Packaging Corporation of America (NYSE:PKG) Shares Gap Down – Time to Sell?

Packaging Corporation of America (NYSE:PKG)’s share price gapped down prior to trading on Monday . The stock had previously closed at $237.21, but opened at $222.50. Packaging Corporation of America shares last traded at $219.0750, with a volume of 191,171 shares changing hands.

Analysts Set New Price Targets

Several research firms have issued reports on PKG. Truist Financial reduced their price objective on Packaging Corporation of America from $273.00 to $270.00 and set a “buy” rating on the stock in a report on Thursday, January 29th. UBS Group upped their price target on Packaging Corporation of America from $230.00 to $235.00 and gave the company a “neutral” rating in a research note on Monday, January 12th. JPMorgan Chase & Co. raised their price target on Packaging Corporation of America from $238.00 to $245.00 and gave the company an “overweight” rating in a report on Friday, December 5th. Zacks Research upgraded Packaging Corporation of America from a “strong sell” rating to a “hold” rating in a research report on Tuesday, January 6th. Finally, Citigroup boosted their price objective on Packaging Corporation of America from $226.00 to $227.00 and gave the stock a “neutral” rating in a report on Thursday, January 29th. Four analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. According to data from MarketBeat.com, Packaging Corporation of America currently has an average rating of “Moderate Buy” and a consensus price target of $236.00.

Packaging Corporation of America Stock Up 0.9%

The business has a fifty day moving average of $221.60 and a 200 day moving average of $211.50. The company has a quick ratio of 2.00, a current ratio of 3.16 and a debt-to-equity ratio of 0.84. The firm has a market cap of $20.79 billion, a P/E ratio of 26.96, a P/E/G ratio of 1.73 and a beta of 0.88.

Packaging Corporation of America (NYSE:PKG) last issued its earnings results on Tuesday, January 27th. The industrial products company reported $2.32 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.41 by ($0.09). The company had revenue of $2.36 billion for the quarter, compared to the consensus estimate of $2.43 billion. Packaging Corporation of America had a return on equity of 19.18% and a net margin of 8.61%.Packaging Corporation of America’s quarterly revenue was up 10.1% on a year-over-year basis. During the same quarter last year, the business posted $2.47 EPS. Packaging Corporation of America has set its Q1 2026 guidance at 2.200-2.20 EPS. On average, equities research analysts predict that Packaging Corporation of America will post 10.44 EPS for the current year.

Packaging Corporation of America Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Wednesday, January 14th. Shareholders of record on Monday, December 15th were paid a $1.25 dividend. This represents a $5.00 annualized dividend and a yield of 2.2%. The ex-dividend date of this dividend was Monday, December 15th. Packaging Corporation of America’s dividend payout ratio is presently 58.34%.

Insiders Place Their Bets

In other news, President Thomas A. Hassfurther sold 12,129 shares of Packaging Corporation of America stock in a transaction on Thursday, February 5th. The shares were sold at an average price of $230.50, for a total transaction of $2,795,734.50. Following the transaction, the president directly owned 197,062 shares of the company’s stock, valued at $45,422,791. This trade represents a 5.80% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Company insiders own 1.50% of the company’s stock.

Institutional Trading of Packaging Corporation of America

Several hedge funds have recently added to or reduced their stakes in PKG. Benchmark Financial Wealth Advisors LLC grew its stake in Packaging Corporation of America by 2.1% in the fourth quarter. Benchmark Financial Wealth Advisors LLC now owns 2,345 shares of the industrial products company’s stock valued at $484,000 after acquiring an additional 48 shares during the period. World Investment Advisors lifted its holdings in shares of Packaging Corporation of America by 4.1% during the 3rd quarter. World Investment Advisors now owns 1,279 shares of the industrial products company’s stock valued at $279,000 after purchasing an additional 50 shares in the last quarter. River Street Advisors LLC lifted its holdings in shares of Packaging Corporation of America by 1.0% during the 4th quarter. River Street Advisors LLC now owns 5,362 shares of the industrial products company’s stock valued at $1,106,000 after purchasing an additional 51 shares in the last quarter. Advyzon Investment Management LLC grew its position in shares of Packaging Corporation of America by 3.3% in the 2nd quarter. Advyzon Investment Management LLC now owns 1,608 shares of the industrial products company’s stock valued at $303,000 after purchasing an additional 52 shares during the period. Finally, Argent Advisors Inc. increased its stake in Packaging Corporation of America by 1.9% during the 3rd quarter. Argent Advisors Inc. now owns 2,852 shares of the industrial products company’s stock worth $622,000 after purchasing an additional 52 shares in the last quarter. Institutional investors and hedge funds own 89.78% of the company’s stock.

About Packaging Corporation of America

Packaging Corporation of America (NYSE: PKG) is a leading North American manufacturer of containerboard and corrugated packaging products. The company produces a range of paper-based packaging solutions including linerboard, corrugating medium, corrugated shipping containers, retail-ready packaging and point-of-purchase displays. In addition to core packaging products, Packaging Corporation of America offers packaging design, testing and supply-chain services intended to optimize protection, cost and sustainability for customers.

Headquartered in Lake Forest, Illinois, the company operates an integrated network of mills and corrugated manufacturing facilities across the United States and serves customers throughout North America in industries such as e-commerce, grocery and food & beverage, consumer packaged goods and industrial markets.