Stock Analysis | International Paper Outlook - Technical Weakness and Mixed Analyst Signals

Market Snapshot

Headline Takeaway: International Paper (IP) is facing technical headwinds with a weak trend and caution advised. The stock is currently down 0.41% in the short term.

News Highlights

Recent news includes developments from the global financial and policy landscape. India's potential release of a crypto regulation discussion paper in June could influence broader economic sentiment. Meanwhile, Georgia-Pacific and other packaging companies have announced layoffs in May, which could have ripple effects in industrial sectors. These events highlight the volatility and uncertainty in both policy and industrial markets, which could affect IP's performance.

Analyst Views & Fundamentals

Analysts have given a mixed outlook for International Paper. The simple average rating is 5.00, while the performance-weighted historical rating is 0.00, indicating significant inconsistency or poor performance in analyst predictions. The current price trend shows a decline of -0.41%, which aligns with the pessimistic market expectations.

• Key Fundamental Factors:
  • Return on Equity (ROE): 0.40% (internal diagnostic score: 2.61)
  • Return on Assets (ROA): 0.18% (internal diagnostic score: 2.61)
  • Cash Flow Operating Assets (CFOA): 1.12% (internal diagnostic score: 2.61)
  • Gross Profit Operating Assets (GPOA): 4.46% (internal diagnostic score: 3.61)
  • Enterprise Value / EBIT: 157.58 (internal diagnostic score: 2.61)
  • Gross Profit Margin (GPM): 27.94% (internal diagnostic score: 2.61)
  • Cash / Market Value (Cash-MV): 20.44% (internal diagnostic score: 2.61)

Money-Flow Trends

International Paper is seeing positive money flow across all major categories. The overall inflow ratio is 51.67%, with the highest inflow among the extra-large categories at 52.58%. These trends suggest continued institutional and large investor interest, while small and medium investors also show a positive trend, indicating broad market support for the stock.

Key Technical Signals

The technical outlook for International Paper is weak, with an internal diagnostic score of 4.12, advising caution. Recent chart patterns include a MACD Golden Cross on August 28, 2025, and a William's %R Overbought signal on several dates in late August and early September. The internal diagnostic scores for these indicators are:

• William's %R Overbought: Score of 2.61
• MACD Golden Cross: Score of 5.63

These mixed signals reflect a volatile market with unclear direction. Bearish indicators currently dominate the technical analysis, and traders should remain cautious.

Conclusion

Given the technical weakness and mixed analyst signals, investors are advised to proceed with caution. While the money flow is positive, the fundamental and technical indicators suggest a weak trend. Consider waiting for a pull-back or clearer signals before entering a position in International Paper.