Graphic Packaging (NYSE:GPK) Shares Down 2.9% - Here's What Happened

Key Points

• Graphic Packaging (NYSE:GPK) shares fell 2.9% during trading, reaching a last traded price of $21.33, with trading volume down 93% compared to the average session.
• Despite the drop, Wall Street analysts have generally maintained a positive outlook with a consensus rating of "Hold" and an average price target of $26.38.
• The company announced a quarterly dividend of $0.11 per share, reflecting an annualized dividend of $0.44, which results in a yield of 2.1%.

Graphic Packaging Holding Company (NYSE:GPK - Get Free Report) shares fell 2.9% during trading on Wednesday . The stock traded as low as $21.61 and last traded at $21.33. 203,509 shares traded hands during trading, a decline of 93% from the average session volume of 3,081,976 shares. The stock had previously closed at $21.97.

Wall Street Analysts Forecast Growth

Several research firms have commented on GPK. Wells Fargo & Company upped their price objective on Graphic Packaging from $21.00 to $23.00 and gave the company an "equal weight" rating in a research note on Friday, July 18th. Royal Bank Of Canada cut their target price 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. BNP Paribas Exane downgraded Graphic Packaging from an "outperform" rating to a "neutral" rating in a research note on Wednesday, June 25th. UBS Group assumed coverage on Graphic Packaging in a research note on Wednesday, June 4th. They set a "neutral" rating and a $24.00 target price for the company. Finally, Truist Financial cut their target price 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. Four investment analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. Based on data from MarketBeat, Graphic Packaging presently has a consensus rating of "Hold" and an average price target of $26.38.

Graphic Packaging Stock Down 5.1%

The stock has a market capitalization of $6.18 billion, a PE ratio of 11.75, a P/E/G ratio of 7.57 and a beta of 0.76. The firm has a 50 day moving average of $22.35 and a two-hundred day moving average of $23.63. The company has a current ratio of 1.43, a quick ratio of 0.56 and a debt-to-equity ratio of 1.68.

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

Graphic Packaging Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Wednesday, October 8th. Shareholders 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 yield of 2.1%. The ex-dividend date is Monday, September 15th. Graphic Packaging's dividend payout ratio is 24.86%.

Insiders Place Their Bets

In other Graphic Packaging news, Director Philip R. Martens sold 7,015 shares of the stock in a transaction on Monday, August 4th. The stock was sold at an average price of $21.80, for a total transaction of $152,927.00. Following the sale, the director owned 26,811 shares in the company, valued at approximately $584,479.80. This represents a 20.74% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, EVP Joseph P. Yost sold 30,000 shares of the stock in a transaction on Monday, August 25th. The shares were 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 in the company, valued at approximately $5,798,212.16. This trade represents a 10.52% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders have sold 93,752 shares of company stock worth $2,073,663. 1.41% of the stock is owned by insiders.

Institutional Investors Weigh In On Graphic Packaging

Several hedge funds have recently made changes to their positions in GPK. Caitong International Asset Management Co. Ltd acquired a new stake in shares of Graphic Packaging during the first quarter worth $28,000. Brooklyn Investment Group boosted its holdings in shares of Graphic Packaging by 69.9% during the first quarter. Brooklyn Investment Group now owns 1,065 shares of the industrial products company's stock worth $28,000 after purchasing an additional 438 shares during the last quarter. Bessemer Group Inc. boosted its holdings in shares of Graphic Packaging by 130.7% during the second quarter. Bessemer Group Inc. now owns 1,382 shares of the industrial products company's stock worth $29,000 after purchasing an additional 783 shares during the last quarter. Hantz Financial Services Inc. boosted its holdings in shares of Graphic Packaging by 1,356.1% during the second quarter. Hantz Financial Services Inc. now owns 1,791 shares of the industrial products company's stock worth $38,000 after purchasing an additional 1,668 shares during the last quarter. Finally, Wayfinding Financial LLC acquired a new stake in shares of Graphic Packaging during the first quarter worth $42,000. Institutional investors and hedge funds own 99.67% of the company's stock.

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.

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