Packaging Co. of America (NYSE:PKG) Releases Quarterly Earnings Results, Beats Estimates By $0.06 EPS

Packaging Co. of America (NYSE:PKG) issued its quarterly earnings results on Tuesday. The industrial products company reported $2.20 EPS for the quarter, beating analysts’ consensus estimates of $2.14 by $0.06, Briefing.com reports. The company had revenue of $2.08 billion for the quarter, compared to analyst estimates of $2.02 billion. Packaging Co. of America had a return on equity of 18.80% and a net margin of 9.25%. The company’s quarterly revenue was up 6.3% compared to the same quarter last year. During the same period last year, the company earned $2.31 earnings per share. Packaging Co. of America updated its Q3 guidance to $2.45 EPS and its Q3 2024 guidance to 2.450-2.450 EPS.

Packaging Co. of America Stock Up 1.4 %

NYSE:PKG traded up $2.62 on Wednesday, hitting $195.44. 370,138 shares of the company’s stock traded hands, compared to its average volume of 625,808. The firm has a 50-day moving average price of $183.84 and a 200-day moving average price of $178.92. The company has a current ratio of 2.46, a quick ratio of 1.74 and a debt-to-equity ratio of 0.62. The company has a market cap of $17.55 billion, a PE ratio of 24.32, a price-to-earnings-growth ratio of 5.13 and a beta of 0.77. Packaging Co. of America has a 1 year low of $143.82 and a 1 year high of $199.00.

Packaging Co. of America Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Monday, July 15th. Shareholders of record on Friday, June 14th were given a dividend of $1.25 per share. The ex-dividend date of this dividend was Friday, June 14th. This represents a $5.00 dividend on an annualized basis and a yield of 2.56%. Packaging Co. of America’s payout ratio is presently 62.50%.

Insider Transactions at Packaging Co. of America

In related news, Director Karen E. Gowland acquired 300 shares of the stock in a transaction that occurred on Wednesday, May 15th. The shares were purchased at an average cost of $182.06 per share, with a total value of $54,618.00. Following the completion of the transaction, the director now owns 916 shares of the company’s stock, valued at approximately $166,766.96. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. 1.60% of the stock is owned by insiders.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the company. FIL Ltd increased its holdings in Packaging Co. of America by 2.6% in the fourth quarter. FIL Ltd now owns 2,210,000 shares of the industrial products company’s stock worth $360,031,000 after buying an additional 55,000 shares during the last quarter. Boston Partners increased its stake in shares of 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 purchasing an additional 477,487 shares during the last quarter. Northern Trust Corp raised its holdings in shares of Packaging Co. of America by 2.4% during the 4th quarter. Northern Trust Corp now owns 1,182,797 shares of the industrial products company’s stock valued at $192,689,000 after purchasing an additional 27,974 shares in the last quarter. Norges Bank acquired a new stake in shares of Packaging Co. of America in the 4th quarter valued at $163,314,000. Finally, Bank of New York Mellon Corp lifted its stake in shares of Packaging Co. of America by 0.7% in the 1st quarter. Bank of New York Mellon Corp now owns 874,497 shares of the industrial products company’s stock valued at $165,962,000 after purchasing an additional 5,842 shares during the last quarter. 89.78% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

A number of research analysts recently commented on PKG shares. Citigroup raised their price objective on shares of Packaging Co. of America from $181.00 to $187.00 and gave the company a “neutral” rating in a research note on Monday, July 8th. Truist Financial lifted their price target on Packaging Co. of America from $208.00 to $215.00 and gave the company a “buy” rating in a research report on Tuesday, July 16th. Wells Fargo & Company upped their price objective on Packaging Co. of America from $191.00 to $194.00 and gave the company an “overweight” rating in a report on Wednesday, July 10th. Bank of America lifted their target price on Packaging Co. of America from $197.00 to $200.00 and gave the stock a “buy” rating in a report on Monday, June 17th. Finally, BNP Paribas lowered shares of Packaging Co. of America from an “outperform” rating to a “neutral” rating and set a $182.00 price objective for the company. in a research report on Friday, April 12th. Five research analysts have rated the stock with a hold rating and three have issued a buy rating to the company’s stock. Based on data from MarketBeat, Packaging Co. of America currently has a consensus rating of “Hold” and a consensus target price of $186.33.

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.