International Paper Heads Into Q3 Results With Revenue Seen Up Just 1%

what happened

Packaging and materials company International Paper will release its third-quarter results on Wednesday before the market opens. The preview was published by stockstory.org.

Last quarter the company reported revenue of $6.00 billion, down 11.3% from a year earlier. The quarter was mixed: earnings per share beat expectations, but revenue again fell short of analyst forecasts, as it has several times over the past two years.

The market expects revenue to rise 1% year on year this quarter, a sharp slowdown from the 32.8% gain in the same quarter last year. Peers have already reported: Crown Holdings grew revenue 15.9%, and Packaging Corporation of America grew it 12.5%. IP shares are down 2.9% over the past month, and the average analyst price target is $45.40 against a current price of $33.00.

why it matters

Beyond the company's own numbers, investors are watching how sector peers performed. Crown Holdings and Packaging Corporation of America offer a read on packaging demand. Industrials stocks have fallen 4.2% on average over the past month, so the market reaction could be significant.

market impact

Packaging and paper: IP's report and peer results set expectations for demand for packaging materials

tags

instruments