Packaging Corp Reports Q4 2025 Earnings Miss Amid Market Challenges
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 30 2026
0mins
Should l Buy PKG?
Source: seekingalpha
Packaging Corporation of America shares rose 3.03% today, reaching a 20-day high, as the broader market showed strength with the Nasdaq-100 up 0.77% and the S&P 500 up 0.28%.
Despite the positive price movement, Packaging Corporation reported a Q4 2025 Non-GAAP EPS of $2.32, which fell short of expectations by $0.09, indicating pressure on profitability that could undermine investor confidence. The company also reported a revenue increase of 9.8% year-over-year to $2.36 billion, but this was below market estimates, reflecting soft demand and competition. The stock's rise appears to be a result of sector rotation, as investors reassess the company's future growth potential amid these challenges.
The mixed earnings report highlights the ongoing challenges faced by Packaging Corporation, including rising costs and competitive pressures. While the company remains optimistic about future production improvements, the market's reaction suggests that investors are cautious about the sustainability of growth in the current environment.
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Analyst Views on PKG
Wall Street analysts forecast PKG stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for PKG is 242.86 USD with a low forecast of 226.00 USD and a high forecast of 273.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
8 Analyst Rating
6 Buy
2 Hold
0 Sell
Strong Buy
Current: 231.910
Low
226.00
Averages
242.86
High
273.00
Current: 231.910
Low
226.00
Averages
242.86
High
273.00
About PKG
Packaging Corporation of America is a producer of containerboard products and a producer of uncoated freesheet (UFS) paper in North America. The Company operates eight mills and 86 corrugated products plants and related facilities. Its segments include Packaging, Paper and Corporate and Other. Its containerboard mills produce linerboard and corrugating medium, which are papers primarily used in the production of corrugated products. Its corrugated products manufacturing plants produce a variety of corrugated packaging products. In addition, it also produces packaging for meat, fresh fruit, and vegetables, processed food, beverages, and other industrial and consumer products. It manufactures and sells papers, including both commodity and specialty papers, which may have custom or specialized features, such as colors, coatings, high brightness, and recycled content. Its papers consist of communication papers, including cut-size office papers, and printing and converting papers.
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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- Annual Performance Overview: The full-year net income for 2025 was $774 million, or $8.58 per share, while excluding special items, net income was $888 million, or $9.84 per share, highlighting earnings volatility influenced by special items.
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