Packaging Co. of America (NYSE:PKG) Declares Quarterly Dividend of $1.25

Packaging Co. of America (NYSE:PKG) declared a quarterly dividend on Wednesday, May 8th, RTT News reports. Stockholders of record on Friday, June 14th will be paid a dividend of 1.25 per share by the industrial products company on Monday, July 15th. This represents a $5.00 dividend on an annualized basis and a dividend yield of 2.80%.

Packaging Co. of America has a payout ratio of 49.1% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect Packaging Co. of America to earn $9.13 per share next year, which means the company should continue to be able to cover its $5.00 annual dividend with an expected future payout ratio of 54.8%.

Packaging Co. of America Stock Down 0.3 %

Shares of Packaging Co. of America stock traded down $0.61 during trading on Wednesday, reaching $178.54. The company’s stock had a trading volume of 405,646 shares, compared to its average volume of 685,953. The company has a 50-day simple moving average of $182.41 and a two-hundred day simple moving average of $169.64. Packaging Co. of America has a 1-year low of $122.20 and a 1-year high of $191.27. The company has a market cap of $16.02 billion, a price-to-earnings ratio of 22.39, a P/E/G ratio of 4.29 and a beta of 0.80. The company has a quick ratio of 1.77, a current ratio of 2.57 and a debt-to-equity ratio of 0.62.

Packaging Co. of America (NYSE:PKG) last released its earnings results on Tuesday, April 23rd. The industrial products company reported $1.72 EPS for the quarter, topping analysts’ consensus estimates of $1.63 by $0.09. Packaging Co. of America had a net margin of 9.25% and a return on equity of 18.94%. The company had revenue of $1.98 billion during the quarter, compared to analysts’ expectations of $1.91 billion. During the same period last year, the business earned $2.20 EPS. Packaging Co. of America’s revenue for the quarter was up .2% on a year-over-year basis. As a group, equities analysts forecast that Packaging Co. of America will post 8.21 earnings per share for the current year.

Insider Buying and Selling at Packaging Co. of America

In other news, CFO Robert P. Mundy sold 10,000 shares of the company’s stock in a transaction that occurred on Wednesday, March 6th. The stock was sold at an average price of $182.51, for a total transaction of $1,825,100.00. Following the completion of the transaction, the chief financial officer now directly owns 46,454 shares of the company’s stock, valued at approximately $8,478,319.54. The sale was disclosed in a filing with the SEC, which is available at this link. In related news, VP Thomas A. Hassfurther sold 14,191 shares of Packaging Co. of America stock in a transaction dated Thursday, February 22nd. The stock was sold at an average price of $173.80, for a total value of $2,466,395.80. Following the sale, the vice president now directly owns 183,930 shares in the company, valued at approximately $31,967,034. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, CFO Robert P. Mundy sold 10,000 shares of the stock in a transaction that occurred on Wednesday, March 6th. The shares were sold at an average price of $182.51, for a total value of $1,825,100.00. Following the transaction, the chief financial officer now directly owns 46,454 shares of the company’s stock, valued at approximately $8,478,319.54. The disclosure for this sale can be found here. Over the last three months, insiders have sold 38,041 shares of company stock valued at $6,799,177. Company insiders own 1.70% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of equities analysts recently issued reports on PKG shares. Bank of America upgraded Packaging Co. of America from a “neutral” rating to a “buy” rating and raised their target price for the stock from $172.00 to $202.00 in a research note on Monday, March 4th. Citigroup cut their price objective on shares of Packaging Co. of America from $183.00 to $181.00 and set a “neutral” rating on the stock in a research note on Thursday, April 25th. StockNews.com lowered shares of Packaging Co. of America from a “buy” rating to a “hold” rating in a report on Friday, April 19th. Wells Fargo & Company upgraded Packaging Co. of America from an “equal weight” rating to an “overweight” rating and lifted their price objective for the company from $187.00 to $191.00 in a research note on Wednesday, April 24th. Finally, Seaport Res Ptn downgraded Packaging Co. of America from a “buy” rating to a “neutral” rating in a report on Monday, January 29th. Five investment analysts have rated the stock with a hold rating and three have issued a buy rating to the company’s stock. According to data from MarketBeat, Packaging Co. of America has an average rating of “Hold” and an average target price of $173.57.

Packaging Co. of America Company Profile

Packaging Corporation of America manufactures and sells containerboard and corrugated packaging products in the United States. The company operates through three segments: Packaging, Paper, and Corporate and Other. The Packaging segment offers various containerboard and corrugated packaging products, such as conventional shipping containers used to protect and transport manufactured goods; multi-color boxes and displays that help to merchandise the packaged product in retail locations; and honeycomb protective packaging products, as well as packaging for meat, fresh fruit and vegetables, processed food, beverages, and other industrial and consumer products.