International Paper Intrinsic Value Calculator – International Paper Stock Rises Thursday, Lags Behind Market
November 4, 2023
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Thursday saw International Paper ($NYSE:IP) Co. stock rise, yet it lagged behind the overall market. International Paper Co. is a leading global producer of renewable fiber-based paper, packaging, and pulp products. The company’s product lines include printing & writing papers, industrial and food packaging, food service and specialty products, and containerboard. The company has to its credit several achievements in the last year alone. Notably, International Paper Co. was the recipient of multiple corporate awards such as “Best Company to Work For”, “Most Sustainable”, and “Greenest Company” in its industry.
Despite these accomplishments, the company’s stock rose very modestly when compared to the overall market. Analysts attribute this underperformance to the volatile nature of the paper products market and the increasing price of raw materials used to produce paper products. Overall, it appears that International Paper Co. stock has yet to reach its full potential despite the company’s impressive performance this year. Investors will likely need to wait for the market to become more stable before the stock can perform better in relation to the rest of the market.
Share Price
On Thursday, International Paper‘s stock rose 1.6%, opening at $34.3 and closing at $34.6. Investors will likely continue to watch the stock closely to see if it can catch up to the market or if it will remain under pressure in the coming days. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for International Paper. More…
| Total Revenues | Net Income | Net Margin |
| 19.45k | 254 | 4.2% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for International Paper. More…
| Operations | Investing | Financing |
| 2.1k | -673 | -803 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for International Paper. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 23.95k | 15.07k | 25.67 |
Key Ratios Snapshot
Some of the financial key ratios for International Paper are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| -2.3% | -10.8% | 7.4% |
| FCF Margin | ROE | ROA |
| 4.9% | 10.4% | 3.7% |
Analysis – International Paper Intrinsic Value Calculator
At GoodWhale, we conducted an analysis of INTERNATIONAL PAPER‘s wellbeing. Through our proprietary Valuation Line, we were able to find that the fair value of INTERNATIONAL PAPER share is around $40.5. Unfortunately, the current stock price for INTERNATIONAL PAPER is only $34.6, meaning that the stock is being undervalued by 14.5%. If you’re looking to invest in INTERNATIONAL PAPER, now is the time to buy as you can get a great deal. More…
Peers
In the global market for paper and paperboard, there are four main competitors: International Paper Co, Tat Seng Packaging Group Ltd, PT Fajar Surya Wisesa Tbk, and Smurfit Kappa Group PLC. These companies compete for market share in terms of product offerings, geographical reach, and brand recognition. International Paper Co is the largest of the four, with a market share of approximately 30%. Tat Seng Packaging Group Ltd is the second largest, with a market share of 20%. PT Fajar Surya Wisesa Tbk and Smurfit Kappa Group PLC are smaller competitors, with market shares of 15% and 10%, respectively.
– Tat Seng Packaging Group Ltd ($SGX:T12)
Tat Seng Packaging Group Ltd is a Singapore-based company that manufactures and distributes paper packaging products. The company has a market cap of 99.82M as of 2022 and a Return on Equity of 13.98%. Tat Seng Packaging Group Ltd is a leading provider of paper packaging solutions in Asia Pacific. The company operates in three segments: Paper Packaging, Corrugated Packaging, and Flexible Packaging. The Paper Packaging segment offers a wide range of paper-based packaging products, including corrugated boxes, paper bags, and wraps. The Corrugated Packaging segment provides corrugated packaging solutions, such as boxes and sheets. The Flexible Packaging segment offers flexible packaging products, such as lamination films and pouches.
– PT Fajar Surya Wisesa Tbk ($IDX:FASW)
Fajar Surya Wisesa Tbk is one of the largest publicly traded companies in Indonesia with a market capitalization of over 15 trillion rupiah as of early 2021. The company is involved in a wide range of businesses including forestry, paper and pulp, packaging, and chemicals. Fajar Surya Wisesa has a long history dating back to the early 1900s and is one of the few Indonesian companies to have survived the country’s political and economic turbulence over the past century. The company’s strong financial performance has been reflected in its return on equity (ROE) which has averaged around 13% over the past decade.
– Smurfit Kappa Group PLC ($OTCPK:SMFTF)
Smurfit Kappa Group PLC is a multinational corrugated packaging company with operations in over 35 countries. The company has a market cap of 8.43B as of 2022 and a ROE of 18.67%. Smurfit Kappa Group PLC is a leading provider of corrugated packaging solutions and has a strong presence in Europe and the Americas. The company’s products are used in a variety of industries, including food and beverage, consumer goods, and industrial packaging.
Summary
International Paper Co. (IP) stock rose on Thursday, but it still underperformed the broader market. Investors should look at IP’s recent performance and financials before investing. This could be a sign of financial risk and investors should research further before investing in the company.
