Packaging Co. of America (NYSE:PKG) Stock Rating Lowered by StockNews.com

StockNews.com downgraded shares of Packaging Co. of America (NYSE:PKG) from a buy rating to a hold rating in a research report sent to investors on Friday morning.

Several other research analysts have also issued reports on PKG. Wells Fargo & Company raised their target price on shares of Packaging Co. of America from $235.00 to $253.00 and gave the company an “overweight” rating in a research note on Thursday, October 24th. Truist Financial reaffirmed a “buy” rating and issued a $252.00 price objective (up from $242.00) on shares of Packaging Co. of America in a research note on Thursday, October 24th. Finally, Citigroup raised their price target on Packaging Co. of America from $199.00 to $221.00 and gave the stock a “neutral” rating in a research report on Wednesday, October 2nd. Four equities research analysts have rated the stock with a hold rating and three have issued a buy rating to the company. According to data from MarketBeat, the company currently has an average rating of “Hold” and a consensus price target of $221.60.

Packaging Co. of America Stock Performance

Shares of Packaging Co. of America stock opened at $230.17 on Friday. The company has a debt-to-equity ratio of 0.60, a current ratio of 2.43 and a quick ratio of 1.71. The firm has a 50 day simple moving average of $214.85 and a 200 day simple moving average of $195.90. Packaging Co. of America has a fifty-two week low of $148.50 and a fifty-two week high of $232.98. The firm has a market cap of $20.67 billion, a P/E ratio of 26.78, a P/E/G ratio of 3.24 and a beta of 0.76.

Packaging Co. of America (NYSE:PKG) last released its earnings results on Tuesday, October 22nd. The industrial products company reported $2.65 earnings per share for the quarter, topping analysts’ consensus estimates of $2.50 by $0.15. The company had revenue of $2.18 billion during the quarter, compared to the consensus estimate of $2.09 billion. Packaging Co. of America had a return on equity of 19.35% and a net margin of 9.46%. The firm’s quarterly revenue was up 14.9% on a year-over-year basis. During the same quarter in the previous year, the company posted $2.05 earnings per share. Sell-side analysts predict that Packaging Co. of America will post 9 earnings per share for the current fiscal year.

Packaging Co. of America Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, September 16th. Investors of record on Tuesday, October 15th were paid a dividend of $1.25 per share. The ex-dividend date was Monday, September 16th. This represents a $5.00 dividend on an annualized basis and a yield of 2.17%. Packaging Co. of America’s payout ratio is 58.28%.

Hedge Funds Weigh In On Packaging Co. of America

A number of large investors have recently added to or reduced their stakes in PKG. Victory Capital Management Inc. boosted its position in shares of Packaging Co. of America by 1.5% during the second quarter. Victory Capital Management Inc. now owns 2,853,417 shares of the industrial products company’s stock worth $520,920,000 after buying an additional 41,903 shares during the period. Boston Partners boosted its position in Packaging Co. of America by 49.3% during the 1st quarter. Boston Partners now owns 1,446,303 shares of the industrial products company’s stock worth $274,421,000 after acquiring an additional 477,487 shares during the last quarter. Dimensional Fund Advisors LP lifted its stake in Packaging Co. of America by 8.1% in the second quarter. Dimensional Fund Advisors LP now owns 1,153,732 shares of the industrial products company’s stock valued at $210,636,000 after acquiring an additional 86,005 shares during the last quarter. Millennium Management LLC grew its position in shares of Packaging Co. of America by 34.3% in the 2nd quarter. Millennium Management LLC now owns 1,027,585 shares of the industrial products company’s stock valued at $187,596,000 after acquiring an additional 262,315 shares during the period. Finally, Price T Rowe Associates Inc. MD increased its stake in shares of Packaging Co. of America by 5.1% during the 1st quarter. Price T Rowe Associates Inc. MD now owns 869,341 shares of the industrial products company’s stock worth $164,985,000 after purchasing an additional 42,465 shares during the last quarter. Institutional investors own 89.78% of the company’s stock.

About Packaging Co. of America

Packaging Corporation of America manufactures and sells containerboard and corrugated packaging products in the United States. The company operates through three segments: Packaging, Paper, and Corporate and Other. The Packaging segment offers various containerboard and corrugated packaging products, such as conventional shipping containers used to protect and transport manufactured goods; multi-color boxes and displays that help to merchandise the packaged product in retail locations; and honeycomb protective packaging products, as well as packaging for meat, fresh fruit and vegetables, processed food, beverages, and other industrial and consumer products.