International Paper (NYSE:IP) Shares Gap Up – Still a Buy?

International Paper Company (NYSE:IP)’s share price gapped up prior to trading on Thursday. The stock had previously closed at $31.90, but opened at $33.25. International Paper shares last traded at $33.7550, with a volume of 1,016,485 shares changing hands.

International Paper News Summary

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

• Positive Sentiment: International Paper confirmed that it has received unsolicited bids for its EMEA Packaging Business. Investors view potential sale proceeds as a possible value-unlocking alternative to the company’s planned spin-off of the business into a separate public company. International Paper Confirms Unsolicited Bids for EMEA Packaging Unit Alongside Planned Spin-off
• Positive Sentiment: Reports that private-equity firms are exploring multibillion-dollar offers for the European packaging operations triggered a sharp increase in IP shares in the prior session. A sale could provide a faster and potentially more certain path to monetizing the DS Smith-related assets than a standalone separation. Private Equity Firms Exploring Deals for International Paper’s European Packaging Business
• Neutral Sentiment: IP is evaluating unsolicited interest while continuing to consider its previously announced EMEA spin-off plan. The company has not announced a definitive agreement, leaving investors focused on the bid amounts, transaction structure, timing and potential regulatory or execution risks. Statement Regarding Possible EMEA Packaging Business Sale
• Neutral Sentiment: Analysts are approaching the upcoming third-quarter results cautiously, with the decision on the EMEA business likely to remain a central catalyst. The stock still appears below some fair-value estimates after its earlier decline, but investors may wait for management’s strategic update before reassessing valuation. International Paper Q3 Preview: Wait for the Decision on EMEA Business
• Negative Sentiment: A potential sale may crystallize a substantial loss compared with the price International Paper paid for the DS Smith assets only two years ago. That prospect raises concerns about the strategic cost of the acquisition and could weigh on sentiment if bids fall short of expectations. Why International Paper Rallied Today

Wall Street Analysts Forecast Growth

IP has been the topic of several research reports. Seaport Research Partners restated a “buy” rating and set a $46.00 price objective on shares of International Paper in a report on Wednesday, August 12th. Royal Bank Of Canada boosted their price target on International Paper from $48.00 to $52.00 and gave the company an “outperform” rating in a research note on Friday, July 31st. Wells Fargo & Company reduced their price objective on International Paper from $46.00 to $42.00 and set an “overweight” rating for the company in a research report on Wednesday, October 7th. Loop Capital set a $61.00 price objective on International Paper in a research report on Tuesday, July 28th. Finally, Zacks Research upgraded International Paper from a “strong sell” rating to a “hold” rating in a research report on Monday, July 13th. Ten investment analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, International Paper presently has a consensus rating of “Moderate Buy” and an average price target of $46.90.

International Paper Stock Performance

The firm has a market capitalization of $18.07 billion, a P/E ratio of -5.23, a price-to-earnings-growth ratio of 4.43 and a beta of 0.93. The stock has a 50-day moving average of $36.23 and a 200 day moving average of $36.01. The company has a debt-to-equity ratio of 0.57, a quick ratio of 0.84 and a current ratio of 1.10.

International Paper (NYSE:IP) last posted its quarterly earnings data on Thursday, July 30th. The basic materials company reported $0.04 earnings per share for the quarter, beating the consensus estimate of ($0.04) by $0.08. The firm had revenue of $6 billion during the quarter, compared to analysts’ expectations of $6.19 billion. International Paper had a negative net margin of 14.20% and a negative return on equity of 1.09%. The company’s quarterly revenue was down 11.3% compared to the same quarter last year. During the same quarter last year, the company posted $0.20 EPS. On average, research analysts anticipate that International Paper Company will post 1.28 earnings per share for the current year.

International Paper Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Tuesday, December 15th. Shareholders of record on Monday, November 16th will be issued a dividend of $0.4625 per share. The ex-dividend date is Monday, November 16th. This represents a $1.85 dividend on an annualized basis and a yield of 5.4%. International Paper’s dividend payout ratio (DPR) is -28.37%.

Insider Transactions at International Paper

In related news, CAO Holly G. Goughnour sold 3,500 shares of the stock in a transaction that occurred on Tuesday, August 4th. The shares were sold at an average price of $41.96, for a total value of $146,860.00. Following the sale, the chief accounting officer directly owned 34,248 shares in the company, valued at $1,437,046.08. This trade represents a 9.27% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, VP William Hamic sold 24,500 shares of International Paper stock in a transaction that occurred on Friday, August 7th. The stock was sold at an average price of $41.20, for a total transaction of $1,009,400.00. Following the transaction, the vice president directly owned 106,952 shares in the company, valued at $4,406,422.40. The trade was a 18.64% decrease in their position. The disclosure for this sale is available in the SEC filing. Corporate insiders own 0.21% of the company’s stock.

Institutional Trading of International Paper

A number of large investors have recently made changes to their positions in IP. BlackRock Inc. acquired a new stake in International Paper during the 2nd quarter worth $1,940,896,000. State Street Corp grew its stake in International Paper by 7.1% in the second quarter. State Street Corp now owns 32,999,909 shares of the basic materials company’s stock valued at $1,257,297,000 after acquiring an additional 2,189,597 shares during the period. Bank of New York Mellon Corp acquired a new position in International Paper in the second quarter valued at about $689,498,000. Atlas FRM LLC bought a new stake in shares of International Paper in the second quarter worth about $374,904,000. Finally, Hill City Capital LP bought a new stake in shares of International Paper in the second quarter worth about $194,310,000. Institutional investors own 81.95% of the company’s stock.

About International Paper

International Paper (NYSE: IP) is a global producer of sustainable packaging, pulp and paper products. The company manufactures corrugated packaging, containerboard and other fiber-based packaging solutions used to protect, transport and display goods, along with market pulp and specialty paper products.

Founded in 1898, International Paper has developed operations serving customers across North America and Europe. Its activities also include recycling and the recovery of fiber used in paper and packaging production, supporting the company’s focus on renewable and recyclable materials.

International Paper completed its combination with DS Smith in 2025, expanding its geographic reach and packaging capabilities.