International Paper (NYSE:IP) Reaches New 1-Year High – Still a Buy?

International Paper (NYSE:IP)’s share price reached a new 52-week high during mid-day trading on Wednesday . The stock traded as high as $59.45 and last traded at $59.35, with a volume of 76143 shares traded. The stock had previously closed at $57.56.

Analyst Ratings Changes

A number of brokerages have recently issued reports on IP. Truist Financial restated a “buy” rating and set a $61.00 price target (up previously from $57.00) on shares of International Paper in a report on Friday, November 1st. Wells Fargo & Company upped their price target on International Paper from $43.00 to $45.00 and gave the stock an “equal weight” rating in a report on Thursday, July 25th. Royal Bank of Canada increased their price objective on shares of International Paper from $56.00 to $64.00 and gave the company an “outperform” rating in a research report on Friday, November 1st. Finally, Argus upgraded shares of International Paper from a “hold” rating to a “buy” rating and set a $52.00 target price for the company in a research note on Wednesday, August 14th. Three equities research analysts have rated the stock with a hold rating, six have issued a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $51.96.

International Paper Trading Down 1.8 %

The company has a debt-to-equity ratio of 0.62, a quick ratio of 1.11 and a current ratio of 1.53. The stock has a market capitalization of $19.93 billion, a PE ratio of 49.92 and a beta of 1.02. The business’s 50-day moving average is $49.02 and its two-hundred day moving average is $45.46.

International Paper (NYSE:IP) last posted its quarterly earnings results on Thursday, October 31st. The basic materials company reported $0.44 EPS for the quarter, beating the consensus estimate of $0.24 by $0.20. The business had revenue of $4.69 billion during the quarter, compared to analysts’ expectations of $4.70 billion. International Paper had a return on equity of 6.49% and a net margin of 2.25%. The company’s quarterly revenue was up 1.6% compared to the same quarter last year. During the same period last year, the firm earned $0.64 EPS. As a group, equities research analysts anticipate that International Paper will post 1.44 earnings per share for the current year.

International Paper Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Monday, December 16th. Stockholders of record on Friday, November 15th will be given a $0.4625 dividend. The ex-dividend date is Friday, November 15th. This represents a $1.85 annualized dividend and a dividend yield of 3.22%. International Paper’s dividend payout ratio is presently 158.12%.

Insider Buying and Selling at International Paper

In other news, Director Kathryn D. Sullivan sold 600 shares of the company’s stock in a transaction on Thursday, August 15th. The stock was sold at an average price of $46.10, for a total transaction of $27,660.00. Following the completion of the sale, the director now directly owns 41,002 shares in the company, valued at $1,890,192.20. This represents a 0.00 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this link. In other news, SVP Clay R. Ellis sold 9,000 shares of the company’s stock in a transaction dated Wednesday, August 28th. The stock was sold at an average price of $48.83, for a total value of $439,470.00. Following the completion of the sale, the senior vice president now owns 49,832 shares of the company’s stock, valued at $2,433,296.56. This represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Kathryn D. Sullivan sold 600 shares of the business’s stock in a transaction on Thursday, August 15th. The stock was sold at an average price of $46.10, for a total transaction of $27,660.00. Following the transaction, the director now directly owns 41,002 shares in the company, valued at approximately $1,890,192.20. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 19,440 shares of company stock worth $938,486. 0.55% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in IP. Innealta Capital LLC acquired a new position in shares of International Paper during the second quarter valued at $26,000. Ashton Thomas Securities LLC acquired a new stake in International Paper during the 3rd quarter worth about $28,000. Crewe Advisors LLC purchased a new stake in International Paper during the first quarter valued at about $29,000. Thurston Springer Miller Herd & Titak Inc. acquired a new position in shares of International Paper in the second quarter worth about $37,000. Finally, Eastern Bank purchased a new stake in shares of International Paper in the 3rd quarter valued at approximately $40,000. Institutional investors and hedge funds own 81.95% of the company’s stock.

About International Paper

International Paper Company produces and sells renewable fiber-based packaging and pulp products in North America, Latin America, Europe, and North Africa. It operates through two segments, Industrial Packaging and Global Cellulose Fibers. The company offers linerboard, medium, whitetop, recycled linerboard, recycled medium and saturating kraft; and pulp for a range of applications, such as diapers, towel and tissue products, feminine care, incontinence, and other personal care products, as well as specialty pulps for use in textiles, construction materials, paints, coatings, and others.