Packaging Corporation of America (“we,” “us,” “our,” “PCA,” or the “Company”) is the third largest producer of containerboard products and a leading producer of uncoated freesheet (UFS) paper in North America. We operate ten mills and 91 corrugated products plants and related facilities. We are headquartered in Lake Forest, Illinois and operate in the United States. We report in three reportable segments: Packaging, Paper and Corporate and Other. For segment financial information see Note 19, Segment Information, of the Notes to Consolidated Financial Statements in “Part II, Item 8, Financial Statements and Supplementary Data” of this Form 10-K. On September 2, 2025, we completed the acquisition of the containerboard business of Greif, Inc. (“Greif” or “Greif Acquisition”) for $1.8 billion in cash.
| Metric | TTM | FY2025 | FY2024 | FY2023 | FY2022 | FY2021 |
|---|---|---|---|---|---|---|
| Revenue | 9.0B | 9.0B | 8.4B | 7.8B | 8.5B | 7.7B |
| Net Income | 774M | 774M | 805M | 765M | 1.0B | 841M |
| EPS | $8.58 | $8.58 | $8.93 | $8.48 | $11.03 | $8.83 |
| Free Cash Flow | 729M | 729M | 522M | 845M | 671M | 489M |
| ROIC | 10.4% | 11.9% | 13.7% | 13.2% | 18.7% | 17.5% |
| Gross Margin | 21.0% | 21.0% | 21.3% | 21.8% | 24.7% | 24.2% |
| Debt/Equity | 0.86 | 0.86 | 0.56 | 0.82 | 0.67 | 0.69 |
| Dividends/Share | $4.98 | $5.00 | $5.00 | $5.00 | $4.75 | $4.00 |
| Operating Income | 1.1B | 1.1B | 1.1B | 1.1B | 1.4B | 1.2B |
| Operating Margin | 12.3% | 12.3% | 13.1% | 13.8% | 16.8% | 16.1% |
| ROE | 16.8% | 17.2% | 18.3% | 19.1% | 28.1% | 23.3% |
| Shares Outstanding | 90M | 90M | 90M | 90M | 93M | 95M |
PACKAGING CORP OF AMERICA passes 5 of 9 quality checks, suggesting mixed fundamentals.
PACKAGING CORP OF AMERICA trades at 24.5x trailing earnings, compared to its 15-year median P/E of 13.5x, suggesting it is currently Expensive relative to its historical range. The company's 5-year average ROIC is 15.0% with a gross margin of 22.6%. Total shareholder yield (dividends + buybacks) is 3.2%. At current prices, the estimated annualized return to fair value is -18.3%.
PACKAGING CORP OF AMERICA (PKG) has a current P/E ratio of 24.5, compared to its historical median P/E of 13.5. The stock is currently considered Expensive based on its historical valuation range.
PACKAGING CORP OF AMERICA (PKG) has a 5-year average return on invested capital (ROIC) of 15.0%. This indicates solid capital allocation.
PACKAGING CORP OF AMERICA (PKG) has a market capitalization of $19.0B. It is classified as a large-cap stock.
Yes, PACKAGING CORP OF AMERICA (PKG) pays a dividend with a trailing twelve-month yield of 2.37%. The company also returns capital through share buybacks, with a buyback yield of 0.81%.
Based on historical P/E analysis, PACKAGING CORP OF AMERICA (PKG) appears expensive. The current P/E of 24.5 is 81% above its historical median of 13.5. The estimated fair value CAGR (P/E method) is 5.6%.
PACKAGING CORP OF AMERICA (PKG) operates in the Paperboard Containers & Boxes industry, within the Materials sector.
PACKAGING CORP OF AMERICA (PKG) reported annual revenue of $9.0 billion in its most recent fiscal year, based on SEC EDGAR filings.
PACKAGING CORP OF AMERICA (PKG) has a net profit margin of 8.6%. This is a modest margin.
PACKAGING CORP OF AMERICA (PKG) generated $729 million in free cash flow in its most recent fiscal year. Positive free cash flow supports dividends, buybacks, and debt reduction.
PACKAGING CORP OF AMERICA (PKG) has a debt-to-equity ratio of 0.86. This indicates moderate leverage.
PACKAGING CORP OF AMERICA (PKG) reported earnings per share (EPS) of $8.58 in its most recent fiscal year.
PACKAGING CORP OF AMERICA (PKG) has a return on equity (ROE) of 17.2%. This indicates the company generates strong returns for shareholders.
PACKAGING CORP OF AMERICA (PKG) has a 5-year average gross margin of 22.6%. This lower margin is typical of capital-intensive or commodity businesses.
The Ledger Terminal provides 18 years of financial data for PACKAGING CORP OF AMERICA (PKG), sourced directly from SEC EDGAR filings. This includes income statements, balance sheets, cash flow statements, and key financial ratios.
PACKAGING CORP OF AMERICA (PKG) has a book value per share of $50.96, based on its most recent annual SEC filing.
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