0.31%
-4.55%
-6.13%
7.52%
29.55%
42.66%
124.43%

Company Description

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


This segment sells its corrugated products through a direct sales and marketing organization, independent brokers, and distribution partners.The Paper segment manufactures and sells commodity and specialty papers, as well as communication papers, including cut-size office papers, and printing and converting papers.This segment sells white papers through its sales and marketing organization.


Packaging Corporation of America was founded in 1867 and is headquartered in Lake Forest, Illinois.

Market Data

Last Price 214.9
Change Percentage 0.31%
Open 212.91
Previous Close 214.24
Market Cap ( Millions) 19299
Volume 153136
Year High 250.82
Year Low 159.57
M A 50 235.84
M A 200 207.38

Financial Ratios

FCF Yield 3.06%
Dividend Yield 2.33%
ROE 18.79%
Debt / Equity 64.60%
Net Debt / EBIDTA 130.66%
Price To Book 4.49
Price Earnings Ratio 24.82
Price To FCF 32.72
Price To sales 2.36
EV / EBITDA 13.44

News

Business Breakdown

Expected Mid-Term Growth

Segment nΒ°1 -> Packaging

Expected Growth : 4.0 %

What the company do ?

Packaging Corporation of America provides packaging solutions, including containerboard, corrugated containers, and packaging supplies for various industries.

Why we expect these perspectives ?

Packaging Corporation of America's 4.0% growth is driven by increasing e-commerce demand, rising online shopping, and growing need for sustainable packaging solutions. Additionally, the company's strategic acquisitions, operational efficiencies, and product innovations in specialty packaging also contribute to its growth momentum.

Segment nΒ°2 -> Paper

Expected Growth : 3.5 %

What the company do ?

Paper from Packaging Corporation of America refers to a range of paper products, including containerboard, kraft paper, and specialty papers, used for packaging and other industrial applications.

Why we expect these perspectives ?

Packaging Corporation of America's 3.5% growth is driven by increasing e-commerce demand, rising online shopping trends, and growing need for sustainable packaging solutions. Additionally, the company's strategic acquisitions, operational efficiencies, and cost savings initiatives contribute to its growth momentum.

Segment nΒ°3 -> Corporate and Other Segment

Expected Growth : 2.5 %

What the company do ?

The Corporate and Other Segment from Packaging Corporation of America includes costs associated with corporate offices, manufacturing support, and other miscellaneous operations.

Why we expect these perspectives ?

The 2.5% growth in Corporate and Other Segment of Packaging Corporation of America is driven by increased sales of specialty packaging products, higher pricing, and cost savings from operational efficiencies. Additionally, strategic acquisitions and investments in emerging markets have contributed to the segment's growth.

Packaging Corporation Of America Products

Product Range What is it ?
Containerboard A type of paperboard used to manufacture corrugated containers, such as boxes and cases.
Kraft Paper A type of paper made from wood pulp, used for packaging, wrapping, and crafting.
Corrugated Containers Boxes and cases made from corrugated paperboard, used for shipping and storing goods.
Specialty Packaging Customized packaging solutions for specific products, such as food, beverages, and pharmaceuticals.
Bleached Paperboard A type of paperboard used in packaging, printing, and converting applications.
Recycled Paper Paper products made from recycled fibers, used in packaging, printing, and writing applications.

Packaging Corporation of America's Porter Forces

Packaging Corporation of America faces moderate threat from substitutes due to the availability of alternative packaging materials and sustainable options.

Customers have limited bargaining power due to the company's diversified customer base and lack of concentration.

Suppliers have moderate bargaining power due to the company's dependence on a few key suppliers for raw materials.

The threat of new entrants is low due to the high barriers to entry, including significant capital requirements and regulatory hurdles.

The intensity of rivalry is high due to the competitive nature of the packaging industry, with several established players competing for market share.

Capital Structure

Value
Debt Weight 42.48%
Debt Cost 3.95%
Equity Weight 57.52%
Equity Cost 8.01%
WACC 6.28%
Leverage 73.86%

Historical Valuation

Price/Earnings Ratio

Margin Valuation

Peers Valuation

Competitors

Company Rational
GPK Graphic Packaging Holding Company, together with its subsidiaries, provides fiber-based packaging solutions to food, beverage, foodservice, and other consumer products companies. It operates through three segments: Paperboard Mills, Americas Paperboard …
GEF Greif, Inc. engages in the production and sale of industrial packaging products and services worldwide. It operates in three segments: Global Industrial Packaging; Paper Packaging & Services; and Land Management. …
WRK WestRock Company, together with its subsidiaries, provides fiber-based paper and packaging solutions in North America, South America, Europe, Asia, and Australia. It operates through two segments, Corrugated Packaging and Consumer …
REYN Reynolds Consumer Products Inc. produces and sells products in cooking, waste and storage, and tableware product categories in the United States and internationally. It operates through four segments: Reynolds Cooking …
SON Sonoco Products Company, together with its subsidiaries, manufactures and sells industrial and consumer packaging products in North and South America, Europe, Australia, and Asia. The company operates through two segments: …

Peers Metrics

DCF BETA

Parameters

Short Term Growth
Short term Time
Long-Term Growth
WACC
Target Price
214.89$
Current Price
214.9$
Potential
-0.00%

Expected Cash-Flows

Scoring Insights

Peers Group Analysis

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