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Packaging Corp. Is Worst Stock in S&P 500 After Earnings. Here’s Why. - Barron's

1. PKG stock dropped 10% after disappointing Q1 guidance. 2. Q4 profit increased to $221.1 million, missing earnings expectations. 3. CEO expects lower containerboard volume due to seasonal factors. 4. Costs for wood, energy, and chemicals expected to rise. 5. Analysts forecast lower earnings of $2.21, below estimates.

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FAQ

Why Bearish?

Disappointing guidance and increased costs suggest continued downward pressure, reminiscent of past performance dips.

How important is it?

Earnings results and guidance have significant implications for PKG's near-term performance and investor sentiment.

Why Short Term?

Immediate investor reaction to earnings miss and guidance likely creates short-term volatility.

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