The Packaging Corporation of America (PKG) shows a stable performance in the packaging industry, focusing on robust containerboard and corrugated products in the United States. With its long-standing history and diverse operations in packaging and paper segments, it continues to hold a respectable market position. However, investors should weigh its potential for future growth against the prevailing market conditions.
Analyzing the fundamentals, PKG holds a "B+" rating with specific strengths in Return on Equity and Assets, though challenged by its Debt to Equity ratio.
| Category | Score | |
|---|---|---|
| Discounted Cash Flow | 3 | |
| Return on Equity | 5 | |
| Return on Assets | 5 | |
| Debt to Equity | 1 | |
| Price to Earnings | 3 | |
| Price to Book | 2 |
Comparison of the most recent and past scores displays a consistency in fundamental evaluations.
| Date | Overall | DCF | ROE | ROA | Debt/Equity | P/E | P/B |
|---|---|---|---|---|---|---|---|
| 2025-11-21 | 3 | 3 | 5 | 5 | 1 | 3 | 2 |
| Previous | 0 | 3 | 5 | 5 | 1 | 3 | 2 |
Analysts' estimates indicate a moderate growth potential with consensus price expectations.
| High | Low | Median | Consensus |
|---|---|---|---|
| 264 | 222 | 230 | 238.67 |
Within the analyst community, there's a predominant hold sentiment, indicating a stable outlook.
| Recommendation | Count | |
|---|---|---|
| Strong Buy | 0 | |
| Buy | 6 | |
| Hold | 17 | |
| Sell | 3 | |
| Strong Sell | 0 |
Packaging Corporation of America continues to present a well-rounded package in terms of its financial fundamentals, particularly with high returns on equity and assets. However, the low debt-to-equity ratio might be a cause for cautious optimism. While the analysts lean towards a "Hold" consensus, the company’s historical stability and strategic positioning in the packaging sector suggest resilience amidst fluctuating demand environments. Prospective investors should consider PKG’s consistent performance and sound sectoral presence as part of a balanced portfolio.