International Paper (IP) is making significant strategic changes, including partnerships, acquisitions, and divestments, to streamline operations and boost profit growth. IP has confirmed a partnership with Infosys to optimize IT operations, which will result in layoffs for some Memphis-based workers. The company reported strong quarterly results and a rebound in share prices, eliciting positive analyst ratings and confirming investor confidence. However, simultaneous market shifts and downgrades have led to fluctuating trading activity.
IP recently offloaded bag converting operations to ProAmpac and sold its global cellulose fibers unit to American Industrial Partners for $1.5B. As part of this restructuring, IP is closing several facilities globally, including two containerboard mills, affecting over a thousand employees. Despite layoffs, net profit growth is anticipated.
Although IP's stock experienced occasional dips, the company is viewed as undervalued considering its packaging dominance. While strategic changes have led to closures and layoffs, the company’s footprint expansion, with a potential new sustainable packaging facility in Salt Lake City, presents future growth opportunities. Amid these shifts, IP remains committed to dividends, with a recent announcement of a $0.4625 payout.
International Paper IP News Analytics from Fri, 31 Jan 2025 08:00:00 GMT to Sun, 26 Oct 2025 01:35:59 GMT - Rating 6 - Innovation 8 - Information 7 - Rumor -1
