International Paper
Market Cap
US$23.9b
Last Updated
2021/06/23 06:16 UTC
Data Sources
Company Financials +
Executive Summary
International Paper Company operates as a paper and packaging company primarily in United States, the Middle East, Europe, Africa, Pacific Rim, Asia, and rest of the Americas. More Details
Rewards
Risk Analysis
Snowflake Analysis
Established dividend payer with proven track record.
Similar Companies
Share Price & News
How has International Paper's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: IP is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: IP's weekly volatility (3%) has been stable over the past year.
Market Performance
7 Day Return
-1.9%
IP
-1.8%
US Packaging
-0.1%
US Market
1 Year Return
81.8%
IP
48.6%
US Packaging
39.0%
US Market
Return vs Industry: IP exceeded the US Packaging industry which returned 47.5% over the past year.
Return vs Market: IP exceeded the US Market which returned 39% over the past year.
Shareholder returns
| IP | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.9% | -1.8% | -0.1% |
| 30 Day | -5.2% | -5.6% | 2.6% |
| 90 Day | 12.4% | 6.2% | 8.0% |
| 1 Year | 89.9%81.8% | 51.2%48.6% | 41.2%39.0% |
| 3 Year | 32.5%15.5% | 56.3%45.0% | 62.4%52.3% |
| 5 Year | 82.9%48.3% | 106.8%85.4% | 132.3%106.2% |
Long-Term Price Volatility Vs. Market
How volatile is International Paper's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 day ago | Simply Wall St
Does International Paper (NYSE:IP) Have A Healthy Balance Sheet?1 week ago | Simply Wall St
What Type Of Shareholders Own The Most Number of International Paper Company (NYSE:IP) Shares?Valuation
Is International Paper undervalued compared to its fair value and its price relative to the market?
24.69x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: IP ($61.06) is trading above our estimate of fair value ($45.84)
Significantly Below Fair Value: IP is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: IP's PE Ratio (24.7x) is in line with the US Packaging industry average.
PE vs Market: IP is poor value based on its PE Ratio (24.7x) compared to the US market (19.2x).
Price to Earnings Growth Ratio
PEG Ratio: IP is poor value based on its PEG Ratio (143.8x)
Price to Book Ratio
PB vs Industry: IP is good value based on its PB Ratio (3.1x) compared to the US Packaging industry average (3.4x).
Future Growth
How is International Paper forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?
0.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: IP's forecast earnings growth (0.2% per year) is below the savings rate (2%).
Earnings vs Market: IP's earnings (0.2% per year) are forecast to grow slower than the US market (15.7% per year).
High Growth Earnings: IP's earnings are forecast to grow, but not significantly.
Revenue vs Market: IP's revenue (1.7% per year) is forecast to grow slower than the US market (9.4% per year).
High Growth Revenue: IP's revenue (1.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: IP's Return on Equity is forecast to be high in 3 years time (23.6%)
Past Performance
How has International Paper performed over the past 5 years?
-2.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: IP has high quality earnings.
Growing Profit Margin: IP's current net profit margins (4.7%) are higher than last year (3%).
Past Earnings Growth Analysis
Earnings Trend: IP's earnings have declined by 2.2% per year over the past 5 years.
Accelerating Growth: IP's earnings growth over the past year (47.3%) exceeds its 5-year average (-2.2% per year).
Earnings vs Industry: IP earnings growth over the past year (47.3%) exceeded the Packaging industry 24.2%.
Return on Equity
High ROE: IP's Return on Equity (12.5%) is considered low.
Financial Health
How is International Paper's financial position?
Financial Position Analysis
Short Term Liabilities: IP's short term assets ($12.2B) exceed its short term liabilities ($8.4B).
Long Term Liabilities: IP's short term assets ($12.2B) do not cover its long term liabilities ($15.3B).
Debt to Equity History and Analysis
Debt Level: IP's debt to equity ratio (101.6%) is considered high.
Reducing Debt: IP's debt to equity ratio has reduced from 220.2% to 101.6% over the past 5 years.
Debt Coverage: IP's debt is well covered by operating cash flow (37.1%).
Interest Coverage: IP's interest payments on its debt are well covered by EBIT (4.2x coverage).
Balance Sheet
Dividend
What is International Paper current dividend yield, its reliability and sustainability?
3.36%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: IP's dividend (3.36%) is higher than the bottom 25% of dividend payers in the US market (1.31%).
High Dividend: IP's dividend (3.36%) is low compared to the top 25% of dividend payers in the US market (3.44%).
Stability and Growth of Payments
Stable Dividend: IP's dividends per share have been stable in the past 10 years.
Growing Dividend: IP's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: At its current payout ratio (82.9%), IP's payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: IP's dividends in 3 years are forecast to be well covered by earnings (42.6% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.1yrs
Average management tenure
CEO
Mark Sutton (58 yo)
6.58yrs
Tenure
US$18,320,199
Compensation
Mr. Mark Stephan Sutton serves as Chief Executive Officer at International Paper Company, International Paper do Brasil Ltda., and International Paper Italia S.r.l. since November 1, 2014 and Chairman sinc...
CEO Compensation Analysis
Compensation vs Market: Mark's total compensation ($USD18.32M) is above average for companies of similar size in the US market ($USD11.28M).
Compensation vs Earnings: Mark's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: IP's management team is considered experienced (4.1 years average tenure).
Board Members
Experienced Board: IP's board of directors are considered experienced (3.7 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: IP insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
International Paper Company's company bio, employee growth, exchange listings and data sources
Key Information
- Name: International Paper Company
- Ticker: IP
- Exchange: NYSE
- Founded: 1898
- Industry: Paper Packaging
- Sector: Materials
- Market Cap: US$23.920b
- Shares outstanding: 391.74m
- Website: https://www.internationalpaper.com
Number of Employees
Location
- International Paper Company
- 6400 Poplar Avenue
- Memphis
- Tennessee
- 38197
- United States
Listings
Biography
International Paper Company operates as a paper and packaging company primarily in United States, the Middle East, Europe, Africa, Pacific Rim, Asia, and rest of the Americas. It operates through three seg...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/06/23 06:16 |
| End of Day Share Price | 2021/06/22 00:00 |
| Earnings | 2021/03/31 |
| Annual Earnings | 2020/12/31 |
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 here.