Peeling Back The Layers: Exploring Packaging Corp of America Through Analyst Insights
In the last three months, 5 analysts have published ratings on Packaging Corp of America (NYSE:PKG), offering a diverse range of perspectives from bullish to bearish.
The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 2 | 1 | 2 | 0 | 0 |
| Last 30D | 0 | 0 | 1 | 0 | 0 |
| 1M Ago | 1 | 0 | 0 | 0 | 0 |
| 2M Ago | 1 | 0 | 0 | 0 | 0 |
| 3M Ago | 0 | 1 | 1 | 0 | 0 |
Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $193.4, a high estimate of $208.00, and a low estimate of $181.00. Marking an increase of 2.98%, the current average surpasses the previous average price target of $187.80.
Diving into Analyst Ratings: An In-Depth Exploration
A clear picture of Packaging Corp of America's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Anthony Pettinari | Citigroup | Raises | Neutral | $187.00 | $181.00 |
| George Staphos | B of A Securities | Raises | Buy | $200.00 | $197.00 |
| Michael Roxland | Truist Securities | Raises | Buy | $208.00 | $191.00 |
| Anthony Pettinari | Citigroup | Lowers | Neutral | $181.00 | $183.00 |
| Gabe Hajde | Wells Fargo | Raises | Overweight | $191.00 | $187.00 |
Key Insights:
- Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Packaging Corp of America. This offers insight into analysts' perspectives on the current state of the company.
- Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Packaging Corp of America compared to the broader market.
- Price Targets: Analysts navigate through adjustments in price targets, providing estimates for Packaging Corp of America's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.
Capture valuable insights into Packaging Corp of America's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.
Stay up to date on Packaging Corp of America analyst ratings.
All You Need to Know About Packaging Corp of America
Packaging Corp of America is the third-largest containerboard and corrugated packaging manufacturer in the United States. It produces over 4.5 million tons of containerboard annually. The company's share of the domestic containerboard market is roughly 10%. The firm differentiates itself from larger competitors by focusing on smaller customers and operating with a high degree of flexibility.
Packaging Corp of America: A Financial Overview
Market Capitalization Analysis: The company's market capitalization surpasses industry averages, showcasing a dominant size relative to peers and suggesting a strong market position.
Revenue Growth: Packaging Corp of America's revenue growth over a period of 3 months has been noteworthy. As of 31 March, 2024, the company achieved a revenue growth rate of approximately 0.16%. This indicates a substantial increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Materials sector.
Net Margin: Packaging Corp of America's net margin excels beyond industry benchmarks, reaching 7.37%. This signifies efficient cost management and strong financial health.
Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of 3.63%, the company may need to address challenges in generating satisfactory returns for shareholders.
Return on Assets (ROA): Packaging Corp of America's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 1.66% ROA, the company effectively utilizes its assets for optimal returns.
Debt Management: With a below-average debt-to-equity ratio of 0.78, Packaging Corp of America adopts a prudent financial strategy, indicating a balanced approach to debt management.
Analyst Ratings: Simplified
Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.
Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.
This article was generated by Benzinga's automated content engine and reviewed by an editor.