International Paper Co.: A Long-Term Winner, Set To Disappoint In Q2?

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About: International Paper Company (IP)
by: William Daniel
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William Daniel
Long/short equity, long-term horizon, dividend growth investing, value
Summary

International Paper is set to take advantage of e-commerce's reliance on cardboard boxes.

The company has strong fundamentals, an appealing valuation, and a solid dividend.

However, pressure from increasing debts, expensive pension plans, and weakness in the containerboard segment along with various other factors may lead to an underwhelming Q2.

The risk-reward proposition in this cyclical stock nearing peak cycle just isn't there.

International Paper Co. (IP) was established in 1898 through a merger of 20 paper mills in the northeastern United States. The company now has over 52,000 employees, owns almost $500 million in forest-lands