UBS Group Issues Pessimistic Forecast for Graphic Packaging (NYSE:GPK) Stock Price

Key Points

• UBS lowered its price target on Graphic Packaging from $13 to $10 and kept a "neutral" rating, and several other analysts have trimmed targets—MarketBeat shows a consensus average rating of 'Reduce' with an average target of $14.51.
• GPK traded around $9.63 (market cap ≈ $2.85B, P/E 6.5) and is nearer its 12‑month low ($8.78) than its high ($25.81), indicating recent downside pressure on the stock.
• CEO Robbert Rietbroek purchased 44,278 shares at about $11.32 in early March, and insiders collectively own roughly 1.41% of the company.

Graphic Packaging (NYSE:GPK - Get Free Report) had its target price lowered by investment analysts at UBS Group from $13.00 to $10.00 in a report issued on Friday,Benzinga reports. The firm presently has a "neutral" rating on the industrial products company's stock. UBS Group's price target would suggest a potential upside of 3.90% from the stock's previous close.

Other analysts have also issued research reports about the company. Royal Bank Of Canada dropped their target price on Graphic Packaging from $13.00 to $10.00 and set a "sector perform" rating on the stock in a report on Friday, March 20th. Citigroup dropped their price objective on Graphic Packaging from $16.00 to $13.00 and set a "neutral" rating on the stock in a research note on Thursday, February 5th. Deutsche Bank Aktiengesellschaft began coverage on Graphic Packaging in a research note on Wednesday, April 1st. They issued a "hold" rating and a $9.60 price objective on the stock. Truist Financial set a $14.00 price objective on Graphic Packaging in a research note on Wednesday, February 4th. Finally, Zacks Research lowered Graphic Packaging from a "hold" rating to a "strong sell" rating in a research note on Wednesday, January 14th. Nine research analysts have rated the stock with a Hold rating and three have assigned a Sell rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of "Reduce" and an average target price of $14.51.

Graphic Packaging Stock Down 0.3%

GPK traded down $0.03 on Friday, hitting $9.63. 1,097,419 shares of the company were exchanged, compared to its average volume of 7,032,087. Graphic Packaging has a 12 month low of $8.78 and a 12 month high of $25.81. The company has a market cap of $2.85 billion, a PE ratio of 6.50 and a beta of 0.69. The company has a debt-to-equity ratio of 1.50, a quick ratio of 0.52 and a current ratio of 1.30. The stock's fifty day moving average is $11.15 and its 200-day moving average is $14.56.

Graphic Packaging (NYSE:GPK - Get Free Report) last released its earnings results on Monday, March 2nd. The industrial products company reported $0.24 earnings per share (EPS) for the quarter. Graphic Packaging had a return on equity of 16.58% and a net margin of 5.15%.The business had revenue of $2.10 billion for the quarter. Equities research analysts predict that Graphic Packaging will post 2.47 EPS for the current fiscal year.

Insider Activity at Graphic Packaging

In other news, CEO Robbert Rietbroek bought 44,278 shares of the firm's stock in a transaction dated Wednesday, March 4th. The shares were bought at an average price of $11.32 per share, with a total value of $501,226.96. Following the completion of the transaction, the chief executive officer owned 44,278 shares of the company's stock, valued at $501,226.96. This trade represents a ∞ increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is accessible through the SEC website. Insiders own 1.41% of the company's stock.

Hedge Funds Weigh In On Graphic Packaging

Institutional investors and hedge funds have recently made changes to their positions in the company. Quarry LP grew its position in shares of Graphic Packaging by 282.0% in the third quarter. Quarry LP now owns 1,547 shares of the industrial products company's stock valued at $30,000 after purchasing an additional 1,142 shares during the last quarter. Marshall & Sterling Wealth Advisors Inc. acquired a new position in shares of Graphic Packaging in the third quarter valued at approximately $31,000. Caitong International Asset Management Co. Ltd grew its position in shares of Graphic Packaging by 13,971.4% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 1,970 shares of the industrial products company's stock valued at $30,000 after purchasing an additional 1,956 shares during the last quarter. Operose Advisors LLC acquired a new position in shares of Graphic Packaging in the second quarter valued at approximately $42,000. Finally, MassMutual Private Wealth & Trust FSB grew its position in shares of Graphic Packaging by 649.6% in the fourth quarter. MassMutual Private Wealth & Trust FSB now owns 2,039 shares of the industrial products company's stock valued at $31,000 after purchasing an additional 1,767 shares during the last quarter. Institutional investors and hedge funds own 99.67% of the company's stock.

About Graphic Packaging

Graphic Packaging Holding Company is a leading provider of sustainable paperboard packaging solutions, offering a broad portfolio of products designed for food, beverage and other consumer goods markets. The company specializes in the manufacture of containerboard, folding cartons and engineered fill materials, as well as beverage packaging systems including paperboard cups, carriers and related components.

Through a network of manufacturing facilities across North America, Europe and Latin America, Graphic Packaging serves a diverse customer base that includes major consumer packaged goods companies, quick-service restaurants and retail chains.

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