International Paper (IP) topped Q3 earning and revenue expectations, following a strategic review of its global
cellulose fibers business, which resulted in the closure of its paper mill in
Georgetown, South Carolina causing the loss of hundreds of jobs. This move follows a recent trend of strategic reviews, closures, and job cuts as analysts predict IP's further actions. These steps, regardless of the workers' plight, have attracted investor's attention where the share price target has been raised by RBC Capital and Truist. IP is looking forward to
DS Smith Acquisition, however, the deal conclusion may extend to 2025 while
Sylvamo, International Paper terminated their Georgetown Supply Agreement. Notwithstanding the layoffs, IP's Q3 sales stay in line with estimates while it remains committed to key objectives seeking early results from its turnaround plan. However, IP's operational changes including the closure of several facilities and job reductions ignited scrutiny. Despite the setbacks, the price performance and earnings were promising, with new 52-week high after strong earnings report. It is worth noting, talks with Brazilian firm Suzano about a possible acquisition concluded without an agreement.
International Paper IP News Analytics from Tue, 16 Apr 2024 07:00:00 GMT to Sat, 02 Nov 2024 14:10:12 GMT -
Rating 0
- Innovation -5
- Information 7
- Rumor -3
