Packaging Corporation of America (NYSE:PKG) Short Interest Down 36.1% in March

Key Points

• Short interest fell 36.1% in March to 3,340,726 shares (about 3.8% of shares sold short), leaving a days-to-cover ratio of 2.6.
• Q results missed expectations: PKG reported EPS of $2.32 vs. a $2.41 estimate and revenue below forecasts, and set Q1 2026 guidance at $2.20 EPS while analysts expect roughly $10.44 for the year.
• President Thomas A. Hassfurther sold 12,129 shares for about $2.8M (a 5.8% reduction in his position), and the company declared a quarterly dividend of $1.25 ($5.00 annual, ~2.4% yield).

Packaging Corporation of America (NYSE:PKG - Get Free Report) was the recipient of a large decline in short interest during the month of March. As of March 31st, there was short interest totaling 3,340,726 shares, a decline of 36.1% from the March 15th total of 5,228,241 shares. Currently, 3.8% of the company's shares are sold short. Based on an average daily volume of 1,285,912 shares, the days-to-cover ratio is presently 2.6 days.

Insider Buying and Selling at Packaging Corporation of America

In other news, President Thomas A. Hassfurther sold 12,129 shares of the business's stock in a transaction that occurred on Thursday, February 5th. The stock was sold at an average price of $230.50, for a total transaction of $2,795,734.50. Following the transaction, the president owned 197,062 shares of the company's stock, valued at approximately $45,422,791. The trade was a 5.80% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Corporate insiders own 1.60% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of the company. Cornerstone Planning Group LLC grew its holdings in Packaging Corporation of America by 105.4% during the third quarter. Cornerstone Planning Group LLC now owns 115 shares of the industrial products company's stock worth $25,000 after acquiring an additional 59 shares during the period. DV Equities LLC acquired a new stake in Packaging Corporation of America during the fourth quarter valued at $26,000. KERR FINANCIAL PLANNING Corp acquired a new stake in Packaging Corporation of America during the third quarter valued at $31,000. Covestor Ltd grew its position in Packaging Corporation of America by 140.0% during the fourth quarter. Covestor Ltd now owns 156 shares of the industrial products company's stock valued at $32,000 after buying an additional 91 shares during the period. Finally, Towarzystwo Funduszy Inwestycyjnych PZU SA grew its position in Packaging Corporation of America by 94.1% during the fourth quarter. Towarzystwo Funduszy Inwestycyjnych PZU SA now owns 165 shares of the industrial products company's stock valued at $34,000 after buying an additional 80 shares during the period. 89.78% of the stock is owned by institutional investors and hedge funds.

Packaging Corporation of America Stock Down 0.3%

Shares of NYSE PKG traded down $0.70 during mid-day trading on Tuesday, reaching $209.78. 823,836 shares of the company were exchanged, compared to its average volume of 1,016,946. The firm has a 50-day moving average of $222.30 and a 200 day moving average of $212.76. Packaging Corporation of America has a 1 year low of $176.45 and a 1 year high of $249.51. The stock has a market cap of $18.68 billion, a price-to-earnings ratio of 24.48, a P/E/G ratio of 1.90 and a beta of 0.90. The company has a quick ratio of 1.94, a current ratio of 3.17 and a debt-to-equity ratio of 0.86.

Packaging Corporation of America (NYSE:PKG - Get Free Report) last announced its earnings results on Tuesday, January 27th. The industrial products company reported $2.32 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.41 by ($0.09). Packaging Corporation of America had a net margin of 8.61% and a return on equity of 19.22%. The business had revenue of $2.36 billion for the quarter, compared to analyst estimates of $2.43 billion. During the same period in the prior year, the company earned $2.47 earnings per share. The company's quarterly revenue was up 10.1% on a year-over-year basis. Packaging Corporation of America has set its Q1 2026 guidance at 2.200-2.20 EPS. On average, research analysts expect that Packaging Corporation of America will post 10.44 earnings per share for the current year.

Packaging Corporation of America Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 15th. Stockholders of record on Friday, March 13th will be issued a $1.25 dividend. The ex-dividend date of this dividend is Friday, March 13th. This represents a $5.00 dividend on an annualized basis and a dividend yield of 2.4%. Packaging Corporation of America's dividend payout ratio is currently 58.34%.

Analysts Set New Price Targets

Several equities analysts have recently weighed in on PKG shares. Truist Financial cut their target price on Packaging Corporation of America from $273.00 to $270.00 and set a "buy" rating on the stock in a research report on Thursday, January 29th. UBS Group cut their target price on Packaging Corporation of America from $235.00 to $225.00 and set a "neutral" rating on the stock in a research report on Friday. Weiss Ratings downgraded Packaging Corporation of America from a "buy (b-)" rating to a "hold (c+)" rating in a research report on Friday, February 27th. Deutsche Bank Aktiengesellschaft assumed coverage on Packaging Corporation of America in a research report on Wednesday, April 1st. They set a "hold" rating and a $225.00 target price on the stock. Finally, Wells Fargo & Company decreased their price objective on Packaging Corporation of America from $234.00 to $226.00 and set an "overweight" rating for the company in a research note on Tuesday, April 7th. One analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating and six have assigned a Hold rating to the company's stock. Based on data from MarketBeat, Packaging Corporation of America has an average rating of "Moderate Buy" and an average target price of $230.43.

About Packaging Corporation of America

Packaging Corporation of America NYSE: PKG is a leading North American manufacturer of containerboard and corrugated packaging products. The company produces a range of paper-based packaging solutions including linerboard, corrugating medium, corrugated shipping containers, retail-ready packaging and point-of-purchase displays. In addition to core packaging products, Packaging Corporation of America offers packaging design, testing and supply-chain services intended to optimize protection, cost and sustainability for customers.

Headquartered in Lake Forest, Illinois, the company operates an integrated network of mills and corrugated manufacturing facilities across the United States and serves customers throughout North America in industries such as e-commerce, grocery and food & beverage, consumer packaged goods and industrial markets.

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