International Paper shares rise 6.25% intraday as restructuring gains momentum and analysts upgrade to buy.

International Paper (IP) surged 6.25% intraday following a strategic restructuring update and analyst upgrades. The company announced the sale of its Global Cellulose Fibers business for $1.5 billion and plans to split its packaging operations into two publicly traded entities, signaling a focus on streamlining its portfolio. Concurrently, Truist upgraded the stock to "Buy" from "Hold," citing improving containerboard market conditions and the potential for operational efficiency post-restructuring. Institutional investors also increased stakes, reflecting confidence in the company’s strategic shift. Despite reporting significant losses for Q4 2025 and the full year, the restructuring efforts—aimed at reducing complexity and focusing on core packaging markets—appeased investor concerns about execution risks. The market appears to be pricing in the potential for improved profitability and capital allocation as the company navigates its transformation.