International Paper Stock Analysis, Valuation (NYSE:IP)

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$52 $0.03 (0.06%) IP stock closing price Aug 20, 2018 (Closing)

Take a look at Amigobulls International Paper stock analysis video. This is our analyst opinion covering the buy and sell arguments for IP stock.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

International Paper Co Stock Rating 3.4/5

Amigobulls IP stock analysis uses latest quarter 2018 Q2 financial data like International Paper revenue growth, profit margins and cash flows. International Paper valuation forms a crucial part of our stock analysis. International Paper stock rating encapsulates our opinion about the company based on the fundamentals.

Should you buy IP stock?

  • The company has an operating cash flow which is 1.9778 times the net income.
  • The International Paper stock currently trades at a price to earnings ratio of 11.6, compared to the sector average of 17.6. We rate this as a positive.
  • When compared with the Basic Materials sector average PS ratio of 1.3, the price-to-sales ratio of 0.9 for IP stock is attractive.
  • The LTM ROE of 49.5 for International Paper is attractive.
  • The company has a healthy free cash flow margin of 6.2.

Should you sell IP stock?

  • International Paper salesgrew by a marginal 1.1% year over year in 2018-06.
  • Revenue declined at a CAGR of -4.2 over the last 5 years.
  • With a debt/equity ratio of 1.67, International Paper is highly leveraged in comparison to Basic Materials peers.

Comments on this video and International Paper stock

Investors can make use of the Amigobulls International Paper stock analysis to ascertain how IP stock fares in fundamental analysis investment criteria. Company's fundamentals remain one of the key driver of IP stock and helps investors in making good buy and sell decision.

Among the financials of the company, International Paper revenue growth along with the profit or net income give a clear picture of the financial health. One can also combine technical analysis and fundamental analysis to get a holistic picture about IP stock.