Stock of the Day

January 13, 2020

Packaging Corporation of America (PKG)

$234.84
-$5.55 (-2.3%)
Market Cap: $21.42B

About Packaging Corporation of America

Packaging Corporation of America engages in the production of container products. It operates through the following segments: Packaging, Paper, and Corporate and Other. The Packaging segment offers a variety of corrugated packaging products, such as conventional shipping containers. The Paper segment manufactures and sells a range of papers, including communication-based papers, and pressure sensitive papers. The Corporate and Other segment focuses on transportation assets, such as rail cars, and trucks. The company was founded in 1959 and is headquartered in Lake Forest, IL.

Today's Trend

Packaging Corporation of America (NYSE: PKG) shares have decreased in the latest session, despite several bullish analyst updates. The stock remains near its 52-week high, with investor sentiment influenced by stronger longer-term earnings expectations, a higher price target, and some near-term estimate reductions.

  • UBS raised its price target to $292 from $271 and maintained a “Buy” rating, implying roughly 14.3% upside from the referenced share price. The upgrade provides a positive valuation signal for PKG. Benzinga article
  • Zacks Research increased its FY2027 EPS forecast to $12.44 from $12.08 and its FY2028 forecast to $14.56 from $13.99. The firm also raised estimates for multiple 2027 quarters and Q2 2028, signaling improved longer-term earnings expectations for Packaging Corporation of America.
  • Zacks raised its Q4 2026 EPS estimate to $2.75 from $2.62 and its Q1 2028 estimate to $3.23 from $3.13. These revisions support the view that earnings momentum could strengthen beyond the current year.
  • The analyst revisions are mixed for 2026: FY2026 EPS was trimmed slightly to $10.40 from $10.42, while Q3 2026 EPS was reduced to $2.91 from $3.07. The current full-year consensus remains $10.48 per share, suggesting limited immediate earnings upside.
  • Thomas Hassfurther reportedly sold 7,063 PKG shares. Insider selling can weigh modestly on sentiment, although the transaction alone does not establish a change in the company’s fundamental outlook. Thomas Hassfurther sells Packaging Corporation of America shares

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