Wealth Enhancement Advisory Services LLC Grows Stake in International Paper Company $IP

Key Points

• Wealth Enhancement Advisory Services LLC significantly increased its stake in International Paper Company by 653.3% during Q2, now holding 615,706 shares valued at approximately $31 million.
• Major institutional investors have also raised their holdings, with Vanguard Group acquiring an additional 21.4 million shares, boosting its total to 62.6 million shares worth around $3.34 billion.
• Analysts have varied opinions on the stock, with Bank of America upgrading it from "neutral" to "buy" and raising the price target from $55 to $57, while Zacks downgraded it to a "strong sell."

Wealth Enhancement Advisory Services LLC boosted its stake in shares of International Paper Company (NYSE:IP - Free Report) by 653.3% in the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The firm owned 615,706 shares of the basic materials company's stock after acquiring an additional 533,973 shares during the quarter. Wealth Enhancement Advisory Services LLC owned about 0.12% of International Paper worth $31,050,000 as of its most recent filing with the Securities and Exchange Commission.

Several other hedge funds have also modified their holdings of IP. Vanguard Group Inc. raised its position in International Paper by 52.0% during the first quarter. Vanguard Group Inc. now owns 62,623,540 shares of the basic materials company's stock worth $3,340,966,000 after acquiring an additional 21,428,455 shares during the last quarter. Price T Rowe Associates Inc. MD lifted its holdings in shares of International Paper by 8.8% during the 1st quarter. Price T Rowe Associates Inc. MD now owns 51,798,017 shares of the basic materials company's stock valued at $2,763,426,000 after acquiring an additional 4,201,422 shares in the last quarter. Bank of New York Mellon Corp boosted its position in shares of International Paper by 19.4% in the first quarter. Bank of New York Mellon Corp now owns 17,145,485 shares of the basic materials company's stock worth $914,712,000 after buying an additional 2,782,042 shares during the period. T. Rowe Price Investment Management Inc. lifted its position in shares of International Paper by 230.0% during the first quarter. T. Rowe Price Investment Management Inc. now owns 3,965,192 shares of the basic materials company's stock worth $211,543,000 after purchasing an additional 2,763,634 shares in the last quarter. Finally, Nuveen LLC acquired a new stake in shares of International Paper during the first quarter valued at about $132,900,000. 81.95% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several analysts have weighed in on IP shares. Truist Financial set a $59.00 target price on shares of International Paper in a research note on Wednesday, May 28th. Bank of America raised International Paper from a "neutral" rating to a "buy" rating and upped their target price for the company from $55.00 to $57.00 in a report on Thursday, August 28th. Wall Street Zen upgraded International Paper from a "sell" rating to a "hold" rating in a research note on Friday, June 27th. UBS Group initiated coverage on International Paper in a research note on Wednesday, June 4th. They issued a "buy" rating and a $60.00 target price on the stock. Finally, JPMorgan Chase & Co. cut International Paper from an "overweight" rating to a "neutral" rating and lowered their price target for the company from $55.00 to $54.00 in a research report on Tuesday, August 5th. Five analysts have rated the stock with a Buy rating, one has assigned a Hold rating and three have assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of "Hold" and a consensus price target of $55.65.

International Paper Price Performance

Shares of International Paper stock traded down $0.68 during trading on Friday, hitting $46.43. 9,209,781 shares of the company's stock traded hands, compared to its average volume of 3,515,157. The firm's fifty day moving average price is $48.94 and its 200 day moving average price is $48.69. International Paper Company has a twelve month low of $43.27 and a twelve month high of $60.36. The company has a market cap of $24.51 billion, a PE ratio of -464.30, a PEG ratio of 0.52 and a beta of 1.05. The company has a debt-to-equity ratio of 0.52, a current ratio of 1.33 and a quick ratio of 0.96.

International Paper (NYSE:IP - Get Free Report) last posted its quarterly earnings data on Thursday, July 31st. The basic materials company reported $0.20 earnings per share for the quarter, missing the consensus estimate of $0.38 by ($0.18). International Paper had a negative net margin of 0.12% and a positive return on equity of 2.63%. The company had revenue of $6.77 billion during the quarter, compared to analyst estimates of $6.64 billion. During the same quarter in the previous year, the business posted $0.55 EPS. The company's revenue was up 42.9% compared to the same quarter last year. Analysts forecast that International Paper Company will post 2.77 earnings per share for the current year.

International Paper Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Tuesday, September 16th. Shareholders of record on Friday, August 15th were paid a $0.4625 dividend. The ex-dividend date was Friday, August 15th. This represents a $1.85 dividend on an annualized basis and a yield of 4.0%. International Paper's dividend payout ratio (DPR) is currently -1,850.00%.

Insider Buying and Selling

In related news, SVP Joseph R. Saab sold 9,000 shares of the business's stock in a transaction on Tuesday, September 16th. The stock was sold at an average price of $45.53, for a total value of $409,770.00. Following the completion of the sale, the senior vice president directly owned 27,673 shares in the company, valued at $1,259,951.69. The trade was a 24.54% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. 0.35% of the stock is currently owned by company insiders.

About International Paper

International Paper Company produces and sells renewable fiber-based packaging and pulp products in North America, Latin America, Europe, and North Africa. It operates through two segments, Industrial Packaging and Global Cellulose Fibers. The company offers linerboard, medium, whitetop, recycled linerboard, recycled medium and saturating kraft; and pulp for a range of applications, such as diapers, towel and tissue products, feminine care, incontinence, and other personal care products, as well as specialty pulps for use in textiles, construction materials, paints, coatings, and others.