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INTERNATIONAL PAPER CO (IP) Stock Fundamental Analysis

NYSE:IP - US4601461035 - Common Stock

46.92 USD
-1.77 (-3.64%)
Last: 9/8/2025, 12:21:08 PM
Fundamental Rating

4

IP gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 22 industry peers in the Containers & Packaging industry. IP may be in some trouble as it scores bad on both profitability and health. IP is valied quite expensively at the moment, while it does show a decent growth rate.


Dividend Valuation Growth Profitability Health

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3

1. Profitability

1.1 Basic Checks

IP had positive earnings in the past year.
In the past year IP had a positive cash flow from operations.
Each year in the past 5 years IP has been profitable.
In the past 5 years IP always reported a positive cash flow from operatings.
IP Yearly Net Income VS EBIT VS OCF VS FCFIP Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B

1.2 Ratios

The Return On Assets of IP (-0.06%) is worse than 68.18% of its industry peers.
IP has a worse Return On Equity (-0.15%) than 68.18% of its industry peers.
With a Return On Invested Capital value of 0.66%, IP is not doing good in the industry: 77.27% of the companies in the same industry are doing better.
IP had an Average Return On Invested Capital over the past 3 years of 4.45%. This is below the industry average of 7.26%.
Industry RankSector Rank
ROA -0.06%
ROE -0.15%
ROIC 0.66%
ROA(3y)3.32%
ROA(5y)3.68%
ROE(3y)9.32%
ROE(5y)10.68%
ROIC(3y)4.45%
ROIC(5y)4.83%
IP Yearly ROA, ROE, ROICIP Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10 20 30

1.3 Margins

IP's Profit Margin has declined in the last couple of years.
IP's Operating Margin of 1.25% is on the low side compared to the rest of the industry. IP is outperformed by 77.27% of its industry peers.
In the last couple of years the Operating Margin of IP has declined.
IP's Gross Margin of 28.30% is fine compared to the rest of the industry. IP outperforms 77.27% of its industry peers.
In the last couple of years the Gross Margin of IP has declined.
Industry RankSector Rank
OM 1.25%
PM (TTM) N/A
GM 28.3%
OM growth 3Y-30.36%
OM growth 5Y-25.08%
PM growth 3Y-30.85%
PM growth 5Y-11.38%
GM growth 3Y-0.48%
GM growth 5Y-2.38%
IP Yearly Profit, Operating, Gross MarginsIP Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10 20 30

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3

2. Health

2.1 Basic Checks

IP has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for IP has been increased compared to 1 year ago.
IP has less shares outstanding than it did 5 years ago.
The debt/assets ratio for IP is higher compared to a year ago.
IP Yearly Shares OutstandingIP Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M 400M
IP Yearly Total Debt VS Total AssetsIP Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B

2.2 Solvency

Based on the Altman-Z score of 1.52, we must say that IP is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.52, IP is in line with its industry, outperforming 45.45% of the companies in the same industry.
IP has a Debt/Equity ratio of 0.52. This is a neutral value indicating IP is somewhat dependend on debt financing.
IP has a better Debt to Equity ratio (0.52) than 90.91% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.52
Debt/FCF N/A
Altman-Z 1.52
ROIC/WACC0.08
WACC8.35%
IP Yearly LT Debt VS Equity VS FCFIP Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B 10B

2.3 Liquidity

A Current Ratio of 1.33 indicates that IP should not have too much problems paying its short term obligations.
IP's Current ratio of 1.33 is in line compared to the rest of the industry. IP outperforms 59.09% of its industry peers.
IP has a Quick Ratio of 1.33. This is a bad value and indicates that IP is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of IP (0.96) is better than 68.18% of its industry peers.
Industry RankSector Rank
Current Ratio 1.33
Quick Ratio 0.96
IP Yearly Current Assets VS Current LiabilitesIP Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B 10B

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5

3. Growth

3.1 Past

IP shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -51.98%.
The earnings per share for IP have been decreasing by -23.81% on average. This is quite bad
The Revenue has grown by 18.13% in the past year. This is quite good.
The Revenue has been decreasing by -3.61% on average over the past years.
EPS 1Y (TTM)-51.98%
EPS 3Y-33.91%
EPS 5Y-23.81%
EPS Q2Q%-63.64%
Revenue 1Y (TTM)18.13%
Revenue growth 3Y-1.3%
Revenue growth 5Y-3.61%
Sales Q2Q%42.94%

3.2 Future

Based on estimates for the next years, IP will show a very strong growth in Earnings Per Share. The EPS will grow by 28.45% on average per year.
IP is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.10% yearly.
EPS Next Y57.2%
EPS Next 2Y65.84%
EPS Next 3Y53.02%
EPS Next 5Y28.45%
Revenue Next Year40.29%
Revenue Next 2Y21.63%
Revenue Next 3Y14.97%
Revenue Next 5Y9.1%

3.3 Evolution

The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
IP Yearly Revenue VS EstimatesIP Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 10B 20B 30B
IP Yearly EPS VS EstimatesIP Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 1 2 3 4 5

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3

4. Valuation

4.1 Price/Earnings Ratio

IP is valuated quite expensively with a Price/Earnings ratio of 55.20.
Based on the Price/Earnings ratio, IP is valued a bit more expensive than 77.27% of the companies in the same industry.
When comparing the Price/Earnings ratio of IP to the average of the S&P500 Index (27.02), we can say IP is valued expensively.
IP is valuated correctly with a Price/Forward Earnings ratio of 14.96.
IP's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of IP to the average of the S&P500 Index (22.66), we can say IP is valued slightly cheaper.
Industry RankSector Rank
PE 55.2
Fwd PE 14.96
IP Price Earnings VS Forward Price EarningsIP Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40 50

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, IP is valued a bit more expensive than 77.27% of the companies in the same industry.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 16.05
IP Per share dataIP EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 10 20 30 40

4.3 Compensation for Growth

The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
IP's earnings are expected to grow with 53.02% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.97
PEG (5Y)N/A
EPS Next 2Y65.84%
EPS Next 3Y53.02%

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4

5. Dividend

5.1 Amount

IP has a Yearly Dividend Yield of 3.83%.
IP's Dividend Yield is rather good when compared to the industry average which is at 3.25. IP pays more dividend than 86.36% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.45, IP pays a better dividend.
Industry RankSector Rank
Dividend Yield 3.83%

5.2 History

The dividend of IP decreases each year by -1.58%.
IP has been paying a dividend for at least 10 years, so it has a reliable track record.
IP has decreased its dividend in the last 3 years.
Dividend Growth(5Y)-1.58%
Div Incr Years0
Div Non Decr Years2
IP Yearly Dividends per shareIP Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.5 1 1.5 2

5.3 Sustainability

IP has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-3000%
EPS Next 2Y65.84%
EPS Next 3Y53.02%
IP Yearly Income VS Free CF VS DividendIP Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B

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INTERNATIONAL PAPER CO

NYSE:IP (9/8/2025, 12:21:08 PM)

46.92

-1.77 (-3.64%)

Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryContainers & Packaging
Earnings (Last)07-31 2025-07-31/bmo
Earnings (Next)10-30 2025-10-30/bmo
Inst Owners94.34%
Inst Owner Change-6.5%
Ins Owners0.16%
Ins Owner Change1.47%
Market Cap24.77B
Analysts74.55
Price Target55.67 (18.65%)
Short Float %9.3%
Short Ratio11.09
Dividend
Industry RankSector Rank
Dividend Yield 3.83%
Yearly Dividend1.85
Dividend Growth(5Y)-1.58%
DP-3000%
Div Incr Years0
Div Non Decr Years2
Ex-Date08-15 2025-08-15 (0.4625)
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-46.11%
Min EPS beat(2)-52.48%
Max EPS beat(2)-39.75%
EPS beat(4)1
Avg EPS beat(4)-51.94%
Min EPS beat(4)-180.91%
Max EPS beat(4)65.36%
EPS beat(8)4
Avg EPS beat(8)-22.61%
EPS beat(12)7
Avg EPS beat(12)-9.35%
EPS beat(16)9
Avg EPS beat(16)-5.11%
Revenue beat(2)0
Avg Revenue beat(2)-4.94%
Min Revenue beat(2)-7.84%
Max Revenue beat(2)-2.04%
Revenue beat(4)0
Avg Revenue beat(4)-4.83%
Min Revenue beat(4)-7.84%
Max Revenue beat(4)-2.04%
Revenue beat(8)0
Avg Revenue beat(8)-4.48%
Revenue beat(12)0
Avg Revenue beat(12)-4.25%
Revenue beat(16)1
Avg Revenue beat(16)-4.57%
PT rev (1m)0.25%
PT rev (3m)-1.94%
EPS NQ rev (1m)-7.87%
EPS NQ rev (3m)-24.92%
EPS NY rev (1m)-19.92%
EPS NY rev (3m)-19.8%
Revenue NQ rev (1m)-0.78%
Revenue NQ rev (3m)-2.19%
Revenue NY rev (1m)-0.16%
Revenue NY rev (3m)0.46%
Valuation
Industry RankSector Rank
PE 55.2
Fwd PE 14.96
P/S 1.13
P/FCF N/A
P/OCF 22.4
P/B 1.33
P/tB 3.71
EV/EBITDA 16.05
EPS(TTM)0.85
EY1.81%
EPS(NY)3.14
Fwd EY6.68%
FCF(TTM)-0.22
FCFYN/A
OCF(TTM)2.09
OCFY4.46%
SpS41.54
BVpS35.26
TBVpS12.65
PEG (NY)0.97
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -0.06%
ROE -0.15%
ROCE 0.78%
ROIC 0.66%
ROICexc 0.68%
ROICexgc 1.04%
OM 1.25%
PM (TTM) N/A
GM 28.3%
FCFM N/A
ROA(3y)3.32%
ROA(5y)3.68%
ROE(3y)9.32%
ROE(5y)10.68%
ROIC(3y)4.45%
ROIC(5y)4.83%
ROICexc(3y)4.69%
ROICexc(5y)5.36%
ROICexgc(3y)5.71%
ROICexgc(5y)6.5%
ROCE(3y)5.27%
ROCE(5y)5.71%
ROICexcg growth 3Y-27.83%
ROICexcg growth 5Y-21.92%
ROICexc growth 3Y-28.5%
ROICexc growth 5Y-22.76%
OM growth 3Y-30.36%
OM growth 5Y-25.08%
PM growth 3Y-30.85%
PM growth 5Y-11.38%
GM growth 3Y-0.48%
GM growth 5Y-2.38%
F-Score5
Asset Turnover0.52
Health
Industry RankSector Rank
Debt/Equity 0.52
Debt/FCF N/A
Debt/EBITDA 4.64
Cap/Depr 67.36%
Cap/Sales 5.58%
Interest Coverage 0.63
Cash Conversion 52.89%
Profit Quality N/A
Current Ratio 1.33
Quick Ratio 0.96
Altman-Z 1.52
F-Score5
WACC8.35%
ROIC/WACC0.08
Cap/Depr(3y)79.92%
Cap/Depr(5y)68.7%
Cap/Sales(3y)5.13%
Cap/Sales(5y)4.5%
Profit Quality(3y)152.94%
Profit Quality(5y)204.52%
High Growth Momentum
Growth
EPS 1Y (TTM)-51.98%
EPS 3Y-33.91%
EPS 5Y-23.81%
EPS Q2Q%-63.64%
EPS Next Y57.2%
EPS Next 2Y65.84%
EPS Next 3Y53.02%
EPS Next 5Y28.45%
Revenue 1Y (TTM)18.13%
Revenue growth 3Y-1.3%
Revenue growth 5Y-3.61%
Sales Q2Q%42.94%
Revenue Next Year40.29%
Revenue Next 2Y21.63%
Revenue Next 3Y14.97%
Revenue Next 5Y9.1%
EBIT growth 1Y-46.8%
EBIT growth 3Y-31.27%
EBIT growth 5Y-27.79%
EBIT Next Year385.76%
EBIT Next 3Y89%
EBIT Next 5Y47.98%
FCF growth 1Y-113.1%
FCF growth 3Y-20.04%
FCF growth 5Y-20.16%
OCF growth 1Y-46.54%
OCF growth 3Y-6.15%
OCF growth 5Y-14.21%