Packaging Corporation of America (NYSE:PKG) Shares Gap Down – Here’s Why

Packaging Corporation of America (NYSE:PKG)’s stock price gapped down before the market opened on Monday . The stock had previously closed at $237.21, but opened at $222.50. Packaging Corporation of America shares last traded at $219.0750, with a volume of 191,171 shares changing hands.

Wall Street Analysts Forecast Growth

Several equities research analysts recently issued reports on PKG shares. Truist Financial dropped their target price on shares of Packaging Corporation of America from $273.00 to $270.00 and set a “buy” rating on the stock in a report on Thursday, January 29th. Zacks Research raised Packaging Corporation of America from a “strong sell” rating to a “hold” rating in a report on Tuesday, January 6th. JPMorgan Chase & Co. increased their target price on Packaging Corporation of America from $238.00 to $245.00 and gave the company an “overweight” rating in a report on Friday, December 5th. Citigroup increased their price objective on shares of Packaging Corporation of America from $226.00 to $227.00 and gave the stock a “neutral” rating in a research note on Thursday, January 29th. Finally, Wells Fargo & Company boosted their target price on shares of Packaging Corporation of America from $233.00 to $234.00 and gave the company an “overweight” rating in a research report on Thursday, January 29th. Four analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company’s stock. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $236.00.

Packaging Corporation of America Stock Down 5.9%

The company has a fifty day moving average price of $220.69 and a 200-day moving average price of $211.06. The company has a quick ratio of 2.00, a current ratio of 3.16 and a debt-to-equity ratio of 0.84. The stock has a market capitalization of $20.08 billion, a P/E ratio of 26.04, a PEG ratio of 1.82 and a beta of 0.88.

Packaging Corporation of America (NYSE:PKG) last issued its quarterly earnings data on Tuesday, January 27th. The industrial products company reported $2.32 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.41 by ($0.09). Packaging Corporation of America had a net margin of 8.61% and a return on equity of 19.18%. The company had revenue of $2.36 billion for the quarter, compared to analysts’ expectations of $2.43 billion. During the same quarter last year, the company earned $2.47 earnings per share. The company’s revenue for the quarter was up 10.1% on a year-over-year basis. Packaging Corporation of America has set its Q1 2026 guidance at 2.200-2.20 EPS. As a group, research analysts forecast that Packaging Corporation of America will post 10.44 EPS for the current fiscal year.

Packaging Corporation of America Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, January 14th. Investors of record on Monday, December 15th were issued a dividend of $1.25 per share. The ex-dividend date was Monday, December 15th. This represents a $5.00 dividend on an annualized basis and a yield of 2.2%. Packaging Corporation of America’s dividend payout ratio (DPR) is presently 58.34%.

Insider Buying and Selling at Packaging Corporation of America

In other news, President Thomas A. Hassfurther sold 12,129 shares of the business’s stock in a transaction dated Thursday, February 5th. The shares were sold at an average price of $230.50, for a total value of $2,795,734.50. Following the completion of the sale, the president owned 197,062 shares in the company, valued at approximately $45,422,791. The trade was a 5.80% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Corporate insiders own 1.50% of the company’s stock.

Hedge Funds Weigh In On Packaging Corporation of America

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Cornerstone Planning Group LLC increased its position in shares of Packaging Corporation of America by 105.4% during the third quarter. Cornerstone Planning Group LLC now owns 115 shares of the industrial products company’s stock worth $25,000 after purchasing an additional 59 shares in the last quarter. DV Equities LLC acquired a new position in shares of Packaging Corporation of America in the 4th quarter valued at about $26,000. KERR FINANCIAL PLANNING Corp acquired a new position in shares of Packaging Corporation of America in the 3rd quarter valued at about $31,000. Covestor Ltd grew its holdings in Packaging Corporation of America by 140.0% during the fourth quarter. Covestor Ltd now owns 156 shares of the industrial products company’s stock worth $32,000 after acquiring an additional 91 shares during the period. Finally, Towarzystwo Funduszy Inwestycyjnych PZU SA raised its position in Packaging Corporation of America by 94.1% during the fourth 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 in the last quarter. Hedge funds and other institutional investors own 89.78% of the company’s stock.

Packaging Corporation of America Company Profile

Packaging Corporation of America (NYSE: PKG) is a leading North American manufacturer of containerboard and corrugated packaging products. The company produces a range of paper-based packaging solutions including linerboard, corrugating medium, corrugated shipping containers, retail-ready packaging and point-of-purchase displays. In addition to core packaging products, Packaging Corporation of America offers packaging design, testing and supply-chain services intended to optimize protection, cost and sustainability for customers.

Headquartered in Lake Forest, Illinois, the company operates an integrated network of mills and corrugated manufacturing facilities across the United States and serves customers throughout North America in industries such as e-commerce, grocery and food & beverage, consumer packaged goods and industrial markets.