Q2 EPS Forecast for International Paper Lowered by Analyst

Key Points

• Zacks Research sharply cut its Q2 2026 EPS estimate for International Paper to $0.01 from $0.27 and kept a Strong Sell rating on the stock. It also lowered forward earnings estimates for 2026 and 2027.
• International Paper’s latest quarterly results missed analyst expectations, posting $0.15 EPS versus $0.18 expected and revenue of $5.97 billion versus $6.02 billion forecast. Despite 13.4% year-over-year revenue growth, the company reported a negative net margin.
• Analysts remain mixed overall, with a Moderate Buy consensus and an average price target of $43.73, while the stock was trading near $30.42. The company also announced a quarterly dividend of $0.4625, implying a 6.1% annualized yield.

International Paper Company (NYSE:IP - Free Report) - Equities researchers at Zacks Research decreased their Q2 2026 earnings estimates for shares of International Paper in a research report issued to clients and investors on Thursday, May 14th. Zacks Research analyst Team now anticipates that the basic materials company will earn $0.01 per share for the quarter, down from their previous forecast of $0.27. Zacks Research has a "Strong Sell" rating on the stock. The consensus estimate for International Paper's current full-year earnings is $1.43 per share. Zacks Research also issued estimates for International Paper's Q4 2026 earnings at $0.61 EPS, FY2026 earnings at $1.28 EPS, Q1 2027 earnings at $0.51 EPS, Q2 2027 earnings at $0.67 EPS and Q4 2027 earnings at $0.77 EPS.

International Paper (NYSE:IP - Get Free Report) last released its earnings results on Thursday, April 30th. The basic materials company reported $0.15 EPS for the quarter, missing the consensus estimate of $0.18 by ($0.03). The company had revenue of $5.97 billion for the quarter, compared to analyst estimates of $6.02 billion. International Paper had a negative net margin of 13.42% and a negative return on equity of 0.49%. International Paper's revenue for the quarter was up 13.4% compared to the same quarter last year. During the same quarter in the previous year, the company earned $0.17 earnings per share.

Other equities analysts have also recently issued research reports about the stock. Stifel Nicolaus dropped their price objective on shares of International Paper from $51.80 to $50.70 and set a "buy" rating for the company in a research note on Monday, February 9th. Seaport Research Partners upgraded shares of International Paper from a "neutral" rating to a "buy" rating and set a $39.00 price objective for the company in a research note on Friday, May 1st. Wells Fargo & Company upgraded shares of International Paper from an "equal weight" rating to an "overweight" rating and increased their price objective for the company from $38.00 to $39.00 in a research note on Monday, May 4th. JPMorgan Chase & Co. dropped their price objective on shares of International Paper from $46.00 to $43.00 and set a "neutral" rating for the company in a research note on Friday, May 1st. Finally, Weiss Ratings cut shares of International Paper from a "sell (d+)" rating to a "sell (d)" rating in a research note on Monday, April 27th. Nine equities research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and an average target price of $43.73.

International Paper Trading Up 0.5%

Shares of IP stock opened at $30.42 on Tuesday. International Paper has a 52-week low of $29.45 and a 52-week high of $56.13. The stock has a market cap of $16.11 billion, a price-to-earnings ratio of -4.78 and a beta of 0.93. The company has a debt-to-equity ratio of 0.55, a quick ratio of 0.94 and a current ratio of 1.21. The firm has a fifty day moving average of $34.98 and a 200-day moving average of $38.94.

Institutional Investors Weigh In On International Paper

Several large investors have recently made changes to their positions in IP. McIlrath & Eck LLC grew its holdings in shares of International Paper by 452.6% in the 4th quarter. McIlrath & Eck LLC now owns 641 shares of the basic materials company's stock worth $25,000 after purchasing an additional 525 shares during the last quarter. MV Capital Management Inc. bought a new stake in International Paper during the 4th quarter worth about $25,000. Ascentis Independent Advisors bought a new stake in International Paper during the 1st quarter worth about $28,000. DV Equities LLC bought a new stake in International Paper during the 4th quarter worth about $29,000. Finally, Sound Income Strategies LLC grew its holdings in International Paper by 94.0% during the 4th 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. Institutional investors own 81.95% of the company's stock.

Insider Activity

In other news, Director Anders Gustafsson bought 13,217 shares of the stock in a transaction dated Thursday, March 12th. The shares were acquired at an average price of $37.83 per share, with a total value of $499,999.11. Following the acquisition, the director owned 26,092 shares in the company, valued at $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 Securities & Exchange Commission, which is available through this link. Also, Director Scott Tozier bought 10,000 shares of the stock in a transaction dated Friday, May 1st. The stock was purchased at an average cost of $31.30 per share, for a total transaction of $313,000.00. Following the acquisition, the director owned 10,025 shares in the company, valued at $313,782.50. The trade was a 40,000.00% increase in their position. The disclosure for this purchase is available in the SEC filing. In the last ninety days, insiders bought 36,092 shares of company stock worth $1,313,064. 0.21% of the stock is owned by insiders.

International Paper Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, June 12th. Stockholders of record on Friday, May 22nd will be issued a $0.4625 dividend. The ex-dividend date of this dividend is Friday, May 22nd. This represents a $1.85 annualized dividend and a dividend yield of 6.1%. International Paper's dividend payout ratio is presently -29.09%.

About International Paper

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.