Packaging Corporation: Boxed And Ready To Ship Profits
Philip Saglimbeni • 11 Comments
Philip Saglimbeni • 11 Comments
An Analysis Of Packaging Corporation Of America
Tue, May 17, 10:18 AM
- Paper and packaging stocks are under heavy pressure in morning trading on some broad pricing and macroeconomic concerns.
- Decliners include WestRock (WRK -4.3%), International Paper (IP -3%), Packaging Corp of America (PKG -2.9%), KapStone Paper (KS -4.6%), UFP Technologies (UFPT -1.5%), Multi Packaging Solutions (MPSX -3.2%).
Mon, Jan. 25, 2:34 PM
- Concerns over pricing are running up and down the paper and packaging sector.
- A drop in prices during January could lead to even further erosion down the road warns, Citi.
- Downgrades: Citi lowers International Paper (IP -10.5%) and Packaging Corp. of America (PKG -13.1%) to Neutral from Buy, BAML takes Westrock (WRK -13.8%) to Neutral from Buy, Macquarie slams KapStone Paper & Packaging (KS -21.8%) with an Underperform rating.
- Also showing weakness are Domtar (UFS -7.4%), Orchids Paper Products (TIS -1.9%), P H Glatfelter (GLT -9.2%), and Clearwater Paper (CLW -6.4%).
Oct. 9, 2015, 10:16 AM
- Paper and packaging stocks are in rally mode off of positive signs in the sectors for pricing. The moves also arrive amid a broader rally in consumer products stocks this week.
- Also in the mix, there's a new study from RISI suggesting new Department of Commerce anti-dumping rules could benefit domestic suppliers.
- The bottom line is broad-based gains are being struck.
- Gainers include KapStone Paper and Packaging (KS +9.2%), Wausau Paper (WPP +2.1%), PH Glatfelter (RFP +1.9%), Domtar (UFS +0.9%), International Paper (IP +5.7%), Packaging Corporation of America (PKG +4.5%), WestRock Company (WRK +4.4%), Graphic Packaging Holding (GPK +1.1%).
Jun. 4, 2015, 10:04 AM
- Containerboard stocks are off slightly as pricing concerns due to oversupply linger in the background.
- The sector is also facing a headwind due to a new IRS proposal which would limit income for publicly traded partnerships.
- MeadWestvaco (NYSE:MWV) -1.4%, Rock-Tenn (NYSE:RKT) -1.5%, Packaging Corp of America (NYSE:PKG) -1.1%, Graphic Packaging (NYSE:GPK) -1.1%, International Paper (NYSE:IP) -0.5%, KapStone Paper and Packaging (NYSE:KS) -0.5%.
Apr. 21, 2015, 10:04 AM
- An earnings miss yesterday by Packaging Corporation of America (PKG -8.3%) is helping to take peers lower.
- The company also issued guidance below the expectations of analysts.
- White paper and containboard pricing is a concern in the sector.
- Previously: Packaging misses by $0.07, misses on revenue (Apr. 20 2015)
- Decliners: Rock-Tenn (NYSE:RKT) -2.6%, International Paper (NYSE:IP) -1.5%, MeadWestvaco (NYSE:MWV) -2.6%, KapStone Paper (NYSE:KS) -2.5%, Clearwater Paper (NYSE:CLW) -1.0%.
Mar. 6, 2015, 2:58 PM
- Domtar (UFS +3.6%) shoots higher following headlines that the company received a favorable ruling from the International Trade Commission in the preliminary phase of anti-dumping and countervailing duty investigations concerning certain uncoated paper from Australia, Brazil, China, Indonesia and Portugal.
- Other paper packaging stocks are lower: IP -0.9%, PKG -1.9%, RKT -1.7%, MWV -1.8%, KS -1.5%.
Jan. 28, 2015, 9:05 AM
- D.A. Davidson upgrades Packaging Corp. of America (NYSE:PKG) to a Buy rating from Neutral on what it sees as an overreaction to the firm's Q1 guidance.
- The investment firm sets a $90 price target on shares.
- It's been a volatile week for the paper/containerboard sector after Rock-Tenn and MeadWestvaco announced their merger on Monday.
- PKG +2.5% premarket to $78.20.
Jan. 27, 2015, 1:20 PM
- Shares of Packaging Corp. of America (PKG -8%) decline after the company missed slightly with its Q4 report and issued disappointing guidance.
- Several sector peers are also lower: KapStone Paper & Packaging (NYSE:KS) -4.7%, Rock-Tenn (NYSE:RKT) -1.6%, International Paper (NYSE:IP) -1.3%.
- Yesterday, the sector was all smiles off M&A buzz.
Jan. 26, 2015, 6:51 PM
- Packaging Corp. of America's (NYSE:PKG) Q4 revenue rose 13% to a record $1.43B as its Boise acquisition helped boost shipments of corrugated products, but shares -7% AH as earnings and revenue missed estimates.
- PKG also issues downside guidance for Q1, seeing EPS of $1.07-$1.10 vs. $1.25 analyst consensus estimate, as it anticipates lost containerboard production of ~60K tons, higher operating costs from annual maintenance downtime at its two largest containerboard mills, and two fewer production days than in Q4.
- Q4 packaging sales rose 8.8% Y/Y to $1.12B, while shipments of corrugated products grew 5.4% and jumped 11% when including Boise.
- Containerboard production totaled 927K tons vs. 803K tons in the year-ago period and 858K in Q3, as the latest quarter included 58K tons produced on a machine converted to containerboard production from at its DeRidder, La., operation.
Jan. 26, 2015, 5:36 PM
Jan. 26, 2015, 9:52 AM
- A mega-merger in the paper industry between Rock-Tenn and MeadWestvaco has lifted other names in the sector fighting a tough tape.
- The delicate balance of pricing in the containerboard/packaging/paper sector is viewed as more stable with two giants combining.
- Advancers: Packaging Corp. of America (NYSE:PKG) +1.4%, International Paper (NYSE:IP) +0.7%, KapStone Paper and Packaging (NYSE:KS) +2.8%, Clearwater Paper (NYSE:CLW) +0.2%, Wausau Paper (NYSE:WPP) +0.1%, Orchids Paper Products (NYSEMKT:TIS) +0.3%.
- Previously: Rock-Tenn and MeadWestvaco up on paper
- Previously: Rock-Tenn and MeadWestvaco to merge
Sep. 11, 2014, 11:05 AM
- Presenting at the UBS Global Paper and Forest Products Conference this morning, International Paper (IP +2.5%) management says it's moved from a study phase on possible conversion to an MLP structure to a "more serious evaluation phase."
- At the same conference, KapStone (KS +2%) says it's taking a look at the MLP idea as well.
- Others in the industry also have their tails in the air: Rock-Tenn (RKT +2.2%), Packaging Corp. (PKG +1.3%), MeadWestvaco (MWV +1.9%).
- International Paper Tuesday night boosted its quarterly payout by 14% to $0.40 per share. The dividend is payable on Dec. 15 to holders of record on Nov. 17. The annualized yield is 3.2%.
Jul. 24, 2014, 2:04 PM
- Paper and containerboard stocks are notably strong as Perry Capital comes out positive on the group, citing a PWC study regarding the potential for MLP conversion.
- Perry believes managements can create master limited partnerships for their paper mills to drive share upside potential of 50%-100%, the fund firm says in its Q2 letter.
- CLW +12.4%, KS +9.7%, RKT +8.9%, IP +5.3%, PKG +4.8%.
Feb. 12, 2014, 9:10 AM
Jan. 2, 2014, 5:40 PM
Oct. 14, 2013, 5:04 PM
- Packaging Corp (PKG): Q3 EPS of $0.91 beats by $0.02.
- Revenue of $845.4M beats by $14.7M. Shares +2.51% AH. (PR)
Packaging Corporation of America manufactures and sells containerboard and corrugated packaging products. It operates through following segments: Packaging, Paper, and Corporate and Other. The Packaging segment offers various corrugated packaging products . The Paper segment manufactures and... More
Sector: Consumer Goods
Industry: Packaging & Containers
Country: United States
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