International Paper Company (NYSE:IP) Receives Average Recommendation of "Moderate Buy" from Brokerages

Key Points

• International Paper has an average analyst rating of “Moderate Buy” from 14 brokerages, with eight buy ratings, five holds, and one sell. The consensus 12-month price target is about $44.31.
• Recent analyst moves were mixed: Truist and Wells Fargo raised targets and reiterated bullish views, while Bank of America downgraded the stock to neutral. Several other firms also adjusted targets, reflecting differing views on the company’s outlook.
• The company recently reported quarterly earnings of $0.15 per share, missing estimates, but it also announced a quarterly dividend of $0.4625 per share, implying a 4.9% yield. Shares were trading around $38.10 at the time of the report.

Shares of International Paper Company (NYSE:IP - Get Free Report) have been given an average recommendation of "Moderate Buy" by the fourteen ratings firms that are covering the stock, Marketbeat reports. One investment analyst has rated the stock with a sell rating, five have assigned a hold rating and eight have given a buy rating to the company. The average twelve-month price objective among brokerages that have issued a report on the stock in the last year is $44.3083.

Several equities analysts have commented on IP shares. Truist Financial lifted their target price on shares of International Paper from $40.00 to $46.00 and gave the stock a "buy" rating in a research report on Wednesday, July 15th. BNP Paribas Exane cut their price objective on International Paper from $44.00 to $42.00 and set an "outperform" rating on the stock in a research report on Wednesday, March 25th. Bank of America lowered International Paper from a "buy" rating to a "neutral" rating and set a $41.00 target price for the company. in a research report on Tuesday, July 14th. Wells Fargo & Company boosted their price target on shares of International Paper from $39.00 to $42.00 and gave the stock an "overweight" rating in a report on Thursday, July 9th. Finally, Deutsche Bank Aktiengesellschaft initiated coverage on shares of International Paper in a research report on Wednesday, April 1st. They set a "hold" rating and a $38.00 price target for the company.

Insiders Place Their Bets

In other news, Director Scott Tozier bought 10,000 shares of the firm's stock in a transaction on Friday, May 1st. The stock was acquired at an average cost of $31.30 per share, with a total value of $313,000.00. Following the completion of the transaction, the director directly owned 10,025 shares of the company's stock, valued at $313,782.50. This represents a 40,000.00% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Company insiders own 0.21% of the company's stock.

Institutional Investors Weigh In On International Paper

Several large investors have recently added to or reduced their stakes in the company. Tema ETFs LLC lifted its holdings in International Paper by 10.4% during the second quarter. Tema ETFs LLC now owns 10,777 shares of the basic materials company's stock valued at $411,000 after purchasing an additional 1,015 shares during the last quarter. LVM Capital Management Ltd. MI bought a new stake in shares of International Paper in the second quarter valued at approximately $612,000. Wealth Science Advisors LLC bought a new stake in shares of International Paper in the second quarter valued at approximately $200,000. GoalVest Advisory LLC lifted its stake in shares of International Paper by 6.9% during the 2nd quarter. GoalVest Advisory LLC now owns 30,044 shares of the basic materials company's stock valued at $1,145,000 after buying an additional 1,948 shares in the last quarter. Finally, Valeo Financial Advisors LLC boosted its holdings in International Paper by 10.9% in the 2nd quarter. Valeo Financial Advisors LLC now owns 16,612 shares of the basic materials company's stock worth $633,000 after buying an additional 1,630 shares during the period. Hedge funds and other institutional investors own 81.95% of the company's stock.

International Paper Stock Performance

NYSE IP opened at $38.10 on Thursday. The company has a fifty day moving average price of $35.31 and a 200-day moving average price of $37.98. The firm has a market cap of $20.17 billion, a price-to-earnings ratio of -5.99 and a beta of 0.94. The company has a debt-to-equity ratio of 0.55, a current ratio of 1.21 and a quick ratio of 0.94. International Paper has a 1 year low of $29.26 and a 1 year high of $56.13.

International Paper (NYSE:IP - Get Free Report) last released its quarterly earnings results on Thursday, April 30th. The basic materials company reported $0.15 earnings per share for the quarter, missing the consensus estimate of $0.18 by ($0.03). International Paper had a negative return on equity of 0.49% and a negative net margin of 13.42%.The firm had revenue of $5.97 billion for the quarter, compared to analysts' expectations of $6.02 billion. During the same quarter last year, the firm posted $0.17 earnings per share. The firm's revenue for the quarter was up 13.4% compared to the same quarter last year. As a group, equities research analysts predict that International Paper will post 1.39 EPS for the current fiscal year.

International Paper Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, September 15th. Investors of record on Friday, August 14th will be issued a $0.4625 dividend. This represents a $1.85 dividend on an annualized basis and a dividend yield of 4.9%. The ex-dividend date of this dividend is Friday, August 14th. International Paper's payout ratio is -29.09%.

International Paper Company Profile

International Paper is a global producer of renewable fiber-based products, focused primarily on pulp, paper, and packaging. The company manufactures containerboard and corrugated packaging used for shipping and retail display, as well as a range of specialty papers and pulp products that serve industrial, consumer goods, and e-commerce customers. Its product portfolio is oriented toward large-scale packaging solutions, tissue and paper grades, and raw pulp for a variety of manufacturing uses.

Founded in 1898, International Paper is headquartered in Memphis, Tennessee, and is one of the largest and longest-established companies in the forest products sector.

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