Graphic Packaging (NYSE:GPK) Shares Gap Up Following Earnings Beat

Graphic Packaging Holding Company (NYSE:GPK) shares gapped up before the market opened on Tuesday following a better than expected earnings announcement. The stock had previously closed at $9.33, but opened at $10.67. Graphic Packaging shares last traded at $10.6560, with a volume of 1,454,357 shares traded.

The industrial products company reported $0.23 EPS for the quarter, beating the consensus estimate of $0.22 by $0.01. Graphic Packaging had a return on equity of 9.95% and a net margin of 2.25%. The business had revenue of $2.19 billion for the quarter, compared to analyst estimates of $2.17 billion. During the same quarter in the prior year, the company posted $0.58 EPS. The company’s quarterly revenue was up .1% on a year-over-year basis.

Analysts Set New Price Targets

Several research analysts have weighed in on the stock. Citigroup lowered their target price on shares of Graphic Packaging from $13.00 to $9.00 and set a “neutral” rating for the company in a research note on Friday, October 2nd. Weiss Ratings reissued a “sell (d+)” rating on shares of Graphic Packaging in a research note on Monday, September 21st. Bank of America decreased their price objective on shares of Graphic Packaging from $14.00 to $13.00 and set a “neutral” rating on the stock in a report on Friday, September 11th. JPMorgan Chase & Co. raised shares of Graphic Packaging from a “neutral” rating to an “overweight” rating and lowered their price objective for the stock from $12.50 to $11.50 in a research report on Wednesday, September 23rd. Finally, Wells Fargo & Company dropped their target price on shares of Graphic Packaging from $10.00 to $9.00 and set an “underweight” rating for the company in a report on Monday, October 19th. One investment analyst has rated the stock with a Buy rating, eight have assigned a Hold rating and three have given a Sell rating to the stock. Based on data from MarketBeat, Graphic Packaging has a consensus rating of “Reduce” and a consensus target price of $10.29.

Hedge Funds Weigh In On Graphic Packaging

Several hedge funds have recently bought and sold shares of the company. Bell Investment Advisors Inc purchased a new stake in Graphic Packaging during the second quarter worth about $25,000. Heritage Family Offices LLP acquired a new stake in shares of Graphic Packaging during the third quarter worth about $34,000. Versant Capital Management Inc lifted its position in shares of Graphic Packaging by 1,075.7% during the second quarter. Versant Capital Management Inc now owns 3,480 shares of the industrial products company’s stock worth $37,000 after purchasing an additional 3,184 shares in the last quarter. Bessemer Group Inc. boosted its stake in shares of Graphic Packaging by 259.4% in the first quarter. Bessemer Group Inc. now owns 4,148 shares of the industrial products company’s stock valued at $41,000 after purchasing an additional 2,994 shares during the period. Finally, Elevation Wealth Partners LLC grew its holdings in shares of Graphic Packaging by 2,165.1% in the second quarter. Elevation Wealth Partners LLC now owns 4,734 shares of the industrial products company’s stock valued at $50,000 after purchasing an additional 4,525 shares in the last quarter. Institutional investors and hedge funds own 99.67% of the company’s stock.

Graphic Packaging Stock Up 15.5%

The company has a quick ratio of 0.60, a current ratio of 1.38 and a debt-to-equity ratio of 1.58. The stock has a market cap of $3.19 billion, a price-to-earnings ratio of 16.33 and a beta of 0.66. The business’s fifty day moving average is $9.42 and its two-hundred day moving average is $10.70.

About Graphic Packaging

Graphic Packaging Holding Company, through its subsidiary Graphic Packaging International, develops and manufactures fiber-based packaging products for consumer goods companies. Its offerings include paperboard folding cartons, beverage carriers, cups, foodservice packaging, and other packaging solutions designed for products sold in grocery, foodservice, beverage, and household markets.

The company serves brand owners and manufacturers across a range of end markets, including food, beverage, consumer packaged goods, and foodservice.