Royal Bank Of Canada Cuts International Paper (NYSE:IP) Price Target to $45.00

Key Points

• Royal Bank of Canada cut its price target on International Paper to $45 from $48 while keeping an "outperform" rating, implying roughly 44% upside from the current share price; the analyst consensus target is about $45.23 with a mixed "Hold" consensus (8 Buy, 4 Hold, 2 Sell).
• Q1 results missed (EPS $0.15 vs. $0.18; revenue slightly below estimates) and management flagged higher costs, cutting near-term Q2 adjusted EBITDA guidance to $520–$570M, which pressured the stock.
• The company bolstered liquidity by selling Global Cellulose Fibers for $1.1B (used $660M to pay down debt and generated $611M operating cash) and set medium-term targets of $3.2B–$3.5B adjusted EBITDA and $300M–$500M free cash flow for the year.

International Paper (NYSE:IP - Get Free Report) had its target price decreased by investment analysts at Royal Bank Of Canada from $48.00 to $45.00 in a report issued on Friday,Benzinga reports. The firm currently has an "outperform" rating on the basic materials company's stock. Royal Bank Of Canada's target price points to a potential upside of 43.98% from the company's current price.

IP has been the topic of several other reports. Deutsche Bank Aktiengesellschaft started coverage on shares of International Paper in a research report on Wednesday, April 1st. They issued a "hold" rating and a $38.00 target price on the stock. JPMorgan Chase & Co. decreased their target price on shares of International Paper from $48.00 to $46.00 and set a "neutral" rating on the stock in a research report on Thursday, April 2nd. Wells Fargo & Company decreased their target price on shares of International Paper from $40.00 to $38.00 and set an "equal weight" rating on the stock in a research report on Friday, March 20th. Citigroup decreased their target price on shares of International Paper from $47.00 to $44.00 and set a "buy" rating on the stock in a research report on Tuesday, April 14th. Finally, Jefferies Financial Group raised their target price on shares of International Paper from $47.00 to $48.00 and gave the stock a "buy" rating in a research report on Thursday, January 22nd. Eight analysts have rated the stock with a Buy rating, four have given a Hold rating and two have issued a Sell rating to the company's stock. According to data from MarketBeat.com, the stock has a consensus rating of "Hold" and a consensus price target of $45.23.

International Paper Trading Up 2.7%

Shares of NYSE IP traded up $0.84 during midday trading on Friday, reaching $31.26. 5,189,824 shares of the stock were exchanged, compared to its average volume of 7,239,133. The stock has a 50 day moving average price of $37.25 and a 200-day moving average price of $40.12. The company has a current ratio of 1.28, a quick ratio of 1.02 and a debt-to-equity ratio of 0.60. International Paper has a 52-week low of $29.45 and a 52-week high of $56.13. The company has a market capitalization of $16.55 billion, a P/E ratio of -4.66 and a beta of 1.14.

International Paper (NYSE:IP - Get Free Report) last released its earnings results on Thursday, April 30th. The basic materials company reported $0.15 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.18 by ($0.03). International Paper had a negative return on equity of 0.35% and a negative net margin of 14.12%.The company had revenue of $5.97 billion during the quarter, compared to analyst estimates of $6.02 billion. During the same period in the prior year, the business posted $0.17 earnings per share. International Paper's revenue was up 13.4% on a year-over-year basis. Equities research analysts expect that International Paper will post 1.63 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other International Paper news, Director Anders Gustafsson purchased 13,217 shares of International Paper stock in a transaction on Thursday, March 12th. The shares were purchased at an average cost of $37.83 per share, with a total value of $499,999.11. Following the completion of the transaction, the director directly owned 26,092 shares in the company, valued at approximately $987,060.36. This represents a 102.66% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 0.21% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Capital International Investors lifted its position in shares of International Paper by 51.4% during the third quarter. Capital International Investors now owns 48,990,719 shares of the basic materials company's stock worth $2,272,966,000 after purchasing an additional 16,622,062 shares in the last quarter. Franklin Resources Inc. lifted its position in shares of International Paper by 81.6% during the fourth quarter. Franklin Resources Inc. now owns 14,832,952 shares of the basic materials company's stock worth $584,270,000 after purchasing an additional 6,663,986 shares in the last quarter. Norges Bank acquired a new position in shares of International Paper during the fourth quarter worth $250,093,000. Capital Research Global Investors lifted its position in shares of International Paper by 7.5% during the third quarter. Capital Research Global Investors now owns 54,330,790 shares of the basic materials company's stock worth $2,520,945,000 after purchasing an additional 3,768,772 shares in the last quarter. Finally, Atlas FRM LLC lifted its position in shares of International Paper by 56.3% during the fourth quarter. Atlas FRM LLC now owns 5,000,000 shares of the basic materials company's stock worth $196,950,000 after purchasing an additional 1,800,000 shares in the last quarter. 81.95% of the stock is owned by institutional investors and hedge funds.

International Paper News Roundup

Here are the key news stories impacting International Paper this week:

• Positive Sentiment: Company received $1.1B net proceeds from the Global Cellulose Fibers sale, used $660M to pay down debt, and generated $611M of operating cash — supports balance sheet and liquidity. International Paper Reports First Quarter 2026 Results
• Positive Sentiment: Management set full-year adjusted EBITDA guidance of $3.2B–$3.5B and a free cash flow target of $300M–$500M, giving investors a clearer medium-term framework. International Paper forecasts $3.2B-$3.5B 2026 adjusted EBITDA
• Neutral Sentiment: Q1 adjusted EBITDA from continuing operations was $677M and revenue was up 13% year-over-year, but revenue missed some estimates — mixed operational read. International Paper Reports First Quarter 2026 Results
• Neutral Sentiment: Company filed an 8‑K and continues planning an EMEA separation; structural moves could unlock value but add execution risk and complexity. International Paper Files 8-K and Sets Call
• Negative Sentiment: Q1 EPS missed estimates ($0.15 vs. $0.18) and revenue slightly missed consensus; management flagged higher costs and issued downbeat Q2 adjusted EBITDA guidance ($520M–$570M), which triggered an earlier selloff. Q1 2026 Earnings Call Transcript
• Negative Sentiment: Analysts have flagged downside risk and some have cut estimates after management’s cost commentary and reduced near-term outlook. Reduced Outlook Still Has Downside Risk
• Neutral Sentiment: Unusually large options activity (big spikes in both call and put volume) suggests short-term speculative positioning and could amplify intraday moves. (Market data summarized from filings/news.)

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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