Packaging Corporation of America (NYSE:PKG) Releases Earnings Results, Beats Expectations By $0.11 EPS

Packaging Corporation of America (NYSE:PKG) posted its quarterly earnings data on Wednesday. The industrial products company reported $3.04 EPS for the quarter, beating the consensus estimate of $2.93 by $0.11, Zacks reports. The business had revenue of $2.60 billion during the quarter, compared to analyst estimates of $2.61 billion. Packaging Corporation of America had a net margin of 7.25% and a return on equity of 18.94%. The business’s revenue for the quarter was up 12.5% compared to the same quarter last year. During the same quarter last year, the firm posted $2.73 earnings per share.

Packaging Corporation of America Trading Up 0.1%

Packaging Corporation of America stock opened at $239.06 on Thursday. The company has a debt-to-equity ratio of 0.85, a quick ratio of 1.86 and a current ratio of 2.94. Packaging Corporation of America has a 1 year low of $191.50 and a 1 year high of $259.98. The firm has a market cap of $21.30 billion, a price-to-earnings ratio of 31.05, a price-to-earnings-growth ratio of 1.96 and a beta of 0.75. The firm’s 50 day moving average price is $237.35 and its two-hundred day moving average price is $230.48.

Packaging Corporation of America Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, October 15th. Stockholders of record on Tuesday, September 15th were given a dividend of $1.50 per share. The ex-dividend date was Tuesday, September 15th. This represents a $6.00 annualized dividend and a dividend yield of 2.5%. Packaging Corporation of America’s dividend payout ratio (DPR) is 77.92%.

Analyst Ratings Changes

A number of brokerages have recently commented on PKG. UBS Group cut their target price on shares of Packaging Corporation of America from $292.00 to $289.00 and set a “buy” rating on the stock in a report on Monday, October 5th. Wells Fargo & Company cut their target price on Packaging Corporation of America from $246.00 to $245.00 and set an “equal weight” rating for the company in a research note on Wednesday, October 7th. Bank of America reduced their target price on Packaging Corporation of America from $280.00 to $260.00 and set a “buy” rating for the company in a report on Friday, September 11th. Truist Financial raised their price objective on shares of Packaging Corporation of America from $270.00 to $280.00 and gave the company a “buy” rating in a research note on Monday, October 12th. Finally, JPMorgan Chase & Co. increased their price objective on shares of Packaging Corporation of America from $312.00 to $320.00 and gave the company an “overweight” rating in a research note on Wednesday, September 23rd. One investment analyst has rated the stock with a Strong Buy rating, six have given a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $271.86.

Insiders Place Their Bets

In other news, President Thomas A. Hassfurther sold 7,063 shares of Packaging Corporation of America stock in a transaction that occurred on Friday, August 7th. The shares were sold at an average price of $254.00, for a total value of $1,794,002.00. Following the transaction, the president owned 202,891 shares of the company’s stock, valued at $51,534,314. This trade represents a 3.36% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, VP Donald R. Shirley sold 12,000 shares of the firm’s stock in a transaction on Thursday, August 20th. The stock was sold at an average price of $250.71, for a total transaction of $3,008,520.00. Following the completion of the sale, the vice president owned 19,110 shares in the company, valued at approximately $4,791,068.10. The trade was a 38.57% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 40,391 shares of company stock valued at $10,196,101 in the last 90 days. Corporate insiders own 1.60% of the company’s stock.

About Packaging Corporation of America

Packaging Corporation of America (NYSE:PKG) is a manufacturer of corrugated packaging and containerboard products serving businesses primarily in the United States. Its products include shipping boxes, retail packaging, displays, protective packaging and specialty corrugated solutions used to transport and present a broad range of consumer and industrial goods.

The company also produces uncoated freesheet paper and related paper products for commercial printing, office use, publishing, converting and other applications.