Graphic Packaging Holding Company (NYSE:GPK) Given Average Rating of "Reduce" by Brokerages

Key Points

• Twelve analysts give Graphic Packaging an average rating of Reduce (three sell, nine hold) with a 12‑month average price target of $14.51, following recent cuts from RBC, Citi and Wells Fargo and new coverage by Deutsche Bank at $9.60.
• Shares trade around $9.82 with a market cap of $2.9B, a P/E of 6.6 and a 52‑week range of $8.78–$25.81; the company recently declared a quarterly dividend of $0.11 (annualized $0.44, 4.5% yield).
• CEO Robbert Rietbroek bought 44,278 shares (~$501k) in March, while institutions including AQR, Eminence and UBS materially increased or established positions, leaving institutional ownership at about 99.67%.

Shares of Graphic Packaging Holding Company (NYSE:GPK - Get Free Report) have been given an average rating of "Reduce" by the twelve ratings firms that are presently covering the firm, Marketbeat.com reports. Three analysts have rated the stock with a sell rating and nine have issued a hold rating on the company. The average twelve-month price target among analysts that have covered the stock in the last year is $14.5111.

A number of equities research analysts have recently commented on GPK shares. Royal Bank Of Canada lowered their price objective on Graphic Packaging from $13.00 to $10.00 and set a "sector perform" rating for the company in a research report on Friday, March 20th. Citigroup lowered their price objective on Graphic Packaging from $16.00 to $13.00 and set a "neutral" rating for the company in a research report on Thursday, February 5th. Truist Financial set a $14.00 price objective on Graphic Packaging in a research report on Wednesday, February 4th. Deutsche Bank Aktiengesellschaft started coverage on Graphic Packaging in a research report on Wednesday, April 1st. They issued a "hold" rating and a $9.60 price objective for the company. Finally, Wells Fargo & Company lowered their price objective on Graphic Packaging from $11.00 to $9.00 and set an "underweight" rating for the company in a research report on Friday, March 20th.

Graphic Packaging Price Performance

Shares of NYSE:GPK opened at $9.82 on Tuesday. The company has a market cap of $2.90 billion, a P/E ratio of 6.63 and a beta of 0.69. The company has a quick ratio of 0.52, a current ratio of 1.30 and a debt-to-equity ratio of 1.50. Graphic Packaging has a 52 week low of $8.78 and a 52 week high of $25.81. The business has a fifty day simple moving average of $10.95 and a 200-day simple moving average of $14.36.

Graphic Packaging (NYSE:GPK - Get Free Report) last announced its quarterly earnings data on Monday, March 2nd. The industrial products company reported $0.24 EPS for the quarter. The business had revenue of $2.10 billion during the quarter. Graphic Packaging had a return on equity of 16.58% and a net margin of 5.15%. Equities research analysts forecast that Graphic Packaging will post 2.47 EPS for the current year.

Graphic Packaging Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, April 8th. Investors of record on Sunday, March 15th were issued a $0.11 dividend. The ex-dividend date was Friday, March 13th. This represents a $0.44 dividend on an annualized basis and a yield of 4.5%. Graphic Packaging's dividend payout ratio (DPR) is presently 29.73%.

Insiders Place Their Bets

In other news, CEO Robbert Rietbroek bought 44,278 shares of Graphic Packaging stock in a transaction that occurred on Wednesday, March 4th. The shares were purchased at an average price of $11.32 per share, for a total transaction of $501,226.96. Following the completion of the acquisition, the chief executive officer owned 44,278 shares of the company's stock, valued at $501,226.96. The trade was a ∞ increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Insiders own 1.41% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in GPK. AQR Capital Management LLC boosted its holdings in Graphic Packaging by 503.6% in 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 during the last quarter. Eminence Capital LP boosted its holdings in Graphic Packaging by 67.5% in the fourth quarter. Eminence Capital LP now owns 12,811,941 shares of the industrial products company's stock valued at $192,948,000 after acquiring an additional 5,163,806 shares during the last quarter. UBS Group AG boosted its holdings in Graphic Packaging by 123.8% in 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 during the last quarter. Norges Bank acquired a new position in Graphic Packaging in the fourth quarter valued at $54,031,000. Finally, Milford Funds Ltd. acquired a new position in Graphic Packaging in the fourth quarter valued at $43,374,000. Institutional investors and hedge funds own 99.67% of the company's stock.

About Graphic Packaging

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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