Packaging Corporation of America (PKG)
Packaging Corporation of America makes the cardboard boxes and paper products that help get goods from factories to your front door.
Is Packaging Corporation of America a good stock for a UK beginner?
The honest version: There's no rating here and nothing for sale. In its favour: Essential business model that is vital to the supply chain. Worth weighing: Earnings growth has recently been negative.
Is this normal for this company?
Each figure against the range this same company has produced recently. Neither end of a range is the good end.
Share price divided by the earnings actually reported over the four most recent quarters. The range is the same calculation at each of this company's last few results, so roughly the past year.
Profit as a share of sales, from the company's own quarterly statements. The range covers the 5 quarters we hold, and the figure shown is its most recent one.
How these ranges are built
Every number here is the company's own reported figure, not a comparison with other companies. The ranges come from this company's own results and its share price. Where it reports in a different currency from the one its shares trade in, the price-to-earnings range is left out rather than mixing the two.
What does Packaging Corporation of America do?
This company is a major player in the American packaging industry, turning wood fibre into the corrugated boxes used by retailers and manufacturers. They make money by selling these essential shipping materials, meaning their success is closely tied to how much stuff people are buying online and in shops. Their margins ride on how they handle the cost of raw materials and energy, which can squeeze profits when prices swing.
On our factor screen it looks strongest on momentum and income, and weakest on quality.
- ✓Pays a dividend - about 2.4% a year
- ✓Growing - revenue up about 15% over the year
- !High P/E of 33 - big growth is already priced in
- Momentum screens high
- —
Does Packaging Corporation of America pay a dividend?
Yes - Packaging Corporation of America currently pays a dividend of about 2.4% a year, which is £24 a year for every £1,000 invested (the yearly payout as a share of the price). A dividend is a slice of profit handed to shareholders; the yield moves as the price moves, and a company can cut or stop it. An ISA doesn't shelter the US tax on this one →
What do the numbers say about Packaging Corporation of America's dividend?
There's no rating here, and we don't judge whether the dividend will continue - that would be advice. Here are the figures income investors usually look at, and what each one means, so you can weigh it up yourself.
Figures are from the latest available data and can be distorted by one-off results. Past payments don't predict future ones, and a dividend can be cut at any time. This lays out the numbers to help you understand them - it is not a view on what will happen.
Most recent ex-dividend date: 15 Jun 2026. To receive a dividend you must already own the shares before the ex-dividend date; become a holder on or after it and the previous owner keeps that payment. Why the price usually falls that morning →
Does Packaging Corporation of America have more cash or more debt?
It holds about $593.80M in cash against about $4.40B of debt - so it has net debt of about $3.81B. Debt is not automatically a problem - it funds growth - but it has to be serviced and repaid, which matters more when profits wobble.
From the latest reported balance sheet. Cash and debt levels change, and some borrowing is normal - this is context, not a judgment.
What do Packaging Corporation of America's numbers mean?
How has it performed?
Growth of £1,000, the worst fall, and year by year
Over about 2 years to 2026-09-11. This is the share price only - reinvesting the dividends would add to it. And it's the USD return - as a UK investor your actual £ return also moves with the exchange rate. Past performance is not a guide to the future, and it could just as easily have fallen.
How much has Packaging Corporation of America actually fallen?
Over the last 2 years of daily prices, Packaging Corporation of America fell as much as −29% from a high to a later low. Falls like this are normal when you own a share.
Past falls are not a forecast - it can fall further, or recover.
How has it done year by year?
Calendar-year total return - the share price with dividends reinvested - from adjusted closing prices. The current year is only part-complete. Past returns are not a guide to the future.
A closer look at the numbers
Ownership, earnings history, where the money goes, and the outlook range
Does the share price tell you if it's cheap or expensive?
Based on beta - how much the price swings versus the whole market. Bumpier isn't bad; it just means a rougher ride, which matters more the sooner you might need the money.
Prices move on results, news and the mood of the whole market - no single headline explains a day, and a quiet week is usually just noise, not a signal.
How much money does Packaging Corporation of America make?
Revenue and profit by quarter, and how much of each sale turns into profit.
Where does each £100 of Packaging Corporation of America's sales go?
A rough split of the latest full-year figures: of every £100 of sales, about £79 covers making the product or service, £14 goes on running costs, tax and interest, and about £7 is left as profit. Margins vary a lot by industry, and one-off items can distort a single year.
When does Packaging Corporation of America report earnings, and how did recent quarters go?
Packaging Corporation of America is next scheduled to report on about 2026-10-21 - dates can move, and we don't predict results; this just tells you when to look.
‘Beat’ and ‘missed’ are against what analysts expected, not whether the business is doing well.
| Reported | Expected EPS: The earnings per share analysts expected for the quarter - the average of their forecasts. 'Beating' or 'missing' is measured against this number. | Actual EPS | vs expected |
|---|---|---|---|
| 2026-07-22 | $2.31 | $2.35 | Beat +2% |
| 2026-04-22 | $2.13 | $2.40 | Beat +13% |
| 2026-01-27 | $2.41 | $2.32 | Missed -4% |
| 2025-10-22 | $2.82 | $2.73 | Missed -3% |
| 2025-07-23 | $2.44 | $2.48 | Beat +1% |
| 2025-04-22 | $2.21 | $2.31 | Beat +4% |
Across the last 6 quarters here, Packaging Corporation of America came in ahead of what analysts expected 4 times. One quarter is noise, not a trend.
See who else reports over the next two weeks →
Where these figures come from
Each quarter a company reports its results against a consensus of analyst forecasts. The figures here are reported versus expected earnings per share from published results; the expectation is that analyst consensus, not our view. Report dates are estimates and can move.
What are the scenarios for Packaging Corporation of America?
An illustrative range for the year ahead — not a prediction or a price target.
What are the pros, cons and common questions?
The case each way, and the questions people ask
The company successfully pivots to sustainable, high-margin packaging solutions.
New, cheaper packaging technologies make traditional cardboard less relevant.
What are the pros and cons of Packaging Corporation of America?
A balance check, not a score or verdict.
- Essential business model that is vital to the supply chain
- Solid return on equity: How much profit the company makes for each £1 shareholders have put in. Higher usually means a more efficient business. indicates efficient management
- Consistent dividend payments provide regular income
- Earnings growth has recently been negative
- High sensitivity to the costs of raw materials like wood pulp
- Operates in a mature industry with limited explosive growth potential
- Economic downturns lead to reduced shipping and packaging needs
- Rising energy prices can significantly impact manufacturing costs
- Competition from alternative, more sustainable packaging materials
The write-up's own warning lights — if these start happening, the case above changes.
- A sustained, long-term decline in global e-commerce activity
- A major technological shift that renders cardboard packaging obsolete
Common questions about Packaging Corporation of America
Does Packaging Corporation of America pay a dividend?
Yes - Packaging Corporation of America currently pays a dividend of about 2.4% a year. Dividends are a share of profit paid to holders; the yield moves with the price and payouts can be cut.
When does Packaging Corporation of America report earnings next?
Packaging Corporation of America is next scheduled to report results on about 2026-10-21. Report dates are estimates and can move; this is a diary note for when to look, not a forecast of the outcome.
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This plain-English summary was auto-generated on 2026-08-02 from public data and checked for an education-only, no-advice tone (the figures above carry their own, usually fresher, 'as of' date). It's information, never a recommendation.