Heartland Advisors Inc. Raises Holdings in Packaging Corporation of America $PKG

Key Points

• Heartland Advisors increased its stake in Packaging Corporation of America by 47.6% in the fourth quarter, bringing its holdings to 39,145 shares worth about $8.1 million.
• Packaging Corporation of America reported Q1 earnings of $2.40 per share, topping estimates, while revenue rose 10.6% year over year to $2.37 billion. The company also set Q2 2026 EPS guidance at $2.33.
• The company raised its quarterly dividend to $1.50 per share from $1.25, implying an annualized dividend of $6.00 and a yield of 2.8%. Meanwhile, analysts broadly remain constructive, with a Moderate Buy consensus and an average price target of $236.57.

Heartland Advisors Inc. lifted its holdings in shares of Packaging Corporation of America (NYSE:PKG - Free Report) by 47.6% in the fourth quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 39,145 shares of the industrial products company's stock after purchasing an additional 12,621 shares during the period. Heartland Advisors Inc.'s holdings in Packaging Corporation of America were worth $8,073,000 as of its most recent SEC filing.

A number of other hedge funds have also modified their holdings of PKG. KERR FINANCIAL PLANNING Corp purchased a new position in shares of Packaging Corporation of America during the 3rd quarter worth approximately $31,000. Covestor Ltd grew its stake in Packaging Corporation of America by 140.0% in the 4th quarter. Covestor Ltd now owns 156 shares of the industrial products company's stock worth $32,000 after acquiring an additional 91 shares during the period. Navalign LLC purchased a new stake in Packaging Corporation of America in the 4th quarter worth approximately $36,000. Geneos Wealth Management Inc. grew its stake in Packaging Corporation of America by 40.4% in the 1st quarter. Geneos Wealth Management Inc. now owns 198 shares of the industrial products company's stock worth $39,000 after acquiring an additional 57 shares during the period. Finally, Hantz Financial Services Inc. grew its stake in Packaging Corporation of America by 116.0% in the 4th quarter. Hantz Financial Services Inc. now owns 203 shares of the industrial products company's stock worth $42,000 after acquiring an additional 109 shares during the period. 89.78% of the stock is owned by hedge funds and other institutional investors.

Packaging Corporation of America Stock Down 5.0%

Shares of PKG opened at $215.92 on Thursday. The company has a quick ratio of 1.88, a current ratio of 3.07 and a debt-to-equity ratio of 0.87. The firm has a market cap of $19.24 billion, a PE ratio of 26.27, a price-to-earnings-growth ratio of 2.06 and a beta of 0.81. The company's fifty day moving average is $215.13 and its two-hundred day moving average is $216.18. Packaging Corporation of America has a fifty-two week low of $184.76 and a fifty-two week high of $249.51.

Packaging Corporation of America (NYSE:PKG - Get Free Report) last posted its earnings results on Wednesday, April 22nd. The industrial products company reported $2.40 earnings per share for the quarter, beating the consensus estimate of $2.17 by $0.23. The business had revenue of $2.37 billion for the quarter, compared to analyst estimates of $2.45 billion. Packaging Corporation of America had a net margin of 8.04% and a return on equity of 19.27%. The business's quarterly revenue was up 10.6% on a year-over-year basis. During the same quarter in the previous year, the business posted $2.31 EPS. Packaging Corporation of America has set its Q2 2026 guidance at 2.330-2.330 EPS. Analysts forecast that Packaging Corporation of America will post 10.8 earnings per share for the current year.

Packaging Corporation of America Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, July 15th. Investors of record on Monday, June 15th will be issued a dividend of $1.50 per share. This represents a $6.00 annualized dividend and a dividend yield of 2.8%. The ex-dividend date is Monday, June 15th. This is a positive change from Packaging Corporation of America's previous quarterly dividend of $1.25. Packaging Corporation of America's dividend payout ratio (DPR) is presently 72.99%.

Wall Street Analysts Forecast Growth

Several analysts have commented on the stock. Citigroup lowered their target price on shares of Packaging Corporation of America from $227.00 to $217.00 and set a "neutral" rating for the company in a research note on Tuesday, April 14th. UBS Group raised shares of Packaging Corporation of America from a "neutral" rating to a "buy" rating and lifted their target price for the stock from $232.00 to $248.00 in a research note on Wednesday, May 20th. Wells Fargo & Company lowered their target price on shares of Packaging Corporation of America from $234.00 to $226.00 and set an "overweight" rating for the company in a research note on Tuesday, April 7th. Deutsche Bank Aktiengesellschaft raised shares of Packaging Corporation of America from a "hold" rating to a "buy" rating and lifted their target price for the stock from $225.00 to $256.00 in a research note on Monday, May 4th. Finally, JPMorgan Chase & Co. lifted their target price on shares of Packaging Corporation of America from $225.00 to $246.00 and gave the stock an "overweight" rating in a research note on Friday, April 24th. One analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat, Packaging Corporation of America has a consensus rating of "Moderate Buy" and an average price target of $236.57.

Insider Buying and Selling at Packaging Corporation of America

In related news, CEO Mark W. Kowlzan sold 9,266 shares of Packaging Corporation of America stock in a transaction on Wednesday, May 27th. The shares were sold at an average price of $217.08, for a total transaction of $2,011,463.28. Following the transaction, the chief executive officer owned 473,610 shares in the company, valued at approximately $102,811,258.80. The trade was a 1.92% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Insiders own 1.60% of the company's stock.

Packaging Corporation of America Profile

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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