International Paper (NYSE:IP) Releases Earnings Results, Beats Expectations By $0.08 EPS

International Paper (NYSE:IP) posted its quarterly earnings results on Thursday. The basic materials company reported $0.04 EPS for the quarter, topping analysts’ consensus estimates of ($0.04) by $0.08, FiscalAI reports. International Paper had a negative net margin of 13.42% and a negative return on equity of 0.49%. The company had revenue of $6 billion for the quarter, compared to analysts’ expectations of $6.20 billion. During the same quarter in the previous year, the firm posted $0.20 EPS. International Paper’s revenue was down 11.3% on a year-over-year basis.

Here are the key takeaways from International Paper’s conference call:

• Positive Sentiment: International Paper reported stronger-than-expected operational execution in Q2, including a roughly 500-basis-point year-over-year improvement in mill performance and North American box-volume growth of 1.7%.
• Positive Sentiment: Management expects a significant second-half earnings improvement, supported by price-increase realization, the Riverdale conversion ramp, NORPAC’s contribution, and ongoing cost reductions. North America’s Q3 Adjusted EBITDA outlook is $555 million–$585 million, while EMEA’s is $230 million–$250 million.
• Negative Sentiment: The company reduced the high end of its 2026 Adjusted EBITDA outlook by approximately $50 million because of weaker macro conditions and the prolonged Middle East conflict, with additional pressure from transportation, OCC, diesel, and medical costs.
• Negative Sentiment: Pine Hill operations were suspended for structural roof repairs and are expected to resume by the end of August; the disruption is estimated to reduce second-half results by $70 million–$100 million before an anticipated insurance recovery. Demand is also softer than previously expected, with North American industry volumes now projected to remain broadly flat in the second half.
• Positive Sentiment: The planned separation of the EMEA packaging business remains on track, while more than $210 million of run-rate EMEA footprint and cost savings have been announced, including 31 facility closures or planned closures and a reduction of more than 3,000 positions.

International Paper Price Performance

NYSE IP traded up $0.78 during trading hours on Thursday, hitting $43.42. The company had a trading volume of 7,357,723 shares, compared to its average volume of 5,361,013. The company has a debt-to-equity ratio of 0.55, a quick ratio of 0.94 and a current ratio of 1.21. The firm has a market capitalization of $22.99 billion, a price-to-earnings ratio of -6.83 and a beta of 0.94. International Paper has a 52 week low of $29.26 and a 52 week high of $52.28. The firm has a 50 day simple moving average of $36.68 and a 200 day simple moving average of $38.02.

International Paper Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 15th. Investors of record on Friday, August 14th will be issued a dividend of $0.4625 per share. The ex-dividend date of this dividend is Friday, August 14th. This represents a $1.85 dividend on an annualized basis and a yield of 4.3%. International Paper’s dividend payout ratio is -29.09%.

International Paper News Summary

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

• Positive Sentiment: International Paper reported adjusted EPS of $0.04, beating the consensus estimate for a $0.04 loss. Adjusted EBITDA was $587 million, while operating cash flow reached $526 million. International Paper Reports Second Quarter 2026 Results
• Positive Sentiment: Management projected third-quarter adjusted EBITDA of $780 million to $830 million and maintained full-year 2026 guidance of $3.2 billion to $3.4 billion, suggesting improvement after second-quarter maintenance disruptions. IP Q2 Earnings Beat Estimates, Decline Y/Y on High Maintenance Costs
• Positive Sentiment: Several company insiders reportedly purchased IP shares during the past six months, including CEO Andrew K. Silvernail’s purchase of 50,000 shares. Insider buying can signal management confidence in the company’s longer-term recovery. International Paper Stock Opinions on Q2 Earnings Report
• Neutral Sentiment: JPMorgan upgraded its rating on International Paper, providing support for the shares, although analyst price targets remain mixed and the reported median target of $42.50 is close to the stock’s recent trading level. International Paper Stock Rating Upgraded by JPMorgan Chase
• Negative Sentiment: Revenue fell 11.3% year over year to $6.0 billion, below the $6.2 billion consensus, and the company posted a $12 million loss from continuing operations versus $0.20 EPS in the prior-year quarter.
• Negative Sentiment: High maintenance expenses and outages pressured margins. A temporary mill closure in Pine Hill, Alabama, is expected to reduce third-quarter EBITDA by approximately $85 million, while second-quarter free cash flow was negative $7 million. International Paper Q2 2026 Earnings Call Transcript
• Negative Sentiment: An analyst reduced the third-quarter EPS estimate, highlighting continuing concerns about near-term profitability despite the quarterly earnings beat. Q3 EPS Estimate for International Paper Cut

Insider Activity

In other news, Director Scott Tozier acquired 10,000 shares of the business’s stock in a transaction dated Friday, May 1st. The stock was bought at an average cost of $31.30 per share, for a total transaction of $313,000.00. Following the completion of the transaction, the director owned 10,025 shares of the company’s stock, valued at $313,782.50. The trade was a 40,000.00% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. Insiders own 0.21% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the company. Dynamic Technology Lab Private Ltd purchased a new position in International Paper during the first quarter worth about $249,000. Intech Investment Management LLC boosted its position in shares of International Paper by 100.5% during the 1st quarter. Intech Investment Management LLC now owns 32,025 shares of the basic materials company’s stock valued at $1,709,000 after acquiring an additional 16,055 shares during the last quarter. Cresset Asset Management LLC boosted its position in shares of International Paper by 20.8% during the 2nd quarter. Cresset Asset Management LLC now owns 17,345 shares of the basic materials company’s stock valued at $812,000 after acquiring an additional 2,981 shares during the last quarter. Jump Financial LLC grew its holdings in shares of International Paper by 280.9% during the second quarter. Jump Financial LLC now owns 38,092 shares of the basic materials company’s stock worth $1,784,000 after purchasing an additional 28,092 shares in the last quarter. Finally, Cerity Partners LLC grew its holdings in shares of International Paper by 8.0% during the second quarter. Cerity Partners LLC now owns 33,749 shares of the basic materials company’s stock worth $1,580,000 after purchasing an additional 2,493 shares in the last quarter. 81.95% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

A number of analysts have issued reports on the company. Truist Financial raised their target price on International Paper from $40.00 to $46.00 and gave the stock a “buy” rating in a research report on Wednesday, July 15th. Citigroup upped their price target on International Paper from $36.00 to $43.00 and gave the company a “buy” rating in a research report on Thursday, July 9th. Deutsche Bank Aktiengesellschaft initiated coverage on International Paper in a research note on Wednesday, April 1st. They set a “hold” rating and a $38.00 price target for the company. Seaport Research Partners raised International Paper from a “neutral” rating to a “buy” rating and set a $39.00 price objective for the company in a report on Friday, May 1st. Finally, JPMorgan Chase & Co. upgraded International Paper from a “neutral” rating to an “overweight” rating and boosted their price objective for the company from $51.00 to $61.00 in a research note on Tuesday. Nine investment analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $46.36.

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.