Packaging Corporation of America (NYSE:PKG) Trading 6.1% Higher - Should You Buy?

Shares of Packaging Corporation of America (NYSE:PKG - Get Free Report) shot up 6.1% during trading on Tuesday . The stock traded as high as $198.67 and last traded at $199.86. 267,596 shares traded hands during mid-day trading, a decline of 64% from the average session volume of 738,088 shares. The stock had previously closed at $188.45.

Wall Street Analysts Forecast Growth

Several equities analysts recently weighed in on the stock. Wall Street Zen cut shares of Packaging Corporation of America from a "buy" rating to a "hold" rating in a research note on Sunday, April 6th. Wells Fargo & Company restated an "equal weight" rating and set a $180.00 price objective (down previously from $205.00) on shares of Packaging Corporation of America in a research report on Friday, May 9th. UBS Group initiated coverage on Packaging Corporation of America in a research report on Wednesday, June 4th. They issued a "neutral" rating and a $200.00 target price on the stock. Truist Financial raised their price target on Packaging Corporation of America from $237.00 to $239.00 and gave the company a "buy" rating in a report on Tuesday, June 17th. Finally, Jefferies Financial Group cut Packaging Corporation of America from a "buy" rating to a "hold" rating and decreased their price objective for the stock from $245.00 to $205.00 in a report on Monday, June 16th. Five research analysts have rated the stock with a hold rating, one has given a buy rating and one has issued a strong buy rating to the company's stock. According to MarketBeat.com, the company presently has an average rating of "Hold" and an average price target of $211.80.

Packaging Corporation of America Trading Up 0.2%

The company has a 50-day moving average of $190.02 and a 200 day moving average of $203.47. The company has a debt-to-equity ratio of 0.55, a current ratio of 3.28 and a quick ratio of 2.15. The company has a market cap of $18.20 billion, a PE ratio of 21.16, a price-to-earnings-growth ratio of 2.64 and a beta of 0.82.

Packaging Corporation of America (NYSE:PKG - Get Free Report) last announced its earnings results on Tuesday, April 22nd. The industrial products company reported $2.31 EPS for the quarter, topping analysts' consensus estimates of $2.21 by $0.10. Packaging Corporation of America had a return on equity of 20.08% and a net margin of 10.09%. The firm had revenue of $2.14 billion during the quarter, compared to analysts' expectations of $2.12 billion. Analysts predict 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 announced a quarterly dividend, which will be paid on Tuesday, July 15th. Stockholders of record on Friday, June 13th will be issued a $1.25 dividend. The ex-dividend date is Friday, June 13th. This represents a $5.00 annualized dividend and a dividend yield of 2.47%. Packaging Corporation of America's dividend payout ratio (DPR) is presently 52.30%.

Institutional Trading of Packaging Corporation of America

Several institutional investors have recently added to or reduced their stakes in PKG. Oppenheimer & Co. Inc. lifted its stake in shares of Packaging Corporation of America by 86.3% during the 4th quarter. Oppenheimer & Co. Inc. now owns 3,651 shares of the industrial products company's stock worth $822,000 after acquiring an additional 1,691 shares during the last quarter. SVB Wealth LLC bought a new stake in shares of Packaging Corporation of America during the fourth quarter worth $246,000. Smartleaf Asset Management LLC boosted its stake in shares of Packaging Corporation of America by 40.3% during the fourth quarter. Smartleaf Asset Management LLC now owns 773 shares of the industrial products company's stock valued at $174,000 after purchasing an additional 222 shares during the period. Modera Wealth Management LLC grew its holdings in shares of Packaging Corporation of America by 16.7% in the fourth quarter. Modera Wealth Management LLC now owns 2,825 shares of the industrial products company's stock worth $636,000 after purchasing an additional 405 shares during the last quarter. Finally, Jones Financial Companies Lllp increased its stake in Packaging Corporation of America by 79.0% in the 4th quarter. Jones Financial Companies Lllp now owns 666 shares of the industrial products company's stock worth $150,000 after buying an additional 294 shares during the period. Institutional investors own 89.78% of the company's stock.

About Packaging Corporation of America

Packaging Corporation of America engages in the production of container products. It operates through the following segments: Packaging, Paper, and Corporate and Other. The Packaging segment offers a variety of corrugated packaging products, such as conventional shipping containers. The Paper segment manufactures and sells a range of papers, including communication-based papers, and pressure sensitive papers.