Packaging Corporation of America (NYSE:PKG) Announces Quarterly Earnings Results, Beats Estimates By $0.04 EPS

Packaging Corporation of America (NYSE:PKG) issued its quarterly earnings results on Wednesday. The industrial products company reported $2.35 EPS for the quarter, beating analysts’ consensus estimates of $2.31 by $0.04, Zacks reports. Packaging Corporation of America had a net margin of 8.04% and a return on equity of 19.27%.

Packaging Corporation of America Stock Performance

Shares of PKG stock traded down $0.84 during trading on Wednesday, hitting $227.37. The company’s stock had a trading volume of 1,514,240 shares, compared to its average volume of 890,637. The company has a market cap of $20.26 billion, a PE ratio of 27.66, a P/E/G ratio of 2.13 and a beta of 0.80. The company has a current ratio of 3.07, a quick ratio of 1.88 and a debt-to-equity ratio of 0.87. The business has a fifty day moving average of $226.14 and a 200-day moving average of $222.17. Packaging Corporation of America has a 52 week low of $189.03 and a 52 week high of $249.51.

Packaging Corporation of America Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, July 15th. Shareholders of record on Monday, June 15th were given a dividend of $1.50 per share. The ex-dividend date of this dividend was Monday, June 15th. This represents a $6.00 annualized dividend and a dividend yield of 2.6%. This is an increase from Packaging Corporation of America’s previous quarterly dividend of $1.25. Packaging Corporation of America’s payout ratio is 72.99%.

Insiders Place Their Bets

In other Packaging Corporation of America news, CEO Mark W. Kowlzan sold 9,266 shares of the business’s stock in a transaction on Wednesday, May 27th. The stock was sold at an average price of $217.08, for a total value of $2,011,463.28. Following the transaction, the chief executive officer owned 473,610 shares of the company’s stock, valued at approximately $102,811,258.80. The trade was a 1.92% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Corporate insiders own 1.60% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the company. DV Equities LLC bought a new stake in shares of Packaging Corporation of America in the fourth quarter valued at approximately $26,000. Towarzystwo Funduszy Inwestycyjnych PZU SA boosted its holdings in shares of Packaging Corporation of America by 94.1% in the fourth quarter. Towarzystwo Funduszy Inwestycyjnych PZU SA now owns 165 shares of the industrial products company’s stock worth $34,000 after acquiring an additional 80 shares during the period. Geneos Wealth Management Inc. grew its position in shares of Packaging Corporation of America by 40.4% in the first quarter. Geneos Wealth Management Inc. now owns 198 shares of the industrial products company’s stock valued at $39,000 after purchasing an additional 57 shares in the last quarter. Advisory Services Network LLC bought a new stake in shares of Packaging Corporation of America during the 3rd quarter valued at $61,000. Finally, State of Wyoming grew its stake in Packaging Corporation of America by 58.1% during the fourth quarter. State of Wyoming now owns 294 shares of the industrial products company’s stock valued at $61,000 after acquiring an additional 108 shares in the last quarter. Hedge funds and other institutional investors own 89.78% of the company’s stock.

Analyst Ratings Changes

Several brokerages have issued reports on PKG. UBS Group raised Packaging Corporation of America from a “neutral” rating to a “buy” rating and boosted their price target for the company from $232.00 to $248.00 in a research note on Wednesday, May 20th. JPMorgan Chase & Co. lifted their price target on shares of Packaging Corporation of America from $246.00 to $269.00 and gave the company an “overweight” rating in a research note on Thursday, July 9th. Citigroup increased their price objective on shares of Packaging Corporation of America from $229.00 to $241.00 and gave the stock a “neutral” rating in a research report on Thursday, July 9th. Bank of America boosted their target price on Packaging Corporation of America from $242.00 to $263.00 and gave the company a “buy” rating in a research report on Tuesday, July 14th. Finally, Truist Financial upped their target price on Packaging Corporation of America from $258.00 to $270.00 and gave the stock a “buy” rating in a research report on Wednesday, July 15th. One equities research analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating and three have given a Hold rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $256.14.

Packaging Corporation of America Company Profile

Packaging Corporation of America (NYSE: PKG) is a leading North American manufacturer of containerboard and corrugated packaging products. The company produces a range of paper-based packaging solutions including linerboard, corrugating medium, corrugated shipping containers, retail-ready packaging and point-of-purchase displays. In addition to core packaging products, Packaging Corporation of America offers packaging design, testing and supply-chain services intended to optimize protection, cost and sustainability for customers.

Headquartered in Lake Forest, Illinois, the company operates an integrated network of mills and corrugated manufacturing facilities across the United States and serves customers throughout North America in industries such as e-commerce, grocery and food & beverage, consumer packaged goods and industrial markets.