Materials Companies Face EPS Downgrades, PKG Rated Lowest
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 13 2026
0mins
Source: seekingalpha
- Earnings Downgrades: As earnings season approaches, analysts have broadly downgraded earnings expectations for materials companies, with Packaging Corporation of America (PKG) rated the lowest, indicating a lack of market confidence in its near-term performance.
- Rating Distribution: Among large-cap materials firms, FRPM International (RPM) and PPG Industries (PPG) received grades of D- and D respectively, suggesting a pessimistic outlook from analysts that could impact investor sentiment.
- Industry Trends: Overall, International Paper (IP) and POSCO Holdings (PKX) both received D grades, reflecting the challenges faced by the materials sector in the current economic climate, potentially leading to capital outflows.
- Market Performance: While the materials sector is expected to outperform the energy sector in 2026, the current earnings downgrades may affect short-term investment decisions, particularly among companies with weaker earnings momentum.
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Analyst Views on IP
Wall Street analysts forecast IP stock price to rise
12 Analyst Rating
9 Buy
2 Hold
1 Sell
Moderate Buy
Current: 35.450
Low
36.00
Averages
48.35
High
57.80
Current: 35.450
Low
36.00
Averages
48.35
High
57.80
About IP
International Paper Company is a sustainable packaging solutions company. The Company's segments include Packaging Solutions North America and Packaging Solutions EMEA. The Company's products and services include Packaging, Packaging Services, and Recycling. It provides corrugated packaging, solid fiber, corrugated sheets, retail displays, bulk packaging, and more. It also offers related services such as design and fulfillment to support these solutions. It provides a range of packaging and display services, from design and testing to fulfillment, including structural design, graphic design services, printing, testing, fulfillment and assembly and mechanical packaging. Its recycling solutions and services manage fiber recovery programs for retailers, grocers, e-commerce, distribution centers, manufacturers, and our own box plants. It designs closed-loop recycling programs that move old corrugated containers (OCC) and other fiber-based recycling materials.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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