Graphic Packaging (NYSE:GPK) Hits New 12-Month Low - What's Next?

Key Points

• Graphic Packaging (GPK) reached a new 12-month low, trading down to $19.45, with a significant trading volume of 2,185,950 shares.
• Equities analysts have adjusted their target prices for GPK, with estimates ranging from $20.00 by Wells Fargo to $28.00 by Bank of America, maintaining a consensus rating of "Hold."
• The company announced a quarterly dividend of $0.11, representing an annualized dividend of $0.44 and a yield of 2.3%, with a payout ratio of 24.86%.

Shares of Graphic Packaging Holding Company (NYSE:GPK - Get Free Report) hit a new 52-week low on Monday . The stock traded as low as $19.45 and last traded at $19.49, with a volume of 2185950 shares. The stock had previously closed at $19.51.

Analyst Upgrades and Downgrades

Several analysts have recently issued reports on GPK shares. UBS Group started coverage on Graphic Packaging in a research note on Wednesday, June 4th. They set a "neutral" rating and a $24.00 price target for the company. Truist Financial decreased their price target on Graphic Packaging from $24.00 to $23.00 and set a "hold" rating for the company in a research note on Friday, July 11th. Wells Fargo & Company decreased their price target on Graphic Packaging from $23.00 to $20.00 and set an "equal weight" rating for the company in a research note on Wednesday, September 17th. Royal Bank Of Canada decreased their price target on Graphic Packaging from $26.00 to $25.00 and set an "outperform" rating for the company in a research note on Wednesday, June 18th. Finally, BNP Paribas Exane downgraded Graphic Packaging from an "outperform" rating to a "neutral" rating in a research note on Wednesday, June 25th. Four analysts have rated the stock with a Buy rating and five have given a Hold rating to the company's stock. Based on data from MarketBeat, Graphic Packaging has an average rating of "Hold" and an average price target of $26.00.

Graphic Packaging Trading Down 1.7%

The company has a market capitalization of $5.67 billion, a P/E ratio of 10.82, a price-to-earnings-growth ratio of 6.63 and a beta of 0.76. The business has a fifty day moving average price of $21.97 and a 200 day moving average price of $22.99. The company has a quick ratio of 0.56, a current ratio of 1.43 and a debt-to-equity ratio of 1.68.

Graphic Packaging (NYSE:GPK - Get Free Report) last released its earnings results on Tuesday, July 29th. The industrial products company reported $0.42 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.40 by $0.02. The business had revenue of $2.20 billion for the quarter, compared to the consensus estimate of $2.13 billion. Graphic Packaging had a return on equity of 21.13% and a net margin of 6.18%. Graphic Packaging has set its FY 2025 guidance at 1.900-2.20 EPS. On average, analysts expect that Graphic Packaging Holding Company will post 2.47 earnings per share for the current fiscal year.

Graphic Packaging Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 8th. Stockholders of record on Monday, September 15th will be issued a dividend of $0.11 per share. This represents a $0.44 dividend on an annualized basis and a dividend yield of 2.3%. The ex-dividend date is Monday, September 15th. Graphic Packaging's payout ratio is currently 24.86%.

Insider Buying and Selling

In related news, Director Philip R. Martens sold 7,015 shares of the business's stock in a transaction that occurred on Monday, August 4th. The stock was sold at an average price of $21.80, for a total value of $152,927.00. Following the completion of the sale, the director directly owned 26,811 shares in the company, valued at approximately $584,479.80. The trade was a 20.74% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, EVP Joseph P. Yost sold 30,000 shares of the company's stock in a transaction on Monday, August 25th. The stock was sold at an average price of $22.72, for a total value of $681,600.00. Following the sale, the executive vice president owned 255,203 shares of the company's stock, valued at $5,798,212.16. The trade was a 10.52% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 93,752 shares of company stock valued at $2,073,663. Corporate insiders own 1.41% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of GPK. Squarepoint Ops LLC acquired a new stake in Graphic Packaging in the second quarter valued at $2,415,000. Thrivent Financial for Lutherans grew its stake in shares of Graphic Packaging by 0.9% in the 2nd quarter. Thrivent Financial for Lutherans now owns 71,049 shares of the industrial products company's stock valued at $1,497,000 after buying an additional 660 shares during the period. State of Wyoming lifted its position in Graphic Packaging by 96.1% in the 2nd quarter. State of Wyoming now owns 3,527 shares of the industrial products company's stock valued at $74,000 after acquiring an additional 1,728 shares in the last quarter. FORA Capital LLC lifted its position in Graphic Packaging by 138.8% in the 2nd quarter. FORA Capital LLC now owns 75,683 shares of the industrial products company's stock valued at $1,595,000 after acquiring an additional 43,992 shares in the last quarter. Finally, Vident Advisory LLC lifted its position in shares of Graphic Packaging by 33.6% during the 2nd quarter. Vident Advisory LLC now owns 15,921 shares of the industrial products company's stock worth $335,000 after buying an additional 4,000 shares in the last quarter. 99.67% of the stock is currently owned by institutional investors and hedge funds.

About Graphic Packaging

Graphic Packaging Holding Company, together with its subsidiaries, designs, produces, and sells consumer packaging products to brands in food, beverage, foodservice, household, and other consumer products. It operates through three segments: Paperboard Manufacturing, Americas Paperboard Packaging, and Europe Paperboard Packaging.