Graphic Packaging (NYSE:GPK) Hits New 1-Year Low on Analyst Downgrade

Shares of Graphic Packaging Holding (NYSE:GPK) hit a new 52-week low during trading on Monday after Truist Financial lowered their price target on the stock from $31.00 to $30.00. Truist Financial currently has a hold rating on the stock. Graphic Packaging traded as low as $24.50 and last traded at $25.20, with a volume of 170534 shares trading hands. The stock had previously closed at $25.29.

Other equities analysts have also recently issued reports about the stock. Citigroup restated a “neutral” rating and issued a $30.00 price target (down from $33.00) on shares of Graphic Packaging in a research report on Monday, January 6th. Wells Fargo & Company upgraded Graphic Packaging from an “underweight” rating to an “equal weight” rating and increased their price objective for the company from $24.00 to $27.00 in a report on Monday, January 6th. Finally, Robert W. Baird cut their target price on Graphic Packaging from $36.00 to $32.00 and set an “outperform” rating on the stock in a report on Wednesday, February 5th. Four equities research analysts have rated the stock with a hold rating and three have given a buy rating to the stock. According to MarketBeat, the stock has a consensus rating of “Hold” and an average price target of $31.37.

Institutional Investors Weigh In On Graphic Packaging

A number of institutional investors have recently modified their holdings of the company. Wealth Enhancement Advisory Services LLC lifted its holdings in Graphic Packaging by 592.9% in the fourth quarter. Wealth Enhancement Advisory Services LLC now owns 157,665 shares of the industrial products company’s stock valued at $4,282,000 after buying an additional 134,910 shares during the period. Park Square Financial Group LLC bought a new position in shares of Graphic Packaging in the 4th quarter worth about $79,000. Menard Financial Group LLC lifted its stake in shares of Graphic Packaging by 8.7% in the 4th quarter. Menard Financial Group LLC now owns 18,042 shares of the industrial products company’s stock valued at $490,000 after purchasing an additional 1,447 shares during the period. Universal Beteiligungs und Servicegesellschaft mbH bought a new stake in shares of Graphic Packaging during the 4th quarter valued at about $6,851,000. Finally, Pullen Investment Management LLC grew its stake in Graphic Packaging by 21.4% during the fourth quarter. Pullen Investment Management LLC now owns 109,243 shares of the industrial products company’s stock worth $2,967,000 after purchasing an additional 19,243 shares during the period. 99.67% of the stock is owned by institutional investors.

Graphic Packaging Stock Performance

The firm has a market capitalization of $7.58 billion, a P/E ratio of 11.69, a P/E/G ratio of 2.10 and a beta of 0.81. The stock has a fifty day simple moving average of $26.86 and a two-hundred day simple moving average of $28.11. The company has a debt-to-equity ratio of 1.71, a current ratio of 1.46 and a quick ratio of 0.54.

Graphic Packaging (NYSE:GPK) last released its quarterly earnings data on Tuesday, February 4th. The industrial products company reported $0.59 earnings per share for the quarter, missing the consensus estimate of $0.63 by ($0.04). The company had revenue of $2.10 billion during the quarter, compared to the consensus estimate of $2.15 billion. Graphic Packaging had a net margin of 7.47% and a return on equity of 25.96%. The business’s revenue was down 6.8% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $0.75 EPS. On average, research analysts predict that Graphic Packaging Holding will post 2.47 EPS for the current year.

Graphic Packaging Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Saturday, April 5th. Investors of record on Saturday, March 15th will be given a $0.11 dividend. This represents a $0.44 dividend on an annualized basis and a yield of 1.74%. This is a positive change from Graphic Packaging’s previous quarterly dividend of $0.10. The ex-dividend date of this dividend is Friday, March 14th. Graphic Packaging’s payout ratio is presently 20.37%.

About Graphic Packaging

Graphic Packaging Holding Company, together with its subsidiaries, designs, produces, and sells consumer packaging products to brands in food, beverage, foodservice, household, and other consumer products. It operates through three segments: Paperboard Manufacturing, Americas Paperboard Packaging, and Europe Paperboard Packaging.