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Packaging Corporation Of America (PKG)

  • Thu, Jun. 4, 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%.
  • Tue, Apr. 21, 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%.
  • Fri, Mar. 6, 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%.
    | Comment!
  • Wed, Jan. 28, 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.
    | Comment!
  • Tue, Jan. 27, 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.
    | Comment!
  • Mon, Jan. 26, 6:51 PM
    • Packaging Corp. of America's (NYSE:PKGQ4 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.
    | Comment!
  • Mon, Jan. 26, 5:36 PM
    • Top gainers, as of 5:15 p.m.: CLUB +18.4%. PRU +2.9%. GSAT +2.4%. PLOW +1.8%. VIPS +1.6%.
    • Top losers, as of 5:15 p.m.: JOE -9.1%. SANM -8.3%. PKG -5.7%. PX -4.9%. RMBS -4.6%.
    | Comment!
  • Mon, Jan. 26, 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
    | Comment!
  • 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%.
    | Comment!
  • 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%.
    | 1 Comment
  • Feb. 12, 2014, 9:10 AM
    | Comment!
  • Jan. 2, 2014, 5:40 PM
    • Top gainers, as of 5:15 p.m.: CALD +8.3%. GV +7.9%. RECN +5.3%. GCC +4.0%. ILF +3.5%.
    • Top losers, as of 5:15 p.m.: ENPH -4.3%. DKL -3.4%. LNDC -3.1%. IAU -1.7%. PKG -1.6%.
    | Comment!
  • 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)
    | Comment!
  • Sep. 16, 2013, 3:18 PM
    • Packaging Corporation of America (PKG +8.4%) shares continue to run as Jefferies upgrades the company to Buy from Hold and raises its PT to $70 from $49 with a bull-case scenario of $88.
    • Analyst Philip Ng believes the company's acquisition of Boise comes at an attractive multiple and called the deal "great."
    | 1 Comment
  • Sep. 16, 2013, 9:17 AM
    | Comment!
  • Sep. 16, 2013, 7:31 AM
    • Packaging Corporation of America (PKG) agrees to acquire Boise (BZ) for $12.55 per share in cash, or nearly $2B. The sale is expected to close in Q4, subject to certain customary conditions and regulatory approval.
    • PCA's containerboard capacity will increase to 3.7M tons from the current 2.6M and PCA will now have a market presence in the Pacific Northwest.
    • Synergies are expected to generate pre-tax benefits of $105M, to be fully realized within 3 years of the closing, according to PCA management.
    • Boise shareholders are getting 5x LTM EBITDA for their stock.
    • BZ closed at $9.96 Friday evening, making the purchase price a 26% premium.
    • Press release.
    | Comment!
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Company Description
Packaging Corp of America is a producer of container board and corrugated products in the United States. The Company also produces multi-color boxes and displays, as well as meat boxes and wax-coated boxes for the agricultural industry.