Graphic Packaging Holding (NYSE:GPK) Raises Dividend to $0.11 Per Share

Graphic Packaging Holding (NYSE:GPK) announced a quarterly dividend on Wednesday, February 5th,Wall Street Journal reports. Investors of record on Saturday, March 15th will be paid a dividend of 0.11 per share by the industrial products company on Saturday, April 5th. This represents a $0.44 annualized dividend and a yield of 1.67%. The ex-dividend date is Friday, March 14th. This is a boost from Graphic Packaging’s previous quarterly dividend of $0.10.

Graphic Packaging has increased its dividend by an average of 10.1% per year over the last three years. Graphic Packaging has a payout ratio of 13.8% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect Graphic Packaging to earn $2.66 per share next year, which means the company should continue to be able to cover its $0.40 annual dividend with an expected future payout ratio of 15.0%.

Graphic Packaging Trading Down 0.4 %

Shares of Graphic Packaging stock traded down $0.12 on Wednesday, reaching $26.43. 4,394,563 shares of the company’s stock were exchanged, compared to its average volume of 2,432,987. The company has a market capitalization of $7.93 billion, a P/E ratio of 11.29 and a beta of 0.85. Graphic Packaging has a 52 week low of $23.47 and a 52 week high of $30.70. The firm’s 50-day moving average is $28.00 and its two-hundred day moving average is $28.64. The company has a debt-to-equity ratio of 1.78, a quick ratio of 0.72 and a current ratio of 1.73.

Graphic Packaging (NYSE:GPK) last posted its quarterly earnings results on Tuesday, February 4th. The industrial products company reported $0.59 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.63 by ($0.04). The business had revenue of $2.10 billion for the quarter, compared to the consensus estimate of $2.15 billion. Graphic Packaging had a return on equity of 28.26% and a net margin of 7.99%. Graphic Packaging’s quarterly revenue was down 6.8% on a year-over-year basis. During the same quarter in the previous year, the company posted $0.75 earnings per share. Sell-side analysts predict that Graphic Packaging will post 2.53 EPS for the current fiscal year.

Insider Buying and Selling

In other news, CAO Charles D. Lischer sold 12,000 shares of Graphic Packaging stock in a transaction dated Monday, November 25th. The stock was sold at an average price of $29.65, for a total transaction of $355,800.00. Following the completion of the sale, the chief accounting officer now owns 49,849 shares in the company, valued at approximately $1,478,022.85. This trade represents a 19.40 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. 1.20% of the stock is currently owned by insiders.

Wall Street Analysts Forecast Growth

A number of equities analysts have issued reports on GPK shares. Royal Bank of Canada cut their price target on Graphic Packaging from $35.00 to $34.00 and set an “outperform” rating on the stock in a report on Thursday, October 17th. Wells Fargo & Company upgraded Graphic Packaging from an “underweight” rating to an “equal weight” rating and increased their target price for the stock from $24.00 to $27.00 in a report on Monday, January 6th. Citigroup reiterated a “neutral” rating and issued a $30.00 target price (down from $33.00) on shares of Graphic Packaging in a report on Monday, January 6th. Truist Financial increased their target price on Graphic Packaging from $30.00 to $32.00 and gave the stock a “hold” rating in a report on Monday, January 6th. Finally, Robert W. Baird cut their target price on Graphic Packaging from $36.00 to $32.00 and set an “outperform” rating on the stock in a report on Wednesday. Four equities research analysts have rated the stock with a hold rating and three have given a buy rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average target price of $31.70.

Graphic Packaging Company Profile

Graphic Packaging Holding Company, together with its subsidiaries, designs, produces, and sells consumer packaging products to brands in food, beverage, foodservice, household, and other consumer products. It operates through three segments: Paperboard Manufacturing, Americas Paperboard Packaging, and Europe Paperboard Packaging.