International Paper (NYSE:IP) Shares Up 5.7% Following Insider Buying Activity

Key Points

• Shares jumped 5.7% after Director Anders Gustafsson bought a total of about 26,092 shares across March 11–12 (two purchases of 12,875 and 13,217 shares) for roughly $1.0 million in aggregate.
• Wall Street sentiment is mixed — eight analysts rate the stock a Buy, three Hold and two Sell — with a consensus "Hold" and an average price target of $48.25 despite several recent upgrades and downgrades.
• In the latest quarter International Paper missed on EPS (reported ($0.08) vs $0.28 expected) while beating revenue at $6.01 billion; the company has a market cap of about $19.96 billion and a negative P/E of -5.62.

Shares of International Paper Company (NYSE:IP - Get Free Report) were up 5.7% on Friday following insider buying activity. The company traded as high as $38.29 and last traded at $37.6960. Approximately 3,394,564 shares were traded during mid-day trading, a decline of 52% from the average daily volume of 7,080,628 shares. The stock had previously closed at $35.65.

Specifically, Director Anders Gustafsson bought 13,217 shares of the company's stock in a transaction dated Thursday, March 12th. The stock was bought at an average price of $37.83 per share, with a total value of $499,999.11. Following the transaction, the director owned 26,092 shares of the company's stock, valued at approximately $987,060.36. This trade represents a 102.66% increase in their ownership of the stock. The acquisition was disclosed in a filing with the SEC, which can be accessed through this link. Also, Director Anders Gustafsson bought 12,875 shares of the business's stock in a transaction dated Wednesday, March 11th. The stock was bought at an average price of $38.84 per share, for a total transaction of $500,065.00. Following the purchase, the director owned 12,875 shares in the company, valued at approximately $500,065. This represents a ∞ increase in their position. Additional details regarding this purchase are available in the official SEC disclosure.

Wall Street Analyst Weigh In

Several analysts recently weighed in on the company. Wells Fargo & Company raised International Paper from an "underweight" rating to an "equal weight" rating and boosted their price objective for the company from $36.00 to $40.00 in a report on Friday, January 30th. Jefferies Financial Group increased their target price on International Paper from $47.00 to $48.00 and gave the stock a "buy" rating in a report on Thursday, January 22nd. UBS Group lowered International Paper from a "buy" rating to a "neutral" rating and decreased their target price for the stock from $51.00 to $44.00 in a research report on Monday, February 2nd. BNP Paribas Exane upgraded International Paper from a "strong sell" rating to an "outperform" rating and set a $44.00 price target for the company in a report on Monday, November 24th. Finally, Truist Financial set a $48.00 price target on International Paper in a research report on Thursday, February 26th. Eight equities research analysts have rated the stock with a Buy rating, three have issued a Hold rating and two have assigned a Sell rating to the company's stock. According to MarketBeat.com, the stock currently has an average rating of "Hold" and a consensus price target of $48.25.

International Paper Trading Up 5.7%

The company has a quick ratio of 1.02, a current ratio of 1.28 and a debt-to-equity ratio of 0.60. The firm's 50 day moving average is $43.23 and its two-hundred day moving average is $42.98. The stock has a market cap of $19.96 billion, a price-to-earnings ratio of -5.62 and a beta of 1.09.

International Paper (NYSE:IP - Get Free Report) last issued its earnings results on Thursday, January 29th. The basic materials company reported ($0.08) EPS for the quarter, missing analysts' consensus estimates of $0.28 by ($0.36). The company had revenue of $6.01 billion during the quarter, compared to analyst estimates of $5.90 billion. International Paper had a negative net margin of 14.12% and a negative return on equity of 0.35%. The business's revenue was up 53.1% on a year-over-year basis. During the same quarter in the previous year, the firm earned ($0.02) earnings per share. Equities analysts anticipate that International Paper Company will post 2.77 EPS for the current year.

Institutional Trading of International Paper

Several hedge funds have recently made changes to their positions in the stock. McIlrath & Eck LLC increased its position in International Paper by 452.6% in the fourth quarter. McIlrath & Eck LLC now owns 641 shares of the basic materials company's stock worth $25,000 after buying an additional 525 shares during the period. MV Capital Management Inc. acquired a new position in shares of International Paper during the fourth quarter valued at $25,000. DV Equities LLC bought a new position in shares of International Paper during the fourth quarter worth about $29,000. Sound Income Strategies LLC grew its position in shares of International Paper by 94.0% during the fourth quarter. Sound Income Strategies LLC now owns 710 shares of the basic materials company's stock worth $31,000 after acquiring an additional 344 shares during the last quarter. Finally, Summit Securities Group LLC grew its position in shares of International Paper by 115.4% during the fourth quarter. Summit Securities Group LLC now owns 784 shares of the basic materials company's stock worth $31,000 after acquiring an additional 5,875 shares during the last quarter. Institutional investors own 81.95% of the company's stock.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.