why International Paper Company [IP] is a Good Choice for Investors After New Price Target of $37.00

International Paper Company [NYSE: IP] traded at a low on 04/25/23, posting a -4.65 loss after which it closed the day’ session at $34.69. The company report on April 20, 2023 at 1:40 PM that International Paper on Improving Their Climate Impact.

International Paper Company

International Paper plays a significant role in responding to the global climate challenge, and our commitment to improve our climate impact is considerable in its potential.

The results of the trading session contributed to over 5127441 shares changing hands. Over the past one week, the price volatility of International Paper Company stands at 1.50% while the volatility over the past one month is 1.63%.

The market cap for IP stock reached $12.29 billion, with 353.60 million shares outstanding and 346.48 million shares in the current float. Compared to the average trading volume of 3.06M shares, IP reached a trading volume of 5127441 in the most recent trading day, which is why market watchdogs consider the stock to be active.

What do top market gurus say about International Paper Company [IP]?

Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for IP shares is $37.00 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on IP stock is a recommendation set at 3.10. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.

UBS have made an estimate for International Paper Company shares, keeping their opinion on the stock as Neutral, with their previous recommendation back on February 03, 2023. While these analysts kept the previous recommendation, Deutsche Bank dropped their target price from $44 to $29. The new note on the price target was released on October 18, 2022, representing the official price target for International Paper Company stock. Previously, the target price had yet another drop from $40 to $31, while Jefferies kept a Underperform rating on IP stock. On July 18, 2022, analysts decreased their price target for IP shares from 58 to 47.

The Average True Range (ATR) for International Paper Company is set at 0.77, with the Price to Sales ratio for IP stock in the period of the last 12 months amounting to 0.58. The Price to Book ratio for the last quarter was 1.44, with the Price to Cash per share for the same quarter was set at 2.27. Price to Free Cash Flow for IP in the course of the last twelve months was 21.56 with Quick ratio for the last quarter at 1.00.

How has IP stock performed recently?

International Paper Company [IP] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -4.93. With this latest performance, IP shares gained by 0.61% in over the last four-week period, additionally plugging by 4.87% over the last 6 months – not to mention a drop of -27.31% in the past year of trading.

Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for IP stock in for the last two-week period is set at 39.07, with the RSI for the last a single of trading hit 33.05, and the three-weeks RSI is set at 42.11 for International Paper Company [IP]. The present Moving Average for the last 50 days of trading for this stock 36.11, while it was recorded at 36.05 for the last single week of trading, and 37.28 for the last 200 days.

International Paper Company [IP]: Deeper insight into the fundamentals

Operating Margin for any stock indicates how profitable investing would be, and International Paper Company [IP] shares currently have an operating margin of +8.17 and a Gross Margin at +23.40. International Paper Company’s Net Margin is presently recorded at +8.23.

Return on Total Capital for IP is now 10.24, given the latest momentum, and Return on Invested Capital for the company is 10.71. Return on Equity for this stock inclined to 19.81, with Return on Assets sitting at 7.08. When it comes to the capital structure of this company, International Paper Company [IP] has a Total Debt to Total Equity ratio set at 95.50. Additionally, IP Total Debt to Total Capital is recorded at 48.85, with Total Debt to Total Assets ending up at 33.90. Long-Term Debt to Equity for the company is recorded at 84.79, with the Long-Term Debt to Total Capital now at 43.37.

Reflecting on the efficiency of the workforce at the company, International Paper Company [IP] managed to generate an average of $44,641 per employee. Receivables Turnover for the company is 5.74 with a Total Asset Turnover recorded at a value of 0.86.International Paper Company’s liquidity data is similarly interesting compelling, with a Quick Ratio of 1.00 and a Current Ratio set at 1.40.

Earnings analysis for International Paper Company [IP]

The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for IP. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for International Paper Company go to 19.20%.

Insider trade positions for International Paper Company [IP]

There are presently around $10,690 million, or 88.10% of IP stock, in the hands of institutional investors. The top three institutional holders of IP stocks are: VANGUARD GROUP INC with ownership of 42,185,372, which is approximately -0.891% of the company’s market cap and around 0.40% of the total institutional ownership; BLACKROCK INC., holding 35,492,991 shares of the stock with an approximate value of $1.29 billion in IP stocks shares; and PRICE T ROWE ASSOCIATES INC /MD/, currently with $951.31 million in IP stock with ownership of nearly -3.572% of the company’s market capitalization.

Positions in International Paper Company stocks held by institutional investors increased at the end of Thursday and at the time of the Thursday reporting period, where 377 institutional holders increased their position in International Paper Company [NYSE:IP] by around 15,805,847 shares. Additionally, 397 investors decreased positions by around 24,856,715 shares, while 135 investors held positions by with 253,175,415 shares. The mentioned changes placed institutional holdings at 293,837,977 shares, according to the latest SEC report filing. IP stock had 99 new institutional investments in for a total of 2,175,477 shares, while 96 institutional investors sold positions of 2,134,472 shares during the same period.