International Paper Rating Lowered to Hold at Deutsche Bank (IP)
International Paper (NYSE:IP) was downgraded by stock analysts at Deutsche Bank from a “buy” rating to a “hold” rating in a report issued on Friday, TheFlyOnTheWall.com reports. They currently have a $51.00 price target on the stock, down from their previous price target of $54.00. Deutsche Bank’s price target indicates a potential upside of 7.85% from the stock’s previous close.
The analysts wrote, “The biggest issue is evidence of increased capital being invested in domestic c’board capacity (IP’s ‘core’ business) – both new mills & conversions. Based on our analysis, we think industry operating rates could drop from recent levels in the high 90′s to 90% or below by 2015. Without stronger demand, IP could be forced to take more economic downtime or make permanent capacity shuts. In the short-term, the issues are continued sluggish domestic c’board demand, rising inventories and some very modest pricing pressure from new capacity. Trimming IP from Buy to Hold. Reducing PT from $54 to $51.”
A number of other analysts have also recently weighed in on IP. Analysts at Argus raised their price target on shares of International Paper (NYSE:IP) from $53.00 to $56.00 in a research note to investors on Friday, August 2nd. They now have a “buy” rating on the stock. Separately, analysts at Zacks downgraded shares of International Paper (NYSE:IP) from an “outperform” rating to a “neutral” rating in a research note to investors on Monday, July 29th. They now have a $52.00 price target on the stock. Finally, analysts at Barclays Capital raised their price target on shares of International Paper (NYSE:IP) from $53.00 to $58.00 in a research note to investors on Friday, July 26th. They now have an “overweight” rating on the stock. Three analysts have rated the stock with a hold rating, fourteen have issued a buy rating and one has issued a strong buy rating to the company’s stock. The stock has a consensus rating of “Buy” and an average price target of $47.30.
International Paper (NYSE:IP) traded down 3.17% on Friday, hitting $45.79. The stock had a trading volume of 2,535,674 shares. International Paper has a one year low of $32.95 and a one year high of $50.33. The stock’s 50-day moving average is $47.74 and its 200-day moving average is $46.8. The company has a market cap of $20.420 billion and a P/E ratio of 19.98.
International Paper (NYSE:IP) last released its earnings data on Thursday, July 25th. The company reported $0.57 EPS for the quarter, meeting the Thomson Reuters consensus estimate of $0.57. The company had revenue of $7.34 billion for the quarter, compared to the consensus estimate of $7.41 billion. During the same quarter last year, the company posted $0.46 earnings per share. International Paper’s revenue was up 3.6% compared to the same quarter last year. Analysts expect that International Paper will post $3.30 EPS for the current fiscal year.
The company also recently announced a quarterly dividend, which is scheduled for Monday, December 16th. Stockholders of record on Friday, November 15th will be paid a dividend of $1.00 per share. This represents a $4.00 annualized dividend and a dividend yield of 8.46%. The ex-dividend date is Wednesday, November 13th. This is a boost from International Paper’s previous quarterly dividend of $0.30.
International Paper Company (NYSE:IP) is a global paper and packaging company, with primary markets and manufacturing operations in North America, Europe, Latin America, Russia, Asia and North Africa.
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