Ameriprise Financial Inc. Increases Stake in International Paper Company $IP

Key Points

• Ameriprise Financial Inc. increased its stake in International Paper Company by 22.8% during the 1st quarter, owning approximately 2.6 million shares valued at $139.63 million.
• International Paper reported $0.20 earnings per share for the last quarter, missing the consensus estimate of $0.38, while revenues were up 42.9% year-over-year at $6.77 billion.
• The company announced a quarterly dividend of $0.4625 per share, representing an annualized yield of 3.8%, with the ex-dividend date set for August 15th.

Ameriprise Financial Inc. lifted its stake in shares of International Paper Company (NYSE:IP - Free Report) by 22.8% in the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 2,617,200 shares of the basic materials company's stock after buying an additional 485,096 shares during the quarter. Ameriprise Financial Inc. owned about 0.50% of International Paper worth $139,628,000 at the end of the most recent reporting period.

Several other institutional investors have also modified their holdings of IP. Zions Bancorporation National Association UT purchased a new stake in International Paper in the 1st quarter valued at $34,000. Bernard Wealth Management Corp. purchased a new stake in International Paper in the 4th quarter valued at $37,000. Citizens National Bank Trust Department purchased a new stake in International Paper in the 1st quarter valued at $37,000. Grove Bank & Trust raised its position in International Paper by 472.0% in the 1st quarter. Grove Bank & Trust now owns 755 shares of the basic materials company's stock valued at $40,000 after purchasing an additional 623 shares during the last quarter. Finally, Toth Financial Advisory Corp purchased a new stake in International Paper in the 1st quarter valued at $42,000. Hedge funds and other institutional investors own 81.95% of the company's stock.

Wall Street Analysts Forecast Growth

Several analysts recently commented on IP shares. Zacks Research downgraded shares of International Paper from a "hold" rating to a "strong sell" rating in a research report on Monday, August 18th. Bank of America upgraded shares of International Paper from a "neutral" rating to a "buy" rating and upped their price target for the company from $55.00 to $57.00 in a research report on Thursday. Truist Financial set a $59.00 price target on shares of International Paper in a research report on Wednesday, May 28th. JPMorgan Chase & Co. downgraded shares of International Paper from an "overweight" rating to a "neutral" rating and cut their price objective for the stock from $55.00 to $54.00 in a research report on Tuesday, August 5th. Finally, Wells Fargo & Company restated an "underweight" rating and set a $43.00 price objective (up previously from $40.00) on shares of International Paper in a research report on Thursday, July 10th. Five equities research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and three have assigned a Sell rating to the company. According to data from MarketBeat.com, the company has an average rating of "Hold" and a consensus target price of $55.65.

International Paper Price Performance

NYSE IP traded up $0.44 during trading hours on Friday, reaching $49.40. The company's stock had a trading volume of 927,505 shares, compared to its average volume of 6,354,349. The stock has a market cap of $26.08 billion, a PE ratio of -494.00, a PEG ratio of 0.63 and a beta of 1.04. International Paper Company has a fifty-two week low of $43.27 and a fifty-two week high of $60.36. The company's 50-day moving average is $49.43 and its two-hundred day moving average is $49.62. The company has a debt-to-equity ratio of 0.52, a quick ratio of 0.96 and a current ratio of 1.33.

International Paper (NYSE:IP - Get Free Report) last issued its quarterly earnings data on Thursday, July 31st. The basic materials company reported $0.20 EPS for the quarter, missing analysts' consensus estimates of $0.38 by ($0.18). The business had revenue of $6.77 billion during the quarter, compared to analyst estimates of $6.64 billion. International Paper had a negative net margin of 0.12% and a positive return on equity of 2.63%. International Paper's revenue was up 42.9% on a year-over-year basis. During the same period in the previous year, the company posted $0.55 earnings per share. Analysts forecast that International Paper Company will post 2.77 EPS for the current year.

International Paper Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 16th. Stockholders of record on Friday, August 15th will be issued a dividend of $0.4625 per share. This represents a $1.85 annualized dividend and a dividend yield of 3.7%. The ex-dividend date is Friday, August 15th. International Paper's dividend payout ratio is presently -1,850.00%.

About International Paper

International Paper Company produces and sells renewable fiber-based packaging and pulp products in North America, Latin America, Europe, and North Africa. It operates through two segments, Industrial Packaging and Global Cellulose Fibers. The company offers linerboard, medium, whitetop, recycled linerboard, recycled medium and saturating kraft; and pulp for a range of applications, such as diapers, towel and tissue products, feminine care, incontinence, and other personal care products, as well as specialty pulps for use in textiles, construction materials, paints, coatings, and others.