International Paper (IP) in Talks to Divest European Box Plants

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Apr 14, 2025
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Key Insights:

  • International Paper (IP, Financial) is in exclusive discussions to sell European assets, aiming to streamline operations.
  • The stock's one-year price target suggests a potential upside of over 20%.
  • Analysts generally rate International Paper as "Outperform," indicating a positive outlook.

International Paper Co. (IP) is strategically maneuvering to optimize its operations by engaging in exclusive negotiations with Germany's Palm Group. This potential sale involves five European corrugated box plants, a prerequisite tied to IP's acquisition of DS Smith. Completion of this deal hinges on approval from the European Commission and could conclude by mid-2025, aligning with IP's goal to enhance efficiency and reduce operational costs.

Wall Street Analysts' Projections

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According to projections from 10 analysts, International Paper Co. (IP, Financial) has an average one-year price target of $57.26. The target range spans a high of $71.00 and a low of $44.90, forecasting a potential upside of 22.25% from its current trading price of $46.84. For a more in-depth look at these projections, visit the International Paper Co (IP) Forecast page.

Analyst Recommendations

The consensus from 13 brokerage firms places International Paper Co. (IP, Financial) at an average brokerage recommendation of 2.5, categorizing it as "Outperform." This rating is part of a scale where 1 denotes a Strong Buy and 5 signifies a Sell, reflecting generally favorable analyst sentiment.

GuruFocus Valuation Insights

GuruFocus estimates suggest that the GF Value for International Paper Co. (IP, Financial) stands at $52.39 for one year, indicating a potential upside of 11.85% from its current price of $46.84. The GF Value is a measure of fair stock value, calculated using historical trading multiples and expected future business performance. For further details, explore the International Paper Co (IP) Summary page.

Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.