Packaging Co. of America Plans Quarterly Dividend of $1.25 (NYSE:PKG)

Packaging Co. of America (NYSE:PKG) declared a quarterly dividend on Tuesday, December 10th,RTT News reports. Investors of record on Friday, December 20th will be paid a dividend of 1.25 per share by the industrial products company on Wednesday, January 15th. This represents a $5.00 dividend on an annualized basis and a yield of 2.10%.

Packaging Co. of America has raised its dividend by an average of 14.1% per year over the last three years and has increased its dividend annually for the last 14 consecutive years. Packaging Co. of America has a dividend payout ratio of 44.3% indicating that its dividend is sufficiently covered by earnings. Equities research analysts expect Packaging Co. of America to earn $11.14 per share next year, which means the company should continue to be able to cover its $5.00 annual dividend with an expected future payout ratio of 44.9%.

Packaging Co. of America Stock Down 0.2 %

Packaging Co. of America stock traded down $0.36 during mid-day trading on Wednesday, reaching $237.87. The stock had a trading volume of 32,590 shares, compared to its average volume of 599,188. The company has a debt-to-equity ratio of 0.58, a current ratio of 2.95 and a quick ratio of 1.98. The company has a market capitalization of $21.36 billion, a price-to-earnings ratio of 27.77, a PEG ratio of 3.41 and a beta of 0.77. The company has a 50-day moving average price of $232.07 and a two-hundred day moving average price of $207.94. Packaging Co. of America has a one year low of $159.57 and a one year high of $250.82.

Packaging Co. of America (NYSE:PKG) last issued its quarterly earnings data on Tuesday, October 22nd. The industrial products company reported $2.65 earnings per share for the quarter, topping the consensus estimate of $2.50 by $0.15. The firm had revenue of $2.18 billion for the quarter, compared to analysts’ expectations of $2.09 billion. Packaging Co. of America had a net margin of 9.46% and a return on equity of 19.10%. The business’s quarterly revenue was up 14.9% on a year-over-year basis. During the same quarter in the prior year, the business earned $2.05 EPS. On average, analysts expect that Packaging Co. of America will post 9.07 EPS for the current fiscal year.

Insider Activity

In related news, SVP Joseph Vaughn sold 2,300 shares of the stock in a transaction dated Tuesday, December 3rd. The stock was sold at an average price of $244.89, for a total transaction of $563,247.00. Following the transaction, the senior vice president now owns 9,197 shares of the company’s stock, valued at approximately $2,252,253.33. This represents a 20.01 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO Robert P. Mundy sold 12,500 shares of the stock in a transaction dated Friday, November 8th. The stock was sold at an average price of $240.62, for a total value of $3,007,750.00. Following the transaction, the chief financial officer now directly owns 43,954 shares in the company, valued at approximately $10,576,211.48. The trade was a 22.14 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 33,300 shares of company stock worth $8,064,152 over the last three months. 1.60% of the stock is currently owned by corporate insiders.

Analysts Set New Price Targets

A number of analysts recently issued reports on PKG shares. Citigroup raised their price target on Packaging Co. of America from $199.00 to $221.00 and gave the stock a “neutral” rating in a research report on Wednesday, October 2nd. StockNews.com upgraded Packaging Co. of America from a “hold” rating to a “buy” rating in a research report on Tuesday, December 3rd. Wells Fargo & Company lifted their target price on Packaging Co. of America from $235.00 to $253.00 and gave the stock an “overweight” rating in a research report on Thursday, October 24th. Finally, Truist Financial reiterated a “buy” rating and set a $252.00 target price (up from $242.00) on shares of Packaging Co. of America in a research report on Thursday, October 24th. Three investment analysts have rated the stock with a hold rating and four have issued a buy rating to the company’s stock. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $221.60.

Packaging Co. of America Company Profile

Packaging Corporation of America manufactures and sells containerboard and corrugated packaging products in the United States. The company operates through three segments: Packaging, Paper, and Corporate and Other. 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.