International Paper (NYSE:IP) Shares Gap Down – Should You Sell?

Shares of International Paper Company (NYSE:IP) gapped down before the market opened on Monday . The stock had previously closed at $46.87, but opened at $43.26. International Paper shares last traded at $43.44, with a volume of 869,386 shares.

Analysts Set New Price Targets

Several equities analysts have issued reports on the stock. Zacks Research downgraded shares of International Paper from a “hold” rating to a “strong sell” rating in a research note on Monday, January 12th. Truist Financial dropped their price target on International Paper from $50.00 to $48.00 and set a “buy” rating on the stock in a research note on Friday, January 30th. Argus reduced their price objective on International Paper from $55.00 to $50.00 and set a “buy” rating for the company in a research note on Monday, December 22nd. Citigroup raised their target price on shares of International Paper from $46.00 to $47.00 and gave the stock a “buy” rating in a research report on Friday, January 30th. Finally, Royal Bank Of Canada reduced their price target on shares of International Paper from $55.00 to $54.00 and set an “outperform” rating for the company in a research report on Friday, January 30th. Eight analysts have rated the stock with a Buy rating, three have given a Hold rating and two have assigned 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 $48.25.

International Paper Price Performance

The stock has a market cap of $23.48 billion, a PE ratio of -6.63 and a beta of 1.11. The business has a fifty day moving average of $42.63 and a 200 day moving average of $43.54. The company has a debt-to-equity ratio of 0.60, a current ratio of 1.28 and a quick ratio of 1.02.

International Paper (NYSE:IP) last announced its quarterly earnings results on Thursday, January 29th. The basic materials company reported ($0.08) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.28 by ($0.36). International Paper had a negative return on equity of 0.35% and a negative net margin of 14.12%.The business had revenue of $6.01 billion for the quarter, compared to analyst estimates of $5.90 billion. During the same quarter last year, the firm posted ($0.02) EPS. The company’s revenue was up 53.1% compared to the same quarter last year. Sell-side analysts anticipate that International Paper Company will post 2.77 earnings per share for the current year.

Insider Activity

In related news, CEO Andrew K. Silvernail acquired 50,000 shares of the stock in a transaction that occurred on Friday, January 30th. The shares were acquired at an average price of $39.98 per share, for a total transaction of $1,999,000.00. Following the completion of the purchase, the chief executive officer directly owned 50,000 shares of the company’s stock, valued at $1,999,000. The trade was a ∞ increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which is available through the SEC website. 0.55% of the stock is owned by company insiders.

Institutional Trading of International Paper

Several institutional investors have recently modified their holdings of the company. Wellington Shields Capital Management LLC raised its position in International Paper by 7.0% in the second quarter. Wellington Shields Capital Management LLC now owns 3,468 shares of the basic materials company’s stock worth $162,000 after acquiring an additional 226 shares in the last quarter. MCF Advisors LLC lifted its stake in International Paper by 36.7% during the fourth quarter. MCF Advisors LLC now owns 853 shares of the basic materials company’s stock valued at $34,000 after purchasing an additional 229 shares during the last quarter. Rothschild Investment LLC boosted its holdings in International Paper by 4.2% during the fourth quarter. Rothschild Investment LLC now owns 5,993 shares of the basic materials company’s stock worth $236,000 after buying an additional 242 shares in the last quarter. International Private Wealth Advisors LLC boosted its holdings in International Paper by 4.1% during the fourth quarter. International Private Wealth Advisors LLC now owns 6,175 shares of the basic materials company’s stock worth $243,000 after buying an additional 243 shares in the last quarter. Finally, Independent Advisor Alliance grew its position in International Paper by 3.3% in the fourth quarter. Independent Advisor Alliance now owns 7,750 shares of the basic materials company’s stock worth $305,000 after buying an additional 244 shares during the last quarter. Institutional investors and hedge funds own 81.95% of the company’s stock.

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.