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

Key Points

• Graphic Packaging (GPK) hit a new 52-week low of $10.61 and was last trading around $10.70, down about 3.4% on high volume.
• Analysts have cut targets and returned mixed to negative guidance—multiple firms lowered price targets and the consensus rating is Reduce with an average target of $16.63.
• The company announced a quarterly dividend of $0.11 (a 4.1% yield), while CEO Robbert Rietbroek bought 44,278 shares at $11.32 (~$501k), indicating insider buying.

Graphic Packaging Holding Company (NYSE:GPK - Get Free Report) shares reached a new 52-week low on Monday . The company traded as low as $10.61 and last traded at $10.70, with a volume of 773655 shares. The stock had previously closed at $11.22.

Wall Street Analyst Weigh In

GPK has been the topic of a number of recent analyst reports. Truist Financial set a $14.00 target price on Graphic Packaging in a research report on Wednesday, February 4th. Weiss Ratings restated a "sell (d+)" rating on shares of Graphic Packaging in a research report on Monday, December 29th. Wells Fargo & Company lowered their target price on Graphic Packaging from $12.00 to $11.00 and set an "underweight" rating on the stock in a research note on Wednesday, February 4th. UBS Group dropped their target price on Graphic Packaging from $19.00 to $17.00 and set a "neutral" rating on the stock in a report on Monday, January 12th. Finally, Citigroup reduced their price target on shares of Graphic Packaging from $16.00 to $13.00 and set a "neutral" rating for the company in a research report on Thursday, February 5th. Eight research analysts have rated the stock with a Hold rating and three have assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of "Reduce" and an average price target of $16.63.

Graphic Packaging Stock Down 3.4%

The company has a current ratio of 1.30, a quick ratio of 0.52 and a debt-to-equity ratio of 1.50. The firm's fifty day moving average is $13.85 and its 200 day moving average is $16.44. The stock has a market cap of $3.21 billion, a P/E ratio of 7.32 and a beta of 0.65.

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

Graphic Packaging Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, April 8th. Investors of record on Sunday, March 15th will be given a dividend of $0.11 per share. This represents a $0.44 annualized dividend and a dividend yield of 4.1%. The ex-dividend date is Friday, March 13th. Graphic Packaging's dividend payout ratio (DPR) is 29.73%.

Insider Transactions at Graphic Packaging

In other Graphic Packaging news, CEO Robbert Rietbroek acquired 44,278 shares of the business's stock in a transaction on Wednesday, March 4th. The stock was purchased at an average price of $11.32 per share, for a total transaction of $501,226.96. Following the transaction, the chief executive officer owned 44,278 shares in the company, valued at $501,226.96. This trade represents a ∞ increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. 1.41% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Graphic Packaging

Several hedge funds have recently added to or reduced their stakes in GPK. Quarry LP increased its position in shares of Graphic Packaging by 282.0% in the 3rd quarter. Quarry LP now owns 1,547 shares of the industrial products company's stock valued at $30,000 after buying an additional 1,142 shares in the last quarter. Marshall & Sterling Wealth Advisors Inc. acquired a new position in Graphic Packaging in the third quarter valued at about $31,000. Caitong International Asset Management Co. Ltd increased its holdings in shares of Graphic Packaging by 13,971.4% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 1,970 shares of the industrial products company's stock worth $30,000 after acquiring an additional 1,956 shares in the last quarter. Operose Advisors LLC bought a new stake in shares of Graphic Packaging in the second quarter worth about $42,000. Finally, MassMutual Private Wealth & Trust FSB raised its position in shares of Graphic Packaging by 649.6% during the fourth quarter. MassMutual Private Wealth & Trust FSB now owns 2,039 shares of the industrial products company's stock worth $31,000 after purchasing an additional 1,767 shares during the period. Institutional investors 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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