Van ECK Associates Corp Makes New $51.40 Million Investment in International Paper Company $IP

Van ECK Associates Corp purchased a new stake in International Paper Company (NYSE:IP) in the 2nd quarter, according to the company in its most recent 13F filing with the SEC. The fund purchased 1,348,956 shares of the basic materials company’s stock, valued at approximately $51,395,000.

Several other large investors have also modified their holdings of IP. Capital International Investors boosted its position in shares of International Paper by 29.4% in the fourth quarter. Capital International Investors now owns 63,413,335 shares of the basic materials company’s stock worth $2,498,013,000 after acquiring an additional 14,422,616 shares during the last quarter. Capital Research Global Investors increased its position in International Paper by 0.4% during the fourth quarter. Capital Research Global Investors now owns 54,535,444 shares of the basic materials company’s stock worth $2,148,154,000 after purchasing an additional 204,654 shares during the last quarter. BlackRock Inc. acquired a new position in International Paper during the second quarter worth approximately $1,940,896,000. State Street Corp raised its stake in International Paper by 1.3% during the fourth quarter. State Street Corp now owns 30,009,733 shares of the basic materials company’s stock worth $1,182,083,000 after purchasing an additional 397,673 shares during the period. Finally, Bank of New York Mellon Corp purchased a new position in shares of International Paper in the 2nd quarter worth $689,498,000. 81.95% of the stock is currently owned by hedge funds and other institutional investors.

International Paper Trading Down 1.4%

NYSE IP opened at $39.34 on Friday. The stock has a market cap of $20.83 billion, a P/E ratio of -6.03 and a beta of 0.94. The company’s fifty day simple moving average is $39.62 and its 200-day simple moving average is $37.81. The company has a current ratio of 1.10, a quick ratio of 0.84 and a debt-to-equity ratio of 0.57. International Paper Company has a 52 week low of $29.26 and a 52 week high of $50.25.

International Paper (NYSE:IP) last released its quarterly earnings results on Thursday, July 30th. The basic materials company reported $0.04 earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.04) by $0.08. International Paper had a negative net margin of 14.20% and a negative return on equity of 1.09%. The firm had revenue of $6 billion for the quarter, compared to the consensus estimate of $6.19 billion. During the same quarter in the previous year, the firm posted $0.20 EPS. The firm’s quarterly revenue was down 11.3% on a year-over-year basis. Equities research analysts predict that International Paper Company will post 1.34 EPS for the current fiscal year.

International Paper Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, September 15th. Stockholders of record on Friday, August 14th will be paid a dividend of $0.4625 per share. The ex-dividend date is Friday, August 14th. This represents a $1.85 annualized dividend and a dividend yield of 4.7%. International Paper’s dividend payout ratio (DPR) is currently -28.37%.

Wall Street Analysts Forecast Growth

A number of brokerages have recently issued reports on IP. Royal Bank Of Canada boosted their target price on International Paper from $48.00 to $52.00 and gave the stock an “outperform” rating in a report on Friday, July 31st. UBS Group raised their price target on shares of International Paper from $40.00 to $47.00 and gave the company a “neutral” rating in a report on Friday, July 31st. Weiss Ratings upgraded shares of International Paper from a “sell (d)” rating to a “sell (d+)” rating in a research note on Friday, August 21st. Seaport Research Partners restated a “buy” rating and set a $46.00 price objective on shares of International Paper in a research note on Wednesday, August 12th. Finally, Zacks Research upgraded International Paper from a “strong sell” rating to a “hold” rating in a research note on Monday, July 13th. Nine analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $48.75.

Insider Transactions at International Paper

In related news, VP William Thomas 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 value of $1,009,400.00. Following the transaction, the vice president owned 106,952 shares in the company, valued at approximately $4,406,422.40. The trade was a 18.64% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CAO Holly G. Goughnour sold 3,500 shares of the firm’s 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 owned 34,248 shares of the company’s stock, valued at approximately $1,437,046.08. This trade represents a 9.27% decrease in their position. The SEC filing for this sale provides additional information. 0.21% of the stock is currently owned by insiders.

International Paper 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.