International Paper Company $IP Shares Bought by Capital International Investors

Key Points

• Capital International Investors increased its stake in International Paper by 51.4%, buying 16,622,062 shares to hold 48,990,719 shares (≈9.28%) valued at about $2,272,966,000.
• CEO Andrew K. Silvernail bought 50,000 shares at an average price of $39.98 (≈$1.999M), while corporate insiders collectively own about 0.55% of the stock.
• International Paper reported an EPS of ($0.08), missing the $0.28 consensus while revenue of $6.01 billion beat expectations and rose 53.1% year-over-year; analysts' consensus rating is "Hold" with an average price target of $48.25.

Capital International Investors grew its holdings in shares of International Paper Company (NYSE:IP - Free Report) by 51.4% in the third quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 48,990,719 shares of the basic materials company's stock after buying an additional 16,622,062 shares during the period. Capital International Investors owned 9.28% of International Paper worth $2,272,966,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other hedge funds have also made changes to their positions in the company. Norges Bank acquired a new stake in shares of International Paper during the 2nd quarter worth about $281,735,000. M&G PLC boosted its holdings in International Paper by 165.9% in the second quarter. M&G PLC now owns 3,220,070 shares of the basic materials company's stock valued at $150,553,000 after purchasing an additional 2,009,123 shares in the last quarter. Vanguard Group Inc. boosted its holdings in International Paper by 2.0% in the second quarter. Vanguard Group Inc. now owns 63,879,190 shares of the basic materials company's stock valued at $2,991,462,000 after purchasing an additional 1,255,650 shares in the last quarter. SG Americas Securities LLC increased its stake in International Paper by 2,565.0% in the second quarter. SG Americas Securities LLC now owns 963,300 shares of the basic materials company's stock valued at $45,111,000 after purchasing an additional 927,154 shares during the last quarter. Finally, State Street Corp increased its stake in International Paper by 3.2% in the second quarter. State Street Corp now owns 29,386,616 shares of the basic materials company's stock valued at $1,376,175,000 after purchasing an additional 902,741 shares during the last quarter. Hedge funds and other institutional investors own 81.95% of the company's stock.

Insiders Place Their Bets

In other International Paper news, CEO Andrew K. Silvernail purchased 50,000 shares of the firm's stock in a transaction that occurred on Friday, January 30th. The stock was purchased at an average price of $39.98 per share, for a total transaction of $1,999,000.00. Following the purchase, the chief executive officer directly owned 50,000 shares in the company, valued at approximately $1,999,000. This trade represents a ∞ increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. 0.55% of the stock is currently owned by corporate insiders.

International Paper Price Performance

Shares of NYSE IP opened at $38.37 on Tuesday. The company has a current ratio of 1.28, a quick ratio of 1.02 and a debt-to-equity ratio of 0.60. International Paper Company has a twelve month low of $35.56 and a twelve month high of $56.64. The stock has a 50 day moving average of $43.33 and a two-hundred day moving average of $43.13. The stock has a market cap of $20.32 billion, a P/E ratio of -5.72 and a beta of 1.09.

International Paper (NYSE:IP - Get Free Report) last announced its earnings results on Thursday, January 29th. The basic materials company reported ($0.08) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.28 by ($0.36). The business had revenue of $6.01 billion for the quarter, compared to analysts' expectations of $5.90 billion. International Paper had a negative return on equity of 0.35% and a negative net margin of 14.12%.The business's revenue was up 53.1% on a year-over-year basis. During the same quarter last year, the business posted ($0.02) earnings per share. On average, research analysts forecast that International Paper Company will post 2.77 earnings per share for the current year.

Analysts Set New Price Targets

Several analysts have recently weighed in on the stock. Zacks Research downgraded shares of International Paper from a "hold" rating to a "strong sell" rating in a research report on Monday, January 12th. Citigroup increased their target price on shares of International Paper from $46.00 to $47.00 and gave the company a "buy" rating in a research report on Friday, January 30th. Wells Fargo & Company upgraded shares of International Paper from an "underweight" rating to an "equal weight" rating and lifted their price target for the stock from $36.00 to $40.00 in a research note on Friday, January 30th. Truist Financial set a $48.00 price target on shares of International Paper in a research report on Thursday, February 26th. Finally, JPMorgan Chase & Co. upped their price objective on shares of International Paper from $45.00 to $48.00 and gave the company a "neutral" rating in a research note on Friday, January 30th. Eight investment analysts have rated the stock with a Buy rating, three have assigned a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Hold" and an average price target of $48.25.

About International Paper

International Paper is a global producer of renewable fiber-based products, focused primarily on pulp, paper, and packaging. The company manufactures containerboard and corrugated packaging used for shipping and retail display, as well as a range of specialty papers and pulp products that serve industrial, consumer goods, and e-commerce customers. Its product portfolio is oriented toward large-scale packaging solutions, tissue and paper grades, and raw pulp for a variety of manufacturing uses.

Founded in 1898, International Paper is headquartered in Memphis, Tennessee, and is one of the largest and longest-established companies in the forest products sector.

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