International Paper Company

LSE:IPC Stock Report

Market Cap: UK£17.8b

International Paper Valuation

Is IPC undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of IPC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

UK£60.61
Fair Value
51.4% undervalued intrinsic discount
11
Number of Analysts

Below Fair Value: IPC (£29.45) is trading below our estimate of fair value (£60.61)

Significantly Below Fair Value: IPC is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for IPC?

Key metric: As IPC is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for IPC. This is calculated by dividing IPC's market cap by their current revenue.
What is IPC's PS Ratio?
PS Ratio0.9x
SalesUS$0
Market CapUS$23.35b

Price to Sales Ratio vs Peers

How does IPC's PS Ratio compare to its peers?

The above table shows the PS ratio for IPC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average3.1x
ANTO Antofagasta
4.9x9.50%UK£27.8b
FRES Fresnillo
5.5x7.34%UK£16.6b
AAL Anglo American
1.5x-2.89%UK£31.4b
GLEN Glencore
0.2x1.17%UK£43.0b
IPC International Paper
0.9x2.67%UK£23.4b

Price-To-Sales vs Peers: IPC is good value based on its Price-To-Sales Ratio (0.9x) compared to the peer average (3.1x).

Price to Sales Ratio vs Industry

How does IPC's PS Ratio compare vs other companies in the European Packaging Industry?

0 CompaniesPrice / SalesEstimated GrowthMarket Cap
IPC 0.9xIndustry Avg. 0.5xNo. of Companies8PS00.40.81.21.62+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: IPC is expensive based on its Price-To-Sales Ratio (0.9x) compared to the European Packaging industry average (0.5x).

Price to Sales Ratio vs Fair Ratio

What is IPC's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

IPC PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.9x
Fair PS Ratio1.8x

Price-To-Sales vs Fair Ratio: IPC is good value based on its Price-To-Sales Ratio (0.9x) compared to the estimated Fair Price-To-Sales Ratio (1.8x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst IPC forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£29.45
UK£39.30
+33.43%
12.53%UK£46.41UK£30.73n/a11
Oct ’26UK£34.40
UK£40.39
+17.42%
12.34%UK£46.99UK£31.40n/a12
Sep ’26UK£35.50
UK£40.20
+13.25%
12.56%UK£46.63UK£31.16n/a12
Aug ’26UK£33.95
UK£40.96
+20.66%
12.61%UK£47.50UK£31.75n/a12
Jul ’26UK£35.60
UK£39.65
+11.38%
14.16%UK£47.33UK£29.13n/a13
Jun ’26UK£35.35
UK£39.97
+13.06%
15.01%UK£48.24UK£29.61n/a12
May ’26UK£33.90
UK£41.71
+23.04%
12.61%UK£48.95UK£33.81n/a12
Apr ’26UK£41.00
UK£44.79
+9.26%
12.66%UK£54.96UK£36.38n/a12
Mar ’26UK£43.75
UK£45.34
+3.63%
12.15%UK£52.55UK£37.42n/a11
Feb ’26UK£44.67
UK£45.45
+1.75%
13.08%UK£53.22UK£37.01n/a10
Jan ’26UK£42.92
UK£43.97
+2.46%
12.21%UK£51.81UK£36.89n/a10
Dec ’25UK£46.31
UK£44.29
-4.36%
12.09%UK£52.02UK£37.04n/a10
Nov ’25UK£42.90
UK£40.89
-4.68%
14.25%UK£51.08UK£34.83n/a10
Oct ’25UK£36.99
UK£36.85
-0.39%
9.39%UK£41.75UK£32.80UK£34.4010
Sep ’25UK£36.29
UK£38.61
+6.40%
9.93%UK£43.94UK£33.66UK£35.5010
Aug ’25UK£36.22
UK£37.82
+4.41%
11.14%UK£43.57UK£32.24UK£33.9510
Jul ’25UK£34.02
UK£36.10
+6.11%
14.24%UK£45.09UK£30.54UK£35.608
Jun ’25UK£34.81
UK£35.12
+0.91%
14.42%UK£44.77UK£30.32UK£35.357
May ’25UK£28.05
UK£31.24
+11.37%
5.21%UK£34.42UK£29.30UK£33.907
Apr ’25UK£30.69
UK£30.21
-1.59%
7.65%UK£34.03UK£27.70UK£41.007
Mar ’25UK£27.70
UK£29.93
+8.04%
7.09%UK£34.04UK£27.71UK£43.759
Feb ’25UK£27.39
UK£30.89
+12.79%
8.52%UK£36.05UK£26.65UK£44.679
Jan ’25UK£28.28
UK£28.93
+2.30%
10.29%UK£32.10UK£23.49UK£42.928
Dec ’24UK£29.52
UK£29.91
+1.33%
11.49%UK£33.53UK£24.54UK£46.318
Nov ’24UK£27.70
UK£30.03
+8.43%
11.38%UK£33.74UK£24.69UK£42.908
Oct ’24UK£29.11
UK£30.58
+5.07%
13.70%UK£35.42UK£22.24UK£36.998
UK£39.38
Fair Value
25.2% undervalued intrinsic discount
11
Number of Analysts

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/10/30 02:45
End of Day Share Price 2025/10/30 00:00
Earnings2025/09/30
Annual Earnings2024/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

International Paper Company is covered by 27 analysts. 12 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
David ColemanArgus Research Company
Peter RuschmeierBarclays
Stephen AtkinsonBMO Capital Markets Equity Research