Packaging Co. of America (NYSE:PKG) Shares Gap Down After Earnings Miss

Packaging Co. of America (NYSE:PKGGet Free Report)’s share price gapped down prior to trading on Wednesday following a weaker than expected earnings announcement. The stock had previously closed at $238.41, but opened at $220.10. Packaging Co. of America shares last traded at $219.30, with a volume of 299,132 shares traded.

The industrial products company reported $2.47 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.51 by ($0.04). Packaging Co. of America had a net margin of 9.46% and a return on equity of 19.10%.

Packaging Co. of America Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Wednesday, January 15th. Stockholders of record on Friday, December 20th were given a dividend of $1.25 per share. The ex-dividend date was Friday, December 20th. This represents a $5.00 dividend on an annualized basis and a dividend yield of 2.32%. Packaging Co. of America’s payout ratio is currently 58.28%.

Wall Street Analyst Weigh In

PKG has been the topic of a number of analyst reports. StockNews.com lowered Packaging Co. of America from a “buy” rating to a “hold” rating in a research report on Wednesday. Truist Financial upped their target price on Packaging Co. of America from $252.00 to $282.00 and gave the company a “buy” rating in a research report on Monday, January 6th. Citigroup raised their price target on shares of Packaging Co. of America from $232.00 to $235.00 and gave the stock a “neutral” rating in a research report on Monday, January 6th. Jefferies Financial Group upgraded shares of Packaging Co. of America from a “hold” rating to a “buy” rating and increased their price objective for the company from $215.00 to $280.00 in a research note on Wednesday, December 18th. Finally, Wells Fargo & Company raised their price objective on shares of Packaging Co. of America from $235.00 to $253.00 and gave the stock an “overweight” rating in a report on Thursday, October 24th. Three investment analysts have rated the stock with a hold rating and four have given a buy rating to the company’s stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $238.67.

View Our Latest Stock Report on PKG

Insider Activity at Packaging Co. of America

In other Packaging Co. of America news, SVP Joseph Vaughn sold 2,300 shares of the firm’s stock in a transaction on Tuesday, December 3rd. The stock was sold at an average price of $244.89, for a total value of $563,247.00. Following the sale, the senior vice president now directly owns 9,197 shares in the company, valued at approximately $2,252,253.33. This trade represents a 20.01 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, CFO Robert P. Mundy sold 12,500 shares of the company’s stock in a transaction dated Friday, November 8th. The stock was sold at an average price of $240.62, for a total transaction of $3,007,750.00. Following the transaction, the chief financial officer now owns 43,954 shares of the company’s stock, valued at $10,576,211.48. This represents a 22.14 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 33,300 shares of company stock valued at $8,064,152 in the last quarter. Insiders own 1.60% of the company’s stock.

Institutional Investors Weigh In On Packaging Co. of America

A number of hedge funds have recently made changes to their positions in PKG. GEM Asset Management LLC acquired a new stake in Packaging Co. of America in the 4th quarter valued at approximately $206,000. Avidian Wealth Enterprises LLC grew its stake in shares of Packaging Co. of America by 16.5% in the fourth quarter. Avidian Wealth Enterprises LLC now owns 1,233 shares of the industrial products company’s stock worth $278,000 after purchasing an additional 175 shares in the last quarter. Certuity LLC acquired a new position in shares of Packaging Co. of America during the fourth quarter valued at $218,000. Portfolio Design Labs LLC increased its holdings in shares of Packaging Co. of America by 64.2% during the fourth quarter. Portfolio Design Labs LLC now owns 1,980 shares of the industrial products company’s stock valued at $446,000 after purchasing an additional 774 shares during the period. Finally, JSF Financial LLC raised its stake in shares of Packaging Co. of America by 3.5% during the fourth quarter. JSF Financial LLC now owns 4,668 shares of the industrial products company’s stock valued at $1,051,000 after purchasing an additional 156 shares in the last quarter. Institutional investors own 89.78% of the company’s stock.

Packaging Co. of America Stock Down 9.7 %

The firm’s fifty day moving average is $235.31 and its two-hundred day moving average is $220.05. The firm has a market cap of $19.32 billion, a price-to-earnings ratio of 25.08, a P/E/G ratio of 2.36 and a beta of 0.79. The company has a debt-to-equity ratio of 0.58, a current ratio of 2.95 and a quick ratio of 1.98.

Packaging Co. of America Company Profile

(Get Free Report)

Packaging Corporation of America engages in the production of container products. It operates through the following segments: Packaging, Paper, and Corporate and Other. The Packaging segment offers a variety of corrugated packaging products, such as conventional shipping containers. The Paper segment manufactures and sells a range of papers, including communication-based papers, and pressure sensitive papers.

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