Bank of America Cuts Packaging Corporation of America (NYSE:PKG) Price Target to $260.00

Packaging Corporation of America (NYSE:PKG) had its price target decreased by Bank of America from $280.00 to $260.00 in a report released on Friday morning,Benzinga reports. Bank of America currently has a buy rating on the industrial products company’s stock.

Several other analysts have also recently commented on the company. Weiss Ratings upgraded Packaging Corporation of America from a “hold (c+)” rating to a “buy (b-)” rating in a report on Tuesday, August 25th. Truist Financial lifted their price target on Packaging Corporation of America from $258.00 to $270.00 and gave the company a “buy” rating in a report on Wednesday, July 15th. Wells Fargo & Company reiterated an “equal weight” rating and set a $246.00 price target (up from $245.00) on shares of Packaging Corporation of America in a research report on Thursday, July 9th. UBS Group increased their price objective on shares of Packaging Corporation of America from $271.00 to $292.00 and gave the stock a “buy” rating in a report on Thursday, August 13th. Finally, Citigroup raised their price objective on shares of Packaging Corporation of America from $241.00 to $254.00 and gave the company a “neutral” rating in a research report on Tuesday, July 28th. One analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating and three have issued a Hold rating to the company’s stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $264.14.

Packaging Corporation of America Stock Up 0.1%

Shares of PKG opened at $234.72 on Friday. The company has a market capitalization of $20.91 billion, a P/E ratio of 30.48, a PEG ratio of 2.38 and a beta of 0.78. The company has a debt-to-equity ratio of 0.85, a current ratio of 2.94 and a quick ratio of 1.86. Packaging Corporation of America has a one year low of $191.50 and a one year high of $259.98. The business’s 50 day simple moving average is $241.75 and its 200-day simple moving average is $227.50.

Packaging Corporation of America (NYSE:PKG) last released its quarterly earnings results on Wednesday, July 22nd. The industrial products company reported $2.35 earnings per share for the quarter, beating analysts’ consensus estimates of $2.31 by $0.04. Packaging Corporation of America had a return on equity of 18.94% and a net margin of 7.25%.The firm had revenue of $2.49 billion during the quarter, compared to analysts’ expectations of $2.49 billion. During the same period last year, the firm posted $2.48 EPS. The business’s revenue was up 14.7% on a year-over-year basis. Packaging Corporation of America has set its Q3 2026 guidance at 2.910-2.910 EPS. As a group, sell-side analysts predict that Packaging Corporation of America will post 10.49 EPS for the current fiscal year.

Packaging Corporation of America Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, October 15th. Stockholders of record on Tuesday, September 15th will be paid a $1.50 dividend. This represents a $6.00 annualized dividend and a dividend yield of 2.6%. The ex-dividend date of this dividend is Tuesday, September 15th. Packaging Corporation of America’s dividend payout ratio (DPR) is 77.92%.

Insiders Place Their Bets

In related news, President Thomas A. Hassfurther sold 7,063 shares of the firm’s stock in a transaction dated Friday, August 7th. The stock was 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 in the company, valued at $51,534,314. This trade represents a 3.36% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, VP Donald R. Shirley sold 12,000 shares of Packaging Corporation of America stock in a transaction dated Thursday, August 20th. The stock was sold at an average price of $250.71, for a total value of $3,008,520.00. Following the completion of the sale, the vice president owned 19,110 shares of the company’s stock, valued at approximately $4,791,068.10. The trade was a 38.57% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 40,391 shares of company stock valued at $10,196,101. 1.60% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Packaging Corporation of America

Several institutional investors have recently modified their holdings of the business. DV Equities LLC acquired a new position in Packaging Corporation of America in the fourth quarter valued at approximately $26,000. Covestor Ltd raised its position in shares of Packaging Corporation of America by 140.0% during the 4th quarter. Covestor Ltd now owns 156 shares of the industrial products company’s stock valued at $32,000 after acquiring an additional 91 shares during the last quarter. Towarzystwo Funduszy Inwestycyjnych PZU SA raised its position in shares of Packaging Corporation of America by 94.1% during the 4th quarter. Towarzystwo Funduszy Inwestycyjnych PZU SA now owns 165 shares of the industrial products company’s stock valued at $34,000 after acquiring an additional 80 shares during the last quarter. Navalign LLC acquired a new position in shares of Packaging Corporation of America in the 4th quarter valued at $36,000. Finally, Fiduciary Financial Advisors acquired a new position in shares of Packaging Corporation of America in the 2nd quarter valued at $36,000. Institutional investors and hedge funds own 89.78% of the company’s stock.

Key Headlines Impacting Packaging Corporation of America

Here are the key news stories impacting Packaging Corporation of America this week:

• Positive Sentiment: Bank of America maintained a Buy rating on PKG while lowering its price target from $280 to $260. The revised target still implies approximately 10.8% upside from the referenced $234.72 share price, suggesting the firm sees further appreciation potential. Tickerreport article
• Positive Sentiment: Zacks Research raised its earnings forecasts across several periods. Estimates increased to $2.76 per share for fourth-quarter 2026, $2.98 for second-quarter 2027, $3.36 for third-quarter 2027, and $3.24 for both fourth-quarter 2027 and first-quarter 2028. Full-year forecasts also rose to $12.46 for 2027 and $14.60 for 2028. Although the increases were small, the revisions indicate slightly improved expectations for PKG’s future profitability.
• Neutral Sentiment: Packaging Corporation of America also presented at the Jefferies Global Industrials Conference. The transcript provides investors with additional management commentary, but no specific new guidance or material business announcement was identified in the available report. Jefferies Global Industrials Conference transcript

Packaging Corporation of America Company Profile

Packaging Corporation of America (NYSE: PKG) manufactures and sells containerboard and corrugated packaging products. Its offerings include shipping boxes, retail displays, protective packaging and other custom-designed packaging solutions used by businesses in a range of industries.

The company also produces uncoated paper products, including communication papers, office papers and specialty papers. PCA serves customers primarily across the United States and operates a network of paper mills, corrugated products plants, design centers and related facilities.

Packaging Corporation of America was established in 1999 following the acquisition of Tenneco Packaging by an investor group and its subsequent separation from Tenneco Inc Mark W.