of 0.87.

Sylvamo (NYSE:SLVM - Get Free Report) last announced its earnings results on Friday, August 7th. The company reported $0.03 earnings per share for the quarter, topping analysts' consensus estimates of $0.02 by $0.01. The company had revenue of $806.00 million for the quarter, compared to analyst estimates of $811.25 million. Sylvamo had a return on equity of 8.36% and a net margin of 2.31%.The firm's quarterly revenue was up 1.5% compared to the same quarter last year. During the same quarter last year, the company earned $0.37 earnings per share. Equities research analysts expect that Sylvamo will post 1.53 EPS for the current year.

Sylvamo Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, October 16th. Stockholders of record on Friday, October 2nd will be issued a dividend of $0.45 per share. The ex-dividend date of this dividend is Friday, October 2nd. This represents a $1.80 annualized dividend and a dividend yield of 5.7%. Sylvamo's dividend payout ratio (DPR) is currently 95.74%.

Sylvamo Company Profile

Sylvamo Corporation NYSE: SLVM is a global producer of uncoated paper products. The company manufactures paper used for printing, writing, copying, office applications, and other commercial and industrial purposes. Its portfolio includes cut-size office paper, offset and publishing papers, and specialty paper products sold under brands such as Hammermill, Springhill, and Williamsburg.

Headquartered in Memphis, Tennessee, Sylvamo serves customers through operations and sales networks in North America, Latin America, and Europe.

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