32,558 Shares in International Paper Company $IP Acquired by Sigma Planning Corp

Key Points

• Sigma Planning Corp. acquired 32,558 International Paper shares during the third quarter, valued at approximately $1.08 million. Institutional investors collectively own 81.95% of the company.
• International Paper’s third-quarter adjusted EPS of $0.37 exceeded the $0.29 consensus, while North American operating profit rose to $427 million and fourth-quarter guidance was set at $460 million to $500 million.
• Despite improving North American operations, revenue slightly missed estimates and the company reported a $1.13 billion net loss, partly due to a $1.38 billion goodwill impairment. Analysts maintain a “Moderate Buy” consensus with a $45.90 average price target.

Sigma Planning Corp acquired a new position in International Paper Company (NYSE:IP - Free Report) during the third quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund acquired 32,558 shares of the basic materials company's stock, valued at approximately $1,080,000.

A number of other institutional investors and hedge funds have also recently modified their holdings of the business. BlackRock Inc. purchased a new stake in shares of International Paper during the 2nd quarter valued at about $1,940,896,000. State Street Corp boosted its holdings in shares of International Paper by 7.1% in the 2nd quarter. State Street Corp now owns 32,999,909 shares of the basic materials company's stock worth $1,257,297,000 after purchasing an additional 2,189,597 shares during the period. Bank of New York Mellon Corp purchased a new position in shares of International Paper in the 2nd quarter worth approximately $689,498,000. Atlas FRM LLC purchased a new position in shares of International Paper in the 2nd quarter worth approximately $374,904,000. Finally, Hill City Capital LP bought a new position in shares of International Paper during the 2nd quarter valued at approximately $194,310,000. 81.95% of the stock is owned by hedge funds and other institutional investors.

Trending Headlines about International Paper

Here are the key news stories impacting International Paper this week:

• Positive Sentiment: Analysts see potential for a turnaround. RBC said International Paper may be “turning the corner,” reflecting stronger North American packaging results and improving operating performance. RBC commentary on International Paper
• Positive Sentiment: North American profit guidance is encouraging. International Paper reported North American segment operating profit of $427 million, up from $204 million in the second quarter, and forecast fourth-quarter profit of $460 million to $500 million. Full-year guidance is $1.3 billion to $1.4 billion. International Paper third-quarter results
• Positive Sentiment: Adjusted earnings exceeded expectations. Third-quarter adjusted EPS was $0.37, above the $0.29 analyst consensus, supported by the rebound in North American operations.
• Neutral Sentiment: JPMorgan remains constructive despite lowering its target. JPMorgan reduced its price target from $62 to $51 but maintained an “overweight” rating, implying substantial upside from recent trading levels.
• Neutral Sentiment: Truist also lowered its target. Truist Securities cut its International Paper price target to $39, signaling more cautious expectations even as the target remains above the recent share price. Truist price-target update
• Negative Sentiment: Revenue and volumes disappointed. Third-quarter sales of $6.20 billion fell short of the $6.28 billion consensus and declined slightly year over year. Lower volumes and weakness in the EMEA business weighed on results.
• Negative Sentiment: A large noncash impairment produced a significant reported loss. International Paper posted a $1.13 billion net loss, including a $1.38 billion goodwill impairment tied to Packaging Solutions EMEA. Free cash flow was also negative $267 million, raising concerns about near-term financial flexibility.

Insider Buying and Selling at International Paper

In other news, VP William Hamic sold 24,500 shares of the stock in a transaction on Friday, August 7th. The stock was sold at an average price of $41.20, for a total transaction of $1,009,400.00. Following the completion of the sale, the vice president owned 106,952 shares in the company, valued at approximately $4,406,422.40. This represents a 18.64% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CAO Holly G. Goughnour sold 3,500 shares of the company's stock in a transaction dated Tuesday, August 4th. The shares were sold at an average price of $41.96, for a total value of $146,860.00. Following the transaction, the chief accounting officer directly owned 34,248 shares in the company, valued at $1,437,046.08. This represents a 9.27% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Corporate insiders own 0.21% of the company's stock.

International Paper Trading Up 4.2%

NYSE IP opened at $35.93 on Friday. The company's 50-day simple moving average is $35.04 and its two-hundred day simple moving average is $37.46. International Paper Company has a one year low of $29.26 and a one year high of $50.25. The company has a market capitalization of $19.03 billion, a price-to-earnings ratio of -5.48, a price-to-earnings-growth ratio of 4.56 and a beta of 0.93. The company has a debt-to-equity ratio of 0.59, a quick ratio of 0.84 and a current ratio of 1.01.

International Paper (NYSE:IP - Get Free Report) last posted its earnings results on Wednesday, October 28th. The basic materials company reported $0.37 earnings per share for the quarter, topping analysts' consensus estimates of $0.29 by $0.08. The company had revenue of $6.20 billion during the quarter, compared to analyst estimates of $6.28 billion. International Paper had a positive return on equity of 1.77% and a negative net margin of 14.32%. International Paper's revenue was down .4% on a year-over-year basis. During the same quarter in the prior year, the business earned ($0.43) earnings per share. Equities analysts forecast that International Paper Company will post 1.26 EPS for the current fiscal year.

International Paper Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Tuesday, December 15th. Shareholders of record on Monday, November 16th will be paid a $0.4625 dividend. This represents a $1.85 annualized dividend and a yield of 5.1%. The ex-dividend date is Monday, November 16th. International Paper's dividend payout ratio (DPR) is -28.37%.

Wall Street Analysts Forecast Growth

A number of brokerages recently issued reports on IP. Argus restated a "buy" rating and issued a $45.00 price target on shares of International Paper in a research report on Thursday, September 24th. Wells Fargo & Company decreased their price objective on shares of International Paper from $46.00 to $42.00 and set an "overweight" rating for the company in a research note on Wednesday, October 7th. Seaport Research Partners reaffirmed a "buy" rating and set a $46.00 target price on shares of International Paper in a research note on Wednesday, August 12th. Loop Capital set a $61.00 target price on International Paper in a research note on Tuesday, July 28th. Finally, Citigroup reduced their target price on International Paper from $48.00 to $47.00 and set a "buy" rating on the stock in a research note on Friday, October 2nd. Ten investment analysts have rated the stock with a Buy rating, three have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $45.90.

International Paper Profile

International Paper NYSE: IP is a global producer of sustainable packaging, pulp and paper products. Its offerings include corrugated packaging and containerboard used to protect and transport goods, as well as absorbent cellulose fibers and other fiber-based materials used in personal care, healthcare, foodservice and industrial applications.

The company serves customers across North America and Europe, with products sold to manufacturers, retailers, consumer-goods companies and other commercial customers.

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