Sylvamo (NYSE:SLVM) Releases Earnings Results, Beats Expectations By $0.03 EPS

Sylvamo (NYSE:SLVM) posted its earnings results on Thursday. The company reported $1.08 EPS for the quarter, topping the consensus estimate of $1.05 by $0.03, FiscalAI reports. The firm had revenue of $890.00 million for the quarter, compared to analyst estimates of $858.76 million. Sylvamo had a return on equity of 19.72% and a net margin of 5.25%.Sylvamo’s revenue for the quarter was down 8.2% compared to the same quarter last year. During the same period last year, the company earned $1.96 earnings per share.

Here are the key takeaways from Sylvamo’s conference call:

• Reported solid 2025 results with $448 million Adjusted EBITDA, $44 million free cash flow, net debt/Adjusted EBITDA of 1.6x, $155 million returned to shareholders, and $224 million reinvested to strengthen the business.
• Management called 2026 a transition year with ~$85 million of one-time North American EBITDA impacts (plus a separate ~$10 million Riverdale cold‑weather charge), $245 million planned capex (including $145M at Eastover), and an expected working‑capital drag.
• The Eastover investments (paper‑machine optimization, new sheeter, woodyard modernization) are on schedule and expected to add 60,000 tons, lower costs and improve mix, positioning the company to ramp volumes and materially improve cash flow and returns in 2027 and beyond.
• Company will discontinue quarterly Adjusted EBITDA outlooks to emphasize long‑term value creation and is launching Lean and digital transformation initiatives (starting in Latin America) to drive operational improvement and customer centricity.

Sylvamo Price Performance

Shares of NYSE SLVM traded up $2.35 during mid-day trading on Thursday, reaching $54.41. The company’s stock had a trading volume of 576,999 shares, compared to its average volume of 279,412. The stock has a 50-day moving average of $49.80 and a two-hundred day moving average of $46.23. The company has a debt-to-equity ratio of 0.80, a quick ratio of 0.85 and a current ratio of 1.52. The stock has a market capitalization of $2.15 billion, a P/E ratio of 12.45 and a beta of 0.95. Sylvamo has a 1-year low of $37.51 and a 1-year high of $73.73.

Sylvamo Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, January 23rd. Shareholders of record on Monday, January 5th were paid a dividend of $0.45 per share. This represents a $1.80 annualized dividend and a yield of 3.3%. The ex-dividend date of this dividend was Monday, January 5th. Sylvamo’s payout ratio is 41.19%.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the business. Advisory Services Network LLC acquired a new stake in shares of Sylvamo in the third quarter valued at approximately $38,000. EverSource Wealth Advisors LLC increased its position in Sylvamo by 185.5% during the second quarter. EverSource Wealth Advisors LLC now owns 982 shares of the company’s stock worth $49,000 after purchasing an additional 638 shares during the last quarter. Tower Research Capital LLC TRC raised its stake in Sylvamo by 339.7% during the second quarter. Tower Research Capital LLC TRC now owns 3,526 shares of the company’s stock worth $177,000 after purchasing an additional 2,724 shares during the period. BNP Paribas Financial Markets boosted its holdings in Sylvamo by 28.6% in the 2nd quarter. BNP Paribas Financial Markets now owns 3,567 shares of the company’s stock valued at $179,000 after purchasing an additional 794 shares during the last quarter. Finally, Verity Asset Management Inc. acquired a new position in Sylvamo in the 3rd quarter valued at about $211,000. 91.16% of the stock is owned by hedge funds and other institutional investors.

Analyst Ratings Changes

Several research firms recently issued reports on SLVM. Weiss Ratings reiterated a “hold (c)” rating on shares of Sylvamo in a research note on Wednesday, January 21st. Royal Bank Of Canada reissued a “sector perform” rating and set a $53.00 target price on shares of Sylvamo in a research note on Thursday, December 18th. Finally, Bank of America upgraded Sylvamo from an “underperform” rating to a “buy” rating and raised their target price for the company from $41.00 to $59.00 in a research report on Monday, November 17th. One analyst has rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and an average target price of $56.00.

About Sylvamo

Sylvamo Corporation, trading on the New York Stock Exchange under the ticker SLVM, is a leading global producer of uncoated freesheet paper. The company was established in October 2021 through a spin-off from International Paper, creating an independent entity focused exclusively on the development, manufacturing and marketing of high-quality uncoated paper products. Headquartered in Memphis, Tennessee, Sylvamo draws on decades of industry experience inherited from its predecessor, positioning itself to meet evolving customer needs in paper-based communications and packaging applications.

The company’s core product portfolio includes office and digital print papers, direct mail and marketing materials, catalog and commercial printing papers, and a range of specialty and value-added grades.