International Paper (NYSE:IP) Shares Gap Down – Time to Sell?

International Paper Company (NYSE:IP)’s stock price gapped down before the market opened on Wednesday. The stock had previously closed at $33.38, but opened at $31.15. International Paper shares last traded at $33.1720, with a volume of 5,367,221 shares trading hands.

Wall Street Analyst Weigh In

Several research analysts have recently issued reports on the stock. Royal Bank Of Canada upped their target price on shares of International Paper from $48.00 to $52.00 and gave the stock an “outperform” rating in a research note on Friday, July 31st. Seaport Research Partners reissued a “buy” rating and set a $46.00 price target on shares of International Paper in a research report on Wednesday, August 12th. Loop Capital set a $61.00 price objective on International Paper in a research report on Tuesday, July 28th. Citigroup lowered their price objective on International Paper from $47.00 to $41.00 and set a “buy” rating on the stock in a research report on Friday. Finally, UBS Group reduced their target price on International Paper from $47.00 to $35.00 and set a “neutral” rating for the company in a report on Monday, October 5th. Ten investment analysts have rated the stock with a Buy rating, three have given a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, International Paper has an average rating of “Moderate Buy” and an average price target of $45.44.

International Paper Price Performance

The stock has a market capitalization of $19.28 billion, a PE ratio of -5.55, a PEG ratio of 4.56 and a beta of 0.93. The firm’s fifty day moving average price is $35.04 and its two-hundred day moving average price is $37.46. The company has a quick ratio of 0.84, a current ratio of 1.01 and a debt-to-equity ratio of 0.59.

International Paper (NYSE:IP) last issued its earnings results on Wednesday, October 28th. The basic materials company reported $0.37 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.29 by $0.08. The company had revenue of $6.20 billion for the quarter, compared to analysts’ expectations of $6.28 billion. International Paper had a negative net margin of 14.32% and a positive return on equity of 1.77%. The firm’s quarterly revenue was down .4% on a year-over-year basis. During the same quarter last year, the company posted ($0.43) earnings per share. On average, equities analysts predict that International Paper Company will post 1.26 earnings per share for the current year.

International Paper Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, December 15th. Investors of record on Monday, November 16th will be issued a $0.4625 dividend. The ex-dividend date of this dividend is Monday, November 16th. This represents a $1.85 annualized dividend and a dividend yield of 5.1%. International Paper’s payout ratio is presently -28.37%.

Insiders Place Their Bets

In other International Paper news, VP William Hamic sold 24,500 shares of the business’s stock in a transaction dated 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 completion of the sale, 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 transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CAO Holly G. Goughnour sold 3,500 shares of the company’s stock in a transaction dated Tuesday, August 4th. The shares were sold at an average price of $41.96, for a total transaction of $146,860.00. Following the sale, the chief accounting officer directly owned 34,248 shares of the company’s stock, valued at $1,437,046.08. The trade was a 9.27% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 0.21% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On International Paper

Institutional investors and hedge funds have recently made changes to their positions in the business. BlackRock Inc. bought a new position in International Paper during the second quarter valued at $1,940,896,000. Bank of New York Mellon Corp purchased a new position in shares of International Paper in the 2nd quarter worth $689,498,000. Atlas FRM LLC bought a new stake in shares of International Paper in the 2nd quarter worth about $374,904,000. Hill City Capital LP bought a new stake in shares of International Paper in the 2nd quarter worth about $194,310,000. Finally, Bank of America Corp DE purchased a new stake in shares of International Paper during the 2nd quarter valued at about $142,802,000. Hedge funds and other 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. Its offerings include corrugated packaging and containerboard used to protect and transport goods, as well as absorbent cellulose fibers and other fiber-based materials used in personal care, healthcare, foodservice and industrial applications.

The company serves customers across North America and Europe, with products sold to manufacturers, retailers, consumer-goods companies and other commercial customers.