International Paper Company
Exchange: NYSESector: Consumer CyclicalIndustry: Packaging & Containers
International Paper (NYSE: IP ; LSE: IPC) is dedicated to empowering customers, teammates, and shareowners to thrive by delivering innovative, sustainable packaging solutions for a changing world. As a trusted leader in corrugated packaging, we collaborate with partners across industries to protect what matters most—strengthening supply chains, advancing sustainability, and creating lasting value for our stakeholders. Discover more at internationalpaper.com. SOURCE International Paper
Did you know?
Earnings per share grew at a -45.9% CAGR.
Current Price
$34.79
-2.44%GoodMoat Value
$196.09
463.7% undervaluedProfile
Valuation (TTM)
Market Cap$18.37B
P/E-5.22
EV$30.08B
P/B1.24
Shares Out528.04M
P/Sales0.74
Revenue$24.90B
EV/EBITDA—
International Paper Company (IP) Stock Analysis
GoodMoat Analysis
International Paper is a large packaging company currently in a deep cyclical downturn, as evidenced by negative profitability metrics and a low P/E. The GoodMoat target price suggests a significant margin of safety, but the analysis framework flags severe quality and moat concerns that require investigation.
Read full analysis
International Paper Company (IP) is a major player in the packaging and containers industry, producing corrugated packaging and pulp for global markets. The company is currently in a pronounced cyclical trough, with negative profitability across key metrics: a -14.1% profit margin, -12.8% operating margin, and a negative ROE of -23.7%. While revenue grew 53.1% YoY, this is likely due to acquisitions or price pass-throughs rather than organic strength, given the negative bottom line. Applying the GoodMoat Investment Framework, the company would struggle at the initial 'Moat & Quality Gate' (Step 1). The provided data does not suggest strong competitive advantages like network effects or high switching costs typical of a durable moat. More critically, the Quality Indicators are weak: negative GAAP profitability, a low FCF yield of 0.3%, and a leveraged balance sheet with a Debt/Equity ratio of 0.84. These factors would likely result in a low Moat Score and multiple 'Weak' quality ratings, potentially failing the gate for further analysis. However, the GoodMoat target price of $196.09 implies a massive margin of safety relative to the current $36.47 price. For a value investor, this discrepancy between the target and the poor fundamental snapshot is the core puzzle. It suggests the market is pricing in a permanent decline, while the target implies a strong recovery. Further investigation is essential to determine if the current losses are a temporary industry cycle or a sign of permanent impairment, and to assess if the company possesses hidden moat characteristics like scale or cost advantages that are not apparent in the high-level data. Analysis based on data as of 2024-05-15.
Market Cap$18.37B
Current Price$34.79
P/E Ratio-5.22
Forward P/E—
PEG Ratio-0.01
EPS$-6.95
Book Value$28.08
P/B Ratio1.24
IP Financial Charts
FCF vs CAPEX
FCFCAPEX
Forward estimates use -45.9% FCF growth (CAGR)
Cash vs Debt
Net Debt: 11.3B
Revenue
18.3B
FY19
17.6B
FY20
19.4B
FY21
21.2B
FY22
16.0B
FY23
15.8B
FY24
23.6B
FY25
Net Income
1.2B
FY19
482M
FY20
1.8B
FY21
1.5B
FY22
288M
FY23
557M
FY24
—
FY25
IP 52-Week Range
$33.76
$53.90
50-Day MA: $40.99200-Day MA: $43.11
Did you know?
Free cash flow has been growing at -45.9% annually.
International Paper Company (IP) Financial Summary
International Paper Company (IP) is a Consumer Cyclical company in the Packaging & Containers industry, listed on NYSE. The stock currently trades at $34.79 with a market capitalization of $18.37B.
Key valuation metrics include a P/E ratio of -5.22, price-to-book ratio of 1.24, and EPS of $-6.95. The company reports a profit margin of -14.1% and return on equity of -23.7%.
IP Key Financial Metrics
| Metric | Value |
|---|---|
| Market Cap | $18.37B |
| P/E Ratio | -5.22 |
| EPS | $-6.95 |
| P/B Ratio | 1.24 |
| P/S Ratio | 0.74 |
| Dividend Yield | 5.32% |
| Profit Margin | -14.1% |
| Return on Equity | -23.7% |
| Debt/Equity | 0.84 |
IP Revenue & Earnings History
| Year | Revenue | Net Income |
|---|---|---|
| FY19 | $18.32B | $1.23B |
| FY20 | $17.57B | $482.00M |
| FY21 | $19.36B | $1.75B |
| FY22 | $21.16B | $1.50B |
| FY23 | $16.03B | $288.00M |
| FY24 | $15.84B | $557.00M |
| FY25 | $23.63B | $-3.52B |
International Paper Company (IP) Valuation
Based on GoodMoat's DCF model, International Paper Company has a fair value estimate of $196.09. At the current price of $34.79, the stock appears 82.3% undervalued relative to our intrinsic value estimate.
IP Quality Indicators
International Paper Company maintains a profit margin of -14.1% and an operating margin of -12.8%. Return on equity stands at -23.7%. The current ratio is 1.28. Debt-to-equity ratio is 0.84.
About International Paper Company
International Paper (NYSE: IP ; LSE: IPC) is dedicated to empowering customers, teammates, and shareowners to thrive by delivering innovative, sustainable packaging solutions for a changing world. As a trusted leader in corrugated packaging, we collaborate with partners across industries to protect what matters most—strengthening supply chains, advancing sustainability, and creating lasting value for our stakeholders. Discover more at internationalpaper.com. SOURCE International Paper
IP Free Cash Flow
International Paper Company generated $59.00M in trailing twelve-month free cash flow, representing an FCF yield of 0.32%. This low FCF yield may reflect heavy reinvestment or growth spending.
IP Shares Outstanding
International Paper Company has 0.53 billion shares outstanding at a share price of $34.79, giving it a market capitalization of $18.37B.
IP Recent Insider Trades
Recent insider transactions at International Paper Company include:
| Insider | Type | Shares | Value |
|---|---|---|---|
| GUSTAFSSON ANDERS | BUY | 12,875 | $500023.80 |
| Connor Christopher M | BUY | 25,000 | $1.01M |
| Silvernail Andrew K (Chief Executive Officer) | BUY | 50,000 | $2.00M |