Bank of New York Mellon Corp Acquires 303,430 Shares of Packaging Corporation of America $PKG

Key Points

• Bank of New York Mellon increased its stake in Packaging Corporation of America by 16.3% in Q4, adding 303,430 shares and bringing its position to 2,166,789 shares worth about $446.9 million.
• The company’s CEO, Mark W. Kowlzan, sold 9,266 shares in late May for about $2.0 million, leaving him with 473,610 shares after the transaction.
• Packaging Corporation of America reported better-than-expected quarterly earnings of $2.40 per share and recently raised its quarterly dividend to $1.50 per share, lifting the annualized payout to $6.00.

Bank of New York Mellon Corp grew its holdings in Packaging Corporation of America (NYSE:PKG - Free Report) by 16.3% in the 4th quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 2,166,789 shares of the industrial products company's stock after acquiring an additional 303,430 shares during the quarter. Bank of New York Mellon Corp owned 2.41% of Packaging Corporation of America worth $446,857,000 at the end of the most recent reporting period.

Other large investors also recently modified their holdings of the company. Benchmark Financial Wealth Advisors LLC boosted its position in shares of Packaging Corporation of America by 2.1% during the fourth quarter. Benchmark Financial Wealth Advisors LLC now owns 2,345 shares of the industrial products company's stock worth $484,000 after buying an additional 48 shares during the period. River Street Advisors LLC boosted its position in shares of Packaging Corporation of America by 1.0% during the fourth quarter. River Street Advisors LLC now owns 5,362 shares of the industrial products company's stock worth $1,106,000 after buying an additional 51 shares during the period. TD Private Client Wealth LLC boosted its position in shares of Packaging Corporation of America by 2.9% during the fourth quarter. TD Private Client Wealth LLC now owns 1,929 shares of the industrial products company's stock worth $398,000 after buying an additional 54 shares during the period. Cary Street Partners Investment Advisory LLC boosted its position in shares of Packaging Corporation of America by 40.7% during the third quarter. Cary Street Partners Investment Advisory LLC now owns 197 shares of the industrial products company's stock worth $43,000 after buying an additional 57 shares during the period. Finally, Geneos Wealth Management Inc. boosted its position in shares of Packaging Corporation of America by 40.4% during the first quarter. Geneos Wealth Management Inc. now owns 198 shares of the industrial products company's stock worth $39,000 after buying an additional 57 shares during the period. 89.78% of the stock is currently owned by institutional investors.

Insider Activity

In other news, CEO Mark W. Kowlzan sold 9,266 shares of the firm's stock in a transaction that occurred on Wednesday, May 27th. The stock was sold at an average price of $217.08, for a total value of $2,011,463.28. Following the completion of the sale, the chief executive officer directly owned 473,610 shares of the company's stock, valued at $102,811,258.80. This trade represents a 1.92% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this link. 1.60% of the stock is currently owned by insiders.

Wall Street Analyst Weigh In

Several research analysts have recently weighed in on PKG shares. JPMorgan Chase & Co. upped their price objective on Packaging Corporation of America from $225.00 to $246.00 and gave the stock an "overweight" rating in a research report on Friday, April 24th. Weiss Ratings cut Packaging Corporation of America from a "buy (b)" rating to a "buy (b-)" rating in a research report on Tuesday, May 26th. Truist Financial reaffirmed a "buy" rating and set a $258.00 price objective (down from $260.00) on shares of Packaging Corporation of America in a research report on Monday, April 27th. UBS Group raised Packaging Corporation of America from a "neutral" rating to a "buy" rating and upped their price objective for the stock from $232.00 to $248.00 in a research report on Wednesday, May 20th. Finally, Citigroup reduced their price objective on Packaging Corporation of America from $227.00 to $217.00 and set a "neutral" rating for the company in a research report on Tuesday, April 14th. One analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating and three have given a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average target price of $236.57.

Packaging Corporation of America Stock Performance

Shares of NYSE PKG opened at $224.70 on Thursday. The stock has a 50 day moving average price of $214.11 and a 200 day moving average price of $215.23. Packaging Corporation of America has a 52 week low of $184.76 and a 52 week high of $249.51. The company has a debt-to-equity ratio of 0.87, a quick ratio of 1.88 and a current ratio of 3.07. The stock has a market capitalization of $20.02 billion, a PE ratio of 27.34, a price-to-earnings-growth ratio of 2.03 and a beta of 0.81.

Packaging Corporation of America (NYSE:PKG - Get Free Report) last issued its quarterly earnings results on Wednesday, April 22nd. The industrial products company reported $2.40 EPS for the quarter, beating the consensus estimate of $2.17 by $0.23. Packaging Corporation of America had a return on equity of 19.27% and a net margin of 8.04%.The firm had revenue of $2.37 billion during the quarter, compared to analysts' expectations of $2.45 billion. During the same period in the prior year, the firm posted $2.31 earnings per share. The business's quarterly revenue was up 10.6% compared to the same quarter last year. Packaging Corporation of America has set its Q2 2026 guidance at 2.330-2.330 EPS. Analysts predict that Packaging Corporation of America will post 10.81 earnings per share for the current fiscal year.

Packaging Corporation of America Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 15th. Stockholders of record on Monday, June 15th will be given a $1.50 dividend. The ex-dividend date of this dividend is Monday, June 15th. This is a positive change from Packaging Corporation of America's previous quarterly dividend of $1.25. This represents a $6.00 dividend on an annualized basis and a dividend yield of 2.7%. Packaging Corporation of America's payout ratio is 60.83%.

About Packaging Corporation of America

Packaging Corporation of America NYSE: PKG is a leading North American manufacturer of containerboard and corrugated packaging products. The company produces a range of paper-based packaging solutions including linerboard, corrugating medium, corrugated shipping containers, retail-ready packaging and point-of-purchase displays. In addition to core packaging products, Packaging Corporation of America offers packaging design, testing and supply-chain services intended to optimize protection, cost and sustainability for customers.

Headquartered in Lake Forest, Illinois, the company operates an integrated network of mills and corrugated manufacturing facilities across the United States and serves customers throughout North America in industries such as e-commerce, grocery and food & beverage, consumer packaged goods and industrial markets.

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