International Paper Company (IP) AI Stock Analysis

International Paper Company operates globally as a packaging company, serving customers across the United States, the Middle East, Europe, Africa, the Pacific Rim, Asia, and the Americas. The business is organized into two segments: Industrial Packaging and Global Cellulose Fibers. Industrial Packaging manufactures containerboards, including linerboard, medium, whitetop, recycled linerboard, recycled medium, and saturating kraft for protective shipping and transit applications. Global Cellulose Fibers produces fluff, market, and specialty pulps used in absorbent hygiene items such as baby diapers, feminine care products, and adult incontinence garments, as well as non-woven fabrics, filtration systems, and tissues. Headquartered in Memphis, Tennessee, the company sells directly and through converters, agents, and distributors.

Over the five-year period from FY2020 to FY2025, International Paper achieved a revenue CAGR of 7.2%. Annual revenue moved from $19.36B in FY2021 to $21.16B in FY2022, before retreating to $18.92B in FY2023 and $18.62B in FY2024. In FY2025, revenue grew 33.7% to $24.90B, while operating margin was -11.3% and net income was -$3.52B, resulting in EPS of -$0.08. Gross margin was 29.5% in FY2025, up from 28.2% in FY2024. Over the trailing twelve months, revenue was $24.20B with an operating margin of 2.3% and EPS of -$5.17. In the latest quarter ended June 30, 2026, quarterly revenue fell 2.2% year-over-year and quarterly earnings fell 90.1%.

As of June 30, 2026, International Paper held $726.0M in cash and short-term investments against total debt of $9.69B, resulting in net debt of $8.96B. Shareholders' equity was $14.46B, supporting a debt-to-equity ratio of 0.67 and a current ratio of 1.10. In FY2025, operating cash flow reached $1.70B, which did not fully fund capital expenditures of $1.86B, generating free cash flow of -$159.0M. Cash distribution in FY2025 included $977.0M in dividends paid and $65.0M in share buybacks.

International Paper trades at a forward P/E of 11.7x and a price-to-sales ratio of 0.7x, both below the median of its S&P 500 Consumer Cyclical peers at 15.7x and 2.0x, respectively. The company has an enterprise value of $27.87B with an EV to EBITDA ratio of 339.8x, compared to the peer median of 13.2x. Its price-to-book ratio is 1.3x and its PEG ratio is 0.98. Over the past year, the stock fell 23.4%, trailing the 16.8% return of the S&P 500, while its 5-year return fell 19.9% compared to an 83.0% gain for the index.

International Paper pays a quarterly dividend with an annual forward payout of $1.85, representing a dividend yield of 5.43%. The company has paid dividends for 57 consecutive years, though its 5-year annualized dividend growth declined 1.0%. Its payout ratio stands at 402.2%, and its last ex-dividend date was November 16, 2026.

Wall Street coverage includes 7 Strong Buy, 3 Buy, and 2 Hold ratings, with zero Sell or Strong Sell recommendations. The mean price target is $45.09, representing a 32.4% premium over the last close of $34.05. For the current fiscal year ending December 31, 2026, analysts estimate EPS of $1.27 and revenue of $24.53B. For the following fiscal year, 12 analysts project revenue of $26.08B and EPS of $3.06. Over the last four quarters, the company has beaten EPS estimates twice. The next earnings date is October 28, 2026.

This page is an AI-written research summary of International Paper Company (IP). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

Related: IP income statement, IP balance sheet, IP key metrics, IP analyst forecast, IP chart. See the IP stock overview for the latest quote and news.