Canada Pension Plan Investment Board Buys 18,000 Shares of Packaging Corporation of America $PKG

Key Points

• The Canada Pension Plan Investment Board increased its stake in Packaging Corporation of America by 253.5%, acquiring an additional 18,000 shares in the first quarter, bringing its total holdings to 25,100 shares valued at approximately $4.97 million.
• Packaging Corporation of America reported earnings of $2.48 per share for the last quarter, exceeding analysts' expectations, while its revenue was $2.17 billion with a year-over-year increase of 4.7%.
• The company announced a quarterly dividend of $1.25 per share, corresponding to an annualized payout of $5.00 and a yield of 2.3%.

Canada Pension Plan Investment Board lifted its holdings in Packaging Corporation of America (NYSE:PKG - Free Report) by 253.5% during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 25,100 shares of the industrial products company's stock after buying an additional 18,000 shares during the quarter. Canada Pension Plan Investment Board's holdings in Packaging Corporation of America were worth $4,970,000 as of its most recent SEC filing.

Other institutional investors have also added to or reduced their stakes in the company. Manchester Capital Management LLC raised its stake in shares of Packaging Corporation of America by 39.0% during the first quarter. Manchester Capital Management LLC now owns 203 shares of the industrial products company's stock worth $40,000 after purchasing an additional 57 shares during the last quarter. Cary Street Partners Financial LLC boosted its stake in Packaging Corporation of America by 0.7% during the first quarter. Cary Street Partners Financial LLC now owns 8,759 shares of the industrial products company's stock valued at $1,735,000 after buying an additional 59 shares in the last quarter. Horizon Investments LLC boosted its stake in shares of Packaging Corporation of America by 4.8% during the 1st quarter. Horizon Investments LLC now owns 1,291 shares of the industrial products company's stock valued at $256,000 after buying an additional 59 shares during the period. Exchange Traded Concepts LLC lifted its position in Packaging Corporation of America by 20.6% during the 1st quarter. Exchange Traded Concepts LLC now owns 387 shares of the industrial products company's stock worth $77,000 after acquiring an additional 66 shares during the last quarter. Finally, TCTC Holdings LLC grew its position in Packaging Corporation of America by 86.4% in the first quarter. TCTC Holdings LLC now owns 151 shares of the industrial products company's stock valued at $30,000 after acquiring an additional 70 shares during the period. 89.78% of the stock is owned by hedge funds and other institutional investors.

Packaging Corporation of America Stock Performance

Shares of PKG stock traded down $4.74 during trading hours on Monday, hitting $215.51. 406,275 shares of the company were exchanged, compared to its average volume of 852,108. The company has a current ratio of 3.54, a quick ratio of 2.32 and a debt-to-equity ratio of 0.54. The stock has a market capitalization of $19.39 billion, a price-to-earnings ratio of 21.57, a P/E/G ratio of 1.92 and a beta of 0.87. Packaging Corporation of America has a 52-week low of $172.71 and a 52-week high of $250.82. The firm has a fifty day simple moving average of $203.36 and a 200 day simple moving average of $196.37.

Packaging Corporation of America (NYSE:PKG - Get Free Report) last issued its quarterly earnings results on Wednesday, July 23rd. The industrial products company reported $2.48 earnings per share for the quarter, topping the consensus estimate of $2.44 by $0.04. The company had revenue of $2.17 billion for the quarter, compared to analysts' expectations of $2.18 billion. Packaging Corporation of America had a return on equity of 20.08% and a net margin of 10.47%.The firm's revenue for the quarter was up 4.7% on a year-over-year basis. During the same period in the prior year, the firm earned $2.20 earnings per share. Packaging Corporation of America has set its Q3 2025 guidance at 2.800-2.800 EPS. Research analysts predict that Packaging Corporation of America will post 10.44 earnings per share for the current fiscal year.

Packaging Corporation of America Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, October 15th. Shareholders of record on Monday, September 15th will be given a dividend of $1.25 per share. The ex-dividend date is Monday, September 15th. This represents a $5.00 annualized dividend and a yield of 2.3%. Packaging Corporation of America's payout ratio is presently 49.90%.

Analysts Set New Price Targets

Several equities analysts have commented on the company. Truist Financial dropped their target price on Packaging Corporation of America from $239.00 to $238.00 and set a "buy" rating for the company in a research report on Friday, July 25th. UBS Group upped their price target on Packaging Corporation of America from $210.00 to $220.00 and gave the stock a "neutral" rating in a research report on Tuesday, July 29th. Wells Fargo & Company raised their price target on shares of Packaging Corporation of America from $180.00 to $200.00 and gave the stock an "equal weight" rating in a report on Thursday, July 10th. Jefferies Financial Group lowered shares of Packaging Corporation of America from a "buy" rating to a "hold" rating and dropped their price target for the stock from $245.00 to $205.00 in a research note on Monday, June 16th. Finally, Citigroup increased their price objective on shares of Packaging Corporation of America from $197.00 to $214.00 and gave the company a "neutral" rating in a research note on Friday, July 25th. One analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating and four have assigned a Hold rating to the company's stock. According to MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $215.40.

About Packaging Corporation of America

Packaging Corporation of America engages in the production of container products. It operates through the following segments: Packaging, Paper, and Corporate and Other. The Packaging segment offers a variety of corrugated packaging products, such as conventional shipping containers. The Paper segment manufactures and sells a range of papers, including communication-based papers, and pressure sensitive papers.