Under Analyst’s Radar: KapStone Paper and Packaging Corporation (KS)

The shares of KapStone Paper and Packaging Corporation (NYSE:KS) currently has mean rating of 2.55 while 2 analysts have recommended the shares as “BUY”, 3 recommended as “OUTPERFORM” and 4 recommended as “HOLD”. The rating score is on a scale of 1 to 5 where 1 stands for strong buy and 5 stands for sell.

The company’s mean estimate for sales for the current quarter ending Jun 16 is 820.43M by 10 analysts. The means estimate of sales for the year ending Dec-16 is 3.14B by 11 analysts.

The mean price target for the shares of KapStone Paper and Packaging Corporation (KS) is at 17.28 while the highest price target suggested by the analysts is 24.00 and low price target is 10.00. The mean price target is calculated keeping in view the consensus of 9 brokerage firms.

The average estimate of EPS for the current fiscal quarter for KapStone Paper and Packaging Corporation (KS) stands at 0.29 while the EPS for the current year is fixed at 1.18 by 9 analysts.

The next one year’s EPS estimate is set at 1.39 by 9 analysts while a year ago the analysts suggested the company’s EPS at 1.18. The analysts also projected the company’s long-term growth at 0.40% for the upcoming five years.

In its latest quarter ended on 31^st March 2016, KapStone Paper and Packaging Corporation (KS) reported earnings of $0.23. In the matter of earnings surprises, the term “Cockroach Effect” is often implied. Cockroach Effect is a market theory that suggests that when a company reveals bad news to the public, there may be many more related negative events that have yet to be revealed. In the case of earnings surprises, if a company is suggesting a negative earnings surprise it means there are more to come.

On May 11, 2016 KapStone Paper and Packaging Corporation (KS) announced that its Board of Directors has approved a regular quarterly dividend of $0.10 per share payable on July 13, 2016 to shareholders of record as of June 30, 2016.  Future declarations of quarterly dividends and the establishment of future record and payment dates are subject to the determination of the Company’s Board of Directors.

Headquartered in Northbrook, IL, KapStone Paper and Packaging Corporation is the fifth largest producer of containerboard and corrugated packaging products and is the largest kraft paper producer in the United States. The Company has four paper mills, 21 converting plants and 65 distribution centers.   The business has approximately 6,300 employees.