Investors Buy Large Volume of International Paper Call Options (NYSE:IP)

International Paper (NYSE:IP) saw some unusual options trading activity on Wednesday. Investors purchased 42,363 call options on the stock. This is an increase of 439% compared to the typical daily volume of 7,862 call options.

International Paper Price Performance

IP stock opened at $41.87 on Wednesday. The company has a 50 day simple moving average of $37.71 and a 200 day simple moving average of $36.35. The stock has a market cap of $14.54 billion, a price-to-earnings ratio of 85.45 and a beta of 1.01. International Paper has a 1 year low of $29.00 and a 1 year high of $42.82. The company has a debt-to-equity ratio of 0.66, a current ratio of 1.68 and a quick ratio of 1.22.

International Paper (NYSE:IP) last posted its earnings results on Thursday, April 25th. The basic materials company reported $0.17 earnings per share for the quarter, missing analysts’ consensus estimates of $0.23 by ($0.06). International Paper had a return on equity of 7.45% and a net margin of 0.93%. The business had revenue of $4.62 billion for the quarter, compared to the consensus estimate of $4.56 billion. During the same period in the previous year, the firm earned $0.53 earnings per share. The company’s revenue was down 8.0% compared to the same quarter last year. Research analysts anticipate that International Paper will post 1.85 EPS for the current fiscal year.

International Paper Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Monday, June 24th. Stockholders of record on Friday, May 24th will be paid a $0.4625 dividend. This represents a $1.85 dividend on an annualized basis and a dividend yield of 4.42%. The ex-dividend date is Thursday, May 23rd. International Paper’s dividend payout ratio is currently 377.55%.

Wall Street Analyst Weigh In

Several analysts have recently commented on IP shares. Argus cut shares of International Paper from a “buy” rating to a “hold” rating in a research note on Monday, February 26th. Royal Bank of Canada reissued an “outperform” rating and set a $43.00 price target on shares of International Paper in a research note on Friday, February 2nd. Bank of America raised shares of International Paper from an “underperform” rating to a “buy” rating and raised their price objective for the company from $37.00 to $42.00 in a research note on Monday, March 4th. Citigroup upgraded shares of International Paper from a “neutral” rating to a “buy” rating and increased their target price for the stock from $36.00 to $46.00 in a report on Wednesday, March 20th. Finally, Truist Financial reiterated a “buy” rating and issued a $40.00 target price on shares of International Paper in a report on Wednesday, April 17th. Five equities research analysts have rated the stock with a hold rating and four have assigned a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and an average target price of $38.57.

Insider Buying and Selling at International Paper

In other news, SVP James P. Jr. Royalty sold 5,800 shares of the business’s stock in a transaction on Wednesday, February 28th. The shares were sold at an average price of $34.75, for a total transaction of $201,550.00. Following the transaction, the senior vice president now directly owns 69,488 shares in the company, valued at approximately $2,414,708. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. Insiders have sold a total of 10,000 shares of company stock valued at $355,348 in the last three months. 0.55% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On International Paper

A number of institutional investors have recently modified their holdings of IP. Manchester Capital Management LLC bought a new position in International Paper during the third quarter worth $25,000. Jones Financial Companies Lllp raised its holdings in International Paper by 208.3% during the fourth quarter. Jones Financial Companies Lllp now owns 703 shares of the basic materials company’s stock worth $25,000 after buying an additional 475 shares during the last quarter. CVA Family Office LLC acquired a new position in International Paper during the fourth quarter worth $27,000. MCF Advisors LLC raised its holdings in International Paper by 1,094.7% during the first quarter. MCF Advisors LLC now owns 681 shares of the basic materials company’s stock worth $27,000 after buying an additional 624 shares during the last quarter. Finally, Venturi Wealth Management LLC raised its holdings in International Paper by 2,281.8% during the third quarter. Venturi Wealth Management LLC now owns 786 shares of the basic materials company’s stock worth $28,000 after buying an additional 753 shares during the last quarter. 81.95% of the stock is owned by institutional investors.

International Paper Company Profile

International Paper Company produces and sells renewable fiber-based packaging and pulp products in North America, Latin America, Europe, and North Africa. It operates through two segments, Industrial Packaging and Global Cellulose Fibers. The company offers linerboard, medium, whitetop, recycled linerboard, recycled medium and saturating kraft; and pulp for a range of applications, such as diapers, towel and tissue products, feminine care, incontinence, and other personal care products, as well as specialty pulps for use in textiles, construction materials, paints, coatings, and others.