Stock Traders Buy Large Volume of Put Options on International Paper (NYSE:IP)

Key Points

• Traders purchased 5,714 put options on International Paper (about 70% above normal) the same day there was heavy call buying (24,482 calls, +629%), and the stock slid 8.6% to $30.70 on above‑average volume.
• IP missed Q1 EPS ($0.15 vs. $0.19) and issued a downbeat Q2 outlook with a narrowed full‑year adjusted EBITDA range, triggering analyst downgrades and near‑term selling pressure.
• Despite the pullback, insiders bought shares (CEO 50,000 at $39.98; a director 13,217 at ~$37.83) and the company used proceeds from a $1.1B sale to pay down $660M of debt, improving its balance sheet.

International Paper Company (NYSE:IP - Get Free Report) was the target of unusually large options trading on Thursday. Stock traders acquired 5,714 put options on the company. This represents an increase of approximately 70% compared to the typical daily volume of 3,360 put options.

International Paper Trading Down 8.6%

Shares of International Paper stock traded down $2.89 during trading hours on Thursday, reaching $30.70. 9,665,279 shares of the company's stock were exchanged, compared to its average volume of 7,156,792. International Paper has a 52-week low of $29.45 and a 52-week high of $56.13. The firm has a market capitalization of $16.25 billion, a price-to-earnings ratio of -4.56 and a beta of 1.14. The company has a fifty day moving average of $37.58 and a 200-day moving average of $40.19. 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 (NYSE:IP - Get Free Report) last issued its quarterly earnings results on Thursday, April 30th. The basic materials company reported $0.15 earnings per share for the quarter, missing analysts' consensus estimates of $0.19 by ($0.04). International Paper had a negative return on equity of 0.35% and a negative net margin of 14.12%.During the same period in the previous year, the business posted $0.17 EPS. The company's quarterly revenue was up 13.4% compared to the same quarter last year. Sell-side analysts forecast that International Paper will post 1.65 EPS for the current fiscal year.

Insider Buying and Selling

In other news, Director Anders Gustafsson purchased 13,217 shares of the stock in a transaction that occurred on Thursday, March 12th. The shares were acquired at an average price of $37.83 per share, for a total transaction of $499,999.11. Following the acquisition, the director directly owned 26,092 shares in the company, valued at approximately $987,060.36. The trade was a 102.66% increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Andrew K. Silvernail purchased 50,000 shares of the stock in a transaction that occurred on Friday, January 30th. The stock was purchased at an average price of $39.98 per share, for a total transaction of $1,999,000.00. Following the acquisition, the chief executive officer owned 50,000 shares in the company, valued at approximately $1,999,000. This trade represents a ∞ increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. In the last 90 days, insiders purchased 76,092 shares of company stock worth $2,999,064. Insiders own 0.21% of the company's stock.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in IP. McIlrath & Eck LLC raised its position 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 buying an additional 525 shares during the period. MV Capital Management Inc. purchased a new position in shares of International Paper in the 4th quarter worth $25,000. Ascentis Independent Advisors purchased a new position in shares of International Paper in the 1st quarter worth $28,000. DV Equities LLC purchased a new position in shares of International Paper in the 4th quarter worth $29,000. Finally, Sound Income Strategies LLC raised its position in shares of International Paper by 94.0% in the 4th quarter. Sound Income Strategies LLC now owns 710 shares of the basic materials company's stock worth $31,000 after buying an additional 344 shares during the period. 81.95% of the stock is owned by hedge funds and other institutional investors.

International Paper News Roundup

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

• Positive Sentiment: Company generated operating cash and used sale proceeds to cut leverage: IP received $1.1B from the sale of its Global Cellulose Fibers business, paid down $660M of debt, had cash from operations of $611M and reported free cash flow of $94M — balance-sheet repair is a constructive development for credit profile and long‑term value. International Paper Reports First Quarter 2026 Results
• Positive Sentiment: Q1 revenue growth was healthy (+13.4% y/y) and the company swung to a small GAAP profit, showing underlying top-line resilience amid a cyclical market. International Paper Swings to Profit, Issues Downbeat Outlook
• Neutral Sentiment: Corporate action / investor outreach: IP filed an 8‑K and set a call to discuss Q1 results and its planned EMEA separation — investors will be watching separation details and timing for any value-unlocking implications. International Paper Files 8-K and Sets Call
• Neutral Sentiment: Unusually large options flow on the same day: heavy call buying (24,482 calls, +629% vs. avg) and elevated put buying (5,714 puts, +70%). This mixed options activity can reflect both speculative bullish bets and hedged/volatility strategies rather than a one‑directional signal.
• Negative Sentiment: EPS missed expectations: Q1 EPS $0.15 vs. consensus $0.19 — an earnings miss that directly pressured sentiment. Q1 Results and Call
• Negative Sentiment: Downbeat Q2 outlook and higher cost commentary: Management set Q2 adjusted EBITDA guidance of $520–$570M and narrowed full‑year adjusted EBITDA to $3.20–$3.50B while flagging higher input costs — guidance prompted analyst downgrades and is the main driver of near‑term downside pressure. International Paper plunges after mixed Q1, downbeat Q2 guidance
• Negative Sentiment: Analyst reaction: at least one downgrade and notes warning of downside risk to the reduced outlook, amplifying selling pressure. Reduced Outlook Still Has Downside Risk (Downgrade)

Wall Street Analysts Forecast Growth

IP has been the topic of a number of analyst reports. JPMorgan Chase & Co. lowered their target price on International Paper from $48.00 to $46.00 and set a "neutral" rating on the stock in a report on Thursday, April 2nd. Deutsche Bank Aktiengesellschaft initiated coverage on International Paper in a report on Wednesday, April 1st. They set a "hold" rating and a $38.00 target price on the stock. Royal Bank Of Canada lowered their target price on International Paper from $54.00 to $48.00 and set an "outperform" rating on the stock in a report on Thursday, April 16th. UBS Group lowered their target price on International Paper from $44.00 to $40.00 and set a "neutral" rating on the stock in a report on Friday, April 10th. Finally, Jefferies Financial Group increased their target price on International Paper from $47.00 to $48.00 and gave the company a "buy" rating in a report on Thursday, January 22nd. Eight analysts have rated the stock with a Buy rating, four have issued a Hold rating and two have issued a Sell rating to the company's stock. Based on data from MarketBeat, International Paper presently has an average rating of "Hold" and a consensus price target of $45.48.

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.

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