Packaging Co. of America (NYSE:PKG) Downgraded to “Market Perform” at BMO Capital Markets

Packaging Co. of America (NYSE:PKG) was downgraded by investment analysts at BMO Capital Markets from an “outperform” rating to a “market perform” rating in a note issued to investors on Tuesday, Analyst Ratings Network reports. They presently have a $134.00 price target on the industrial products company’s stock, down from their prior price target of $144.00. BMO Capital Markets’ target price would suggest a potential downside of 6.72% from the stock’s previous close.

Several other research firms have also recently weighed in on PKG. Bank of America boosted their price objective on Packaging Co. of America from $115.00 to $118.00 and gave the stock a “buy” rating in a research report on Tuesday, September 15th. BidaskClub raised Packaging Co. of America from a “buy” rating to a “strong-buy” rating in a research report on Thursday, December 10th. Zacks Investment Research cut Packaging Co. of America from a “buy” rating to a “hold” rating and set a $143.00 price objective for the company. in a research report on Tuesday, January 5th. Morgan Stanley boosted their price objective on Packaging Co. of America from $93.00 to $111.00 and gave the stock an “equal weight” rating in a research report on Monday, October 26th. Finally, Argus boosted their price objective on Packaging Co. of America from $130.00 to $160.00 and gave the stock a “buy” rating in a research report on Friday, January 8th. One analyst has rated the stock with a sell rating, nine have given a hold rating, three have assigned a buy rating and one has issued a strong buy rating to the stock. The stock currently has a consensus rating of “Hold” and a consensus price target of $127.27.

Shares of NYSE:PKG opened at $143.65 on Tuesday. Packaging Co. of America has a fifty-two week low of $71.05 and a fifty-two week high of $148.14. The business has a 50-day moving average of $136.46 and a two-hundred day moving average of $115.44. The stock has a market capitalization of $13.62 billion, a P/E ratio of 26.60, a P/E/G ratio of 4.42 and a beta of 1.12. The company has a debt-to-equity ratio of 0.80, a current ratio of 3.89 and a quick ratio of 2.67.

Packaging Co. of America (NYSE:PKG) last announced its quarterly earnings results on Saturday, October 31st. The industrial products company reported $1.57 earnings per share for the quarter, topping analysts’ consensus estimates of $1.41 by $0.16. Packaging Co. of America had a return on equity of 19.99% and a net margin of 7.65%. The company had revenue of $1.69 billion during the quarter, compared to analysts’ expectations of $1.64 billion. During the same quarter in the previous year, the firm earned $1.92 earnings per share. The business’s quarterly revenue was down 3.3% compared to the same quarter last year. As a group, research analysts expect that Packaging Co. of America will post 5.31 EPS for the current fiscal year.

In related news, VP Thomas A. Hassfurther sold 10,000 shares of the business’s stock in a transaction dated Tuesday, November 3rd. The stock was sold at an average price of $120.00, for a total transaction of $1,200,000.00. Following the transaction, the vice president now directly owns 164,294 shares in the company, valued at $19,715,280. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, SVP Bruce A. Ridley sold 2,516 shares of the company’s stock in a transaction that occurred on Monday, November 2nd. The shares were sold at an average price of $117.64, for a total value of $295,982.24. Following the completion of the sale, the senior vice president now owns 15,674 shares in the company, valued at $1,843,889.36. The disclosure for this sale can be found here. Insiders have sold 48,516 shares of company stock worth $6,194,032 over the last 90 days. Corporate insiders own 1.60% of the company’s stock.

Several hedge funds have recently added to or reduced their stakes in the company. Victory Capital Management Inc. grew its stake in shares of Packaging Co. of America by 5.7% in the 3rd quarter. Victory Capital Management Inc. now owns 2,010,239 shares of the industrial products company’s stock valued at $219,216,000 after purchasing an additional 108,504 shares during the period. UBS Asset Management Americas Inc. grew its stake in shares of Packaging Co. of America by 28.6% in the 3rd quarter. UBS Asset Management Americas Inc. now owns 613,295 shares of the industrial products company’s stock valued at $66,880,000 after purchasing an additional 136,374 shares during the period. AQR Capital Management LLC grew its stake in shares of Packaging Co. of America by 21.7% in the 3rd quarter. AQR Capital Management LLC now owns 600,767 shares of the industrial products company’s stock valued at $65,496,000 after purchasing an additional 107,273 shares during the period. Morgan Stanley grew its stake in shares of Packaging Co. of America by 67.5% in the 3rd quarter. Morgan Stanley now owns 586,646 shares of the industrial products company’s stock valued at $63,974,000 after purchasing an additional 236,474 shares during the period. Finally, DekaBank Deutsche Girozentrale grew its stake in shares of Packaging Co. of America by 81.4% in the 3rd quarter. DekaBank Deutsche Girozentrale now owns 252,787 shares of the industrial products company’s stock valued at $27,127,000 after purchasing an additional 113,404 shares during the period. Institutional investors own 89.53% of the company’s stock.

About Packaging Co. of America

Packaging Corporation of America manufactures and sells containerboard and corrugated packaging products in the United States. The company operates through Packaging and Paper segments. The Packaging segment offers various containerboard and corrugated packaging products, such as conventional shipping containers used to protect and transport manufactured goods; multi-color boxes and displays that help to merchandise the packaged product in retail locations; and honeycomb protective packaging products, as well as packaging for meat, fresh fruit and vegetables, processed food, beverages, and other industrial and consumer products.

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Analyst Recommendations for Packaging Co. of America (NYSE:PKG)

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