Traders Buy High Volume of Call Options on International Paper (NYSE:IP)

International Paper (NYSE:IP) saw unusually large options trading activity on Tuesday. Stock investors purchased 9,831 call options on the stock. This represents an increase of approximately 140% compared to the average daily volume of 4,102 call options.

International Paper Price Performance

Shares of IP traded up $3.03 during trading hours on Tuesday, reaching $55.86. 6,936,211 shares of the company’s stock traded hands, compared to its average volume of 9,850,542. The firm’s 50 day simple moving average is $54.94 and its 200-day simple moving average is $53.54. The stock has a market cap of $29.39 billion, a PE ratio of 35.58, a price-to-earnings-growth ratio of 0.39 and a beta of 1.02. The company has a current ratio of 1.49, a quick ratio of 1.08 and a debt-to-equity ratio of 0.66. International Paper has a 12 month low of $33.16 and a 12 month high of $60.36.

International Paper (NYSE:IP) last posted its quarterly earnings data on Thursday, January 30th. The basic materials company reported ($0.02) earnings per share for the quarter, missing the consensus estimate of $0.03 by ($0.05). International Paper had a net margin of 2.99% and a return on equity of 4.75%. Equities analysts expect that International Paper will post 2.77 EPS for the current year.

International Paper Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Monday, March 17th. Stockholders of record on Monday, February 24th were issued a $0.4625 dividend. This represents a $1.85 dividend on an annualized basis and a dividend yield of 3.31%. The ex-dividend date of this dividend was Monday, February 24th. International Paper’s payout ratio is currently 117.83%.

Hedge Funds Weigh In On International Paper

Institutional investors have recently modified their holdings of the company. Sierra Ocean LLC purchased a new stake in International Paper in the fourth quarter worth approximately $26,000. Centricity Wealth Management LLC purchased a new stake in shares of International Paper in the 4th quarter valued at $26,000. Brooklyn Investment Group purchased a new stake in shares of International Paper in the 3rd quarter valued at $25,000. Picton Mahoney Asset Management grew its holdings in shares of International Paper by 67.0% during the 4th quarter. Picton Mahoney Asset Management now owns 536 shares of the basic materials company’s stock valued at $29,000 after purchasing an additional 215 shares during the last quarter. Finally, Legacy Investment Solutions LLC purchased a new position in International Paper in the 3rd quarter worth $28,000. 81.95% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

Several equities analysts recently commented on IP shares. Truist Financial reiterated a “buy” rating and issued a $64.00 price objective (down previously from $65.00) on shares of International Paper in a research note on Friday, January 31st. Royal Bank of Canada reaffirmed an “outperform” rating and set a $64.00 price target on shares of International Paper in a research report on Friday, January 31st. Citigroup began coverage on International Paper in a report on Wednesday, March 5th. They issued a “buy” rating and a $60.00 price objective for the company. StockNews.com upgraded International Paper from a “hold” rating to a “buy” rating in a research note on Thursday, March 20th. Finally, JPMorgan Chase & Co. assumed coverage on shares of International Paper in a research report on Thursday, March 20th. They set an “overweight” rating and a $59.00 target price for the company. One investment analyst has rated the stock with a sell rating, three have issued a hold rating, seven have assigned a buy rating and one has given a strong buy rating to the company’s stock. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of $55.32.

International Paper Company Profile

International Paper Company produces and sells renewable fiber-based packaging and pulp products in North America, Latin America, Europe, and North Africa. It operates through two segments, Industrial Packaging and Global Cellulose Fibers. The company offers linerboard, medium, whitetop, recycled linerboard, recycled medium and saturating kraft; and pulp for a range of applications, such as diapers, towel and tissue products, feminine care, incontinence, and other personal care products, as well as specialty pulps for use in textiles, construction materials, paints, coatings, and others.