The stock of Packaging Corp Of America (NYSE: PKG) has increased by 2.43 when compared to last closing price of 238.31. Despite this, the company has experienced a 2.42% gain in its stock price over the last five trading sessions. zacks.com reported 2024-11-20 that Low consumer spending dampens the near-term prospects for the Zacks Containers – Paper and Packaging industry. However, PKG, ATR and SEE seem poised to tackle the challenges.
Is It Worth Investing in Packaging Corp Of America (NYSE: PKG) Right Now?
The price-to-earnings ratio for Packaging Corp Of America (NYSE: PKG) is above average at 28.47x. The 36-month beta value for PKG is also noteworthy at 0.78. There are mixed opinions on the stock, with 4 analysts rating it as a “buy,” 3 rating it as “overweight,” 11 rating it as “hold,” and 1 rating it as “sell.”
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The public float for PKG is 88.10M, and at present, short sellers hold a 1.40% of that float. The average trading volume of PKG on November 21, 2024 was 536.49K shares.
PKG’s Market Performance
PKG’s stock has seen a 2.42% increase for the week, with a 12.67% rise in the past month and a 20.97% gain in the past quarter. The volatility ratio for the week is 1.94%, and the volatility levels for the past 30 days are at 1.59% for Packaging Corp Of America The simple moving average for the past 20 days is 4.08% for PKG’s stock, with a 25.18% simple moving average for the past 200 days.
Analysts’ Opinion of PKG
Many brokerage firms have already submitted their reports for PKG stocks, with Wells Fargo repeating the rating for PKG by listing it as a “Overweight.” The predicted price for PKG in the upcoming period, according to Wells Fargo is $191 based on the research report published on April 24, 2024 of the current year 2024.
Exane BNP Paribas, on the other hand, stated in their research note that they expect to see PKG reach a price target of $182. The rating they have provided for PKG stocks is “Neutral” according to the report published on April 12th, 2024.
BofA Securities gave a rating of “Buy” to PKG, setting the target price at $202 in the report published on March 04th of the current year.
PKG Trading at 9.29% from the 50-Day Moving Average
After a stumble in the market that brought PKG to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -0.37% of loss for the given period.
Volatility was left at 1.59%, however, over the last 30 days, the volatility rate increased by 1.94%, as shares surge +6.76% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +19.23% upper at present.
During the last 5 trading sessions, PKG rose by +2.42%, which changed the moving average for the period of 200-days by +49.73% in comparison to the 20-day moving average, which settled at $234.53. In addition, Packaging Corp Of America saw 49.84% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at PKG starting from Shirley Donald R., who sale 8,000 shares at the price of $240.20 back on Nov 12 ’24. After this action, Shirley Donald R. now owns 15,725 shares of Packaging Corp Of America, valued at $1,921,600 using the latest closing price.
Shirley Donald R., the Officer of Packaging Corp Of America, proposed sale 8,000 shares at $240.29 during a trade that took place back on Nov 12 ’24, which means that Shirley Donald R. is holding shares at $1,922,320 based on the most recent closing price.
Stock Fundamentals for PKG
Current profitability levels for the company are sitting at:
- 0.14 for the present operating margin
- 0.21 for the gross margin
The net margin for Packaging Corp Of America stands at 0.09. The total capital return value is set at 0.15. Equity return is now at value 18.83, with 9.07 for asset returns.
Based on Packaging Corp Of America (PKG), the company’s capital structure generated 0.37 points at debt to capital in total, while cash flow to debt ratio is standing at 0.49. The debt to equity ratio resting at 0.58. The interest coverage ratio of the stock is 27.38.
Currently, EBITDA for the company is 1.59 billion with net debt to EBITDA at 1.31. When we switch over and look at the enterprise to sales, we see a ratio of 2.94. The receivables turnover for the company is 6.72for trailing twelve months and the total asset turnover is 0.93. The liquidity ratio also appears to be rather interesting for investors as it stands at 2.95.
Conclusion
In summary, Packaging Corp Of America (PKG) has had a better performance as of late. Analysts have bullish opinions on the stock, with some viewing it as a “buy” and others as a “hold”. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.
