Seaport Res Ptn Has Negative Outlook for PKG Q3 Earnings

Key Points

• Seaport Res Ptn analysts have reduced their Q3 2025 earnings estimate for Packaging Corporation of America (PKG) from $3.00 to $2.88 per share, impacting overall earnings projections for FY2025 as well.
• Despite the earnings estimate decrease, several investment firms, including Citigroup and UBS, have recently increased their price targets for PKG, indicating a consensus price target of $213.40.
• The company reported a dividend yield of 2.42% with a quarterly dividend of $1.25, reflecting a stable payout ratio of approximately 49.90%.

Packaging Corporation of America (NYSE:PKG - Free Report) - Stock analysts at Seaport Res Ptn dropped their Q3 2025 earnings estimates for Packaging Corporation of America in a research note issued on Friday, July 25th. Seaport Res Ptn analyst M. Weintraub now expects that the industrial products company will post earnings per share of $2.88 for the quarter, down from their prior forecast of $3.00. The consensus estimate for Packaging Corporation of America's current full-year earnings is $10.44 per share. Seaport Res Ptn also issued estimates for Packaging Corporation of America's Q4 2025 earnings at $2.64 EPS and FY2025 earnings at $10.30 EPS.

Packaging Corporation of America (NYSE:PKG - Get Free Report) last announced its quarterly earnings results on Wednesday, July 23rd. The industrial products company reported $2.48 earnings per share for the quarter, topping analysts' consensus estimates of $2.44 by $0.04. The company had revenue of $2.17 billion for the quarter, compared to analysts' expectations of $2.18 billion. Packaging Corporation of America had a net margin of 10.47% and a return on equity of 20.36%. The business's quarterly revenue was up 4.7% compared to the same quarter last year. During the same period last year, the firm posted $2.20 earnings per share.

PKG has been the topic of several other reports. Wall Street Zen cut shares of Packaging Corporation of America from a "buy" rating to a "hold" rating in a research report on Sunday, April 6th. UBS Group boosted their price objective on shares of Packaging Corporation of America from $200.00 to $210.00 and gave the company a "neutral" rating in a research report on Wednesday, July 9th. Jefferies Financial Group cut shares of Packaging Corporation of America from a "buy" rating to a "hold" rating and cut their price objective for the company from $245.00 to $205.00 in a research report on Monday, June 16th. Citigroup boosted their price objective on shares of Packaging Corporation of America from $197.00 to $214.00 and gave the company a "neutral" rating in a research report on Friday. Finally, Wells Fargo & Company boosted their price objective on shares of Packaging Corporation of America from $180.00 to $200.00 and gave the company an "equal weight" rating in a research report on Thursday, July 10th. Five analysts have rated the stock with a hold rating, one has issued a buy rating and one has issued a strong buy rating to the company. According to MarketBeat.com, the company has an average rating of "Hold" and an average target price of $213.40.

Packaging Corporation of America Stock Down 1.2%

PKG traded down $2.47 during trading on Monday, hitting $204.06. The company had a trading volume of 516,656 shares, compared to its average volume of 695,640. The company has a market capitalization of $18.36 billion, a PE ratio of 20.37, a PEG ratio of 2.72 and a beta of 0.82. Packaging Corporation of America has a one year low of $172.71 and a one year high of $250.82. The firm's 50-day moving average price is $196.10 and its 200 day moving average price is $200.06. The company has a quick ratio of 2.15, a current ratio of 3.28 and a debt-to-equity ratio of 0.55.

Packaging Corporation of America Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Tuesday, July 15th. Stockholders of record on Friday, June 13th were issued a dividend of $1.25 per share. This represents a $5.00 dividend on an annualized basis and a dividend yield of 2.45%. The ex-dividend date was Friday, June 13th. Packaging Corporation of America's dividend payout ratio (DPR) is presently 49.90%.

Institutional Trading of Packaging Corporation of America

Institutional investors and hedge funds have recently made changes to their positions in the company. Distillate Capital Partners LLC bought a new stake in shares of Packaging Corporation of America during the 4th quarter worth approximately $15,828,000. Korea Investment CORP lifted its stake in Packaging Corporation of America by 96.0% in the 4th quarter. Korea Investment CORP now owns 71,004 shares of the industrial products company's stock valued at $15,985,000 after purchasing an additional 34,784 shares during the last quarter. Sowell Financial Services LLC bought a new position in Packaging Corporation of America in the 1st quarter valued at approximately $309,000. Wealth Enhancement Advisory Services LLC lifted its stake in Packaging Corporation of America by 5.6% in the 1st quarter. Wealth Enhancement Advisory Services LLC now owns 28,639 shares of the industrial products company's stock valued at $5,671,000 after purchasing an additional 1,531 shares during the last quarter. Finally, Transamerica Financial Advisors Inc. lifted its stake in Packaging Corporation of America by 48,200.0% in the 4th quarter. Transamerica Financial Advisors Inc. now owns 2,898 shares of the industrial products company's stock valued at $653,000 after purchasing an additional 2,892 shares during the last quarter. 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.