BlackRock Inc. Acquires New Shares in Graphic Packaging Holding Company $GPK

Key Points

• BlackRock acquired 41.66 million shares of Graphic Packaging during the second quarter, valued at about $440.3 million and representing a 14.07% stake. Institutional investors and hedge funds collectively own 99.67% of the company.
• Graphic Packaging exceeded quarterly earnings expectations, reporting $0.14 in EPS versus the $0.12 consensus and $2.19 billion in revenue. However, revenue declined 0.7% year over year, and full-year EPS guidance is $0.65–$0.90.
• The company declared a quarterly dividend of $0.11 per share, equivalent to an annualized yield of about 3.8%. Analysts remain cautious, with an average “Reduce” rating and an $11.14 price target.

BlackRock Inc. bought a new stake in Graphic Packaging Holding Company (NYSE:GPK - Free Report) during the second quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund bought 41,659,890 shares of the industrial products company's stock, valued at approximately $440,345,000. BlackRock Inc. owned approximately 14.07% of Graphic Packaging at the end of the most recent reporting period.

Other hedge funds also recently bought and sold shares of the company. Eminence Capital LP lifted its holdings in shares of Graphic Packaging by 67.5% during the 4th quarter. Eminence Capital LP now owns 12,811,941 shares of the industrial products company's stock valued at $192,948,000 after buying an additional 5,163,806 shares during the last quarter. Dimensional Fund Advisors LP increased its holdings in Graphic Packaging by 18.4% in the fourth quarter. Dimensional Fund Advisors LP now owns 11,728,031 shares of the industrial products company's stock worth $176,626,000 after buying an additional 1,824,110 shares during the last quarter. State Street Corp increased its holdings in Graphic Packaging by 0.8% in the fourth quarter. State Street Corp now owns 9,877,303 shares of the industrial products company's stock worth $149,808,000 after buying an additional 81,300 shares during the last quarter. UBS Group AG raised its position in Graphic Packaging by 123.8% during the fourth quarter. UBS Group AG now owns 9,026,134 shares of the industrial products company's stock valued at $135,934,000 after acquiring an additional 4,992,179 shares in the last quarter. Finally, AQR Capital Management LLC raised its position in Graphic Packaging by 503.6% during the fourth quarter. AQR Capital Management LLC now owns 8,693,765 shares of the industrial products company's stock valued at $130,928,000 after acquiring an additional 7,253,473 shares in the last quarter. 99.67% of the stock is owned by institutional investors and hedge funds.

Graphic Packaging Trading Down 0.2%

Shares of GPK stock opened at $11.43 on Wednesday. Graphic Packaging Holding Company has a 12 month low of $8.78 and a 12 month high of $22.86. The company has a market cap of $3.38 billion, a PE ratio of 17.32 and a beta of 0.66. The company has a quick ratio of 0.60, a current ratio of 1.38 and a debt-to-equity ratio of 1.58. The business's 50 day moving average is $11.04 and its two-hundred day moving average is $10.73.

Graphic Packaging (NYSE:GPK - Get Free Report) last posted its quarterly earnings data on Tuesday, August 4th. The industrial products company reported $0.14 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.12 by $0.02. Graphic Packaging had a net margin of 2.25% and a return on equity of 9.95%. The business had revenue of $2.19 billion during the quarter, compared to the consensus estimate of $2.18 billion. During the same period in the prior year, the firm earned $0.42 EPS. Graphic Packaging's quarterly revenue was down .7% compared to the same quarter last year. Graphic Packaging has set its FY 2026 guidance at 0.650-0.900 EPS. Equities analysts predict that Graphic Packaging Holding Company will post 0.71 EPS for the current year.

Graphic Packaging Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, October 6th. Shareholders of record on Tuesday, September 15th will be given a dividend of $0.11 per share. The ex-dividend date of this dividend is Tuesday, September 15th. This represents a $0.44 dividend on an annualized basis and a yield of 3.8%. Graphic Packaging's payout ratio is currently 66.67%.

Analyst Upgrades and Downgrades

GPK has been the subject of several recent research reports. JPMorgan Chase & Co. started coverage on shares of Graphic Packaging in a research report on Monday, June 29th. They issued a "neutral" rating and a $11.70 target price for the company. Citigroup raised their price target on shares of Graphic Packaging from $10.00 to $11.00 and gave the company a "neutral" rating in a report on Thursday, May 7th. UBS Group lifted their price objective on shares of Graphic Packaging from $11.00 to $12.00 and gave the company a "neutral" rating in a research note on Thursday, August 6th. Wells Fargo & Company upped their price objective on shares of Graphic Packaging from $9.00 to $10.00 and gave the stock an "underweight" rating in a report on Wednesday, August 5th. Finally, Weiss Ratings restated a "sell (d+)" rating on shares of Graphic Packaging in a report on Wednesday, June 24th. Nine equities research analysts have rated the stock with a Hold rating and three have given a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock has an average rating of "Reduce" and an average price target of $11.14.

Graphic Packaging Profile

Graphic Packaging Holding Company is a leading provider of sustainable paperboard packaging solutions, offering a broad portfolio of products designed for food, beverage and other consumer goods markets. The company specializes in the manufacture of containerboard, folding cartons and engineered fill materials, as well as beverage packaging systems including paperboard cups, carriers and related components.

Through a network of manufacturing facilities across North America, Europe and Latin America, Graphic Packaging serves a diverse customer base that includes major consumer packaged goods companies, quick-service restaurants and retail chains.

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