Should I Buy PKG Stock in 2026?

Data-driven analysis and honest assessment for Packaging Corp Of America

Analysis Updated:
CAUTIONSeveral concerns warrant careful consideration

Current Price: $232.14P/E: 27.1

Decision Score

4.9/10

Weak

Based on 6 fundamental factors

Score Breakdown:

Valuation (20%)5/10

Elevated P/E of 27.1

Growth (20%)3/10

Declining -0%

Profitability (20%)4/10

Thin margins (0% net)

Financial Health (15%)5/10

Financial health data limited

Cash Flow (15%)8/10

Strong FCF yield of 5.6%

Insider Activity (10%)5/10

No recent insider activity

Key Investment Metrics

Current Price

$232.14

P/E Ratio

27.06

Revenue Growth

0.1%

Profit Margin

0.1%

Market Cap

$20.9B

Dividend Yield

0.02%

How PKG Compares to Competitors

Understanding how PKG stacks up against peers helps inform your investment decision.

How PKG Compares to Peers

Upcoming Events for PKG

+5 Reasons TO Buy PKG

1. High free cash flow yield of 5.6%

moderate

FCF yield above 5% means substantial cash generation for dividends, buybacks, or reinvestment.

-5 Reasons NOT to Buy PKG

1. Thin profit margins of 0.1%

high risk

Low margins provide little cushion against cost increases or pricing pressure.

2. Low gross margins of 21%

medium risk

Margins below 30% indicate commodity-like pricing and input cost vulnerability.

3. Minimal revenue growth

low risk

Growth of 0.1% barely keeps pace with inflation.

Who Should Buy PKG?

Investment Profile

Risk Level

Medium

Recommended Holding Period

3-5 years

Best For:

    Not Suitable For:

    • Growth Investors

      Limited 0% growth may disappoint

    • Income-Focused Retirees

      Low 0.0% yield

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    Frequently Asked Questions

    What is PKG stock price today?

    PKG (Packaging Corp Of America) stock is trading at $232.14 as of the latest market data. Stock prices update in real-time during market hours (9:30 AM - 4:00 PM ET).

    Is PKG stock going up or down today?

    PKG stock price movements are influenced by market conditions, news, earnings reports, and investor sentiment. Check our live dashboard for real-time price changes and technical indicators.

    Should I buy PKG stock now?

    The decision to buy PKG depends on your investment strategy, risk tolerance, and financial goals. Our AI analysis evaluates fundamentals, valuation metrics, growth prospects, and market conditions to help inform your decision.

    Is PKG a buy, hold, or sell right now?

    Our AI-powered analysis provides buy/hold/sell recommendations for PKG based on multiple factors including valuation, growth metrics, technical indicators, and analyst consensus. Visit our dashboard for the latest recommendation.

    Is PKG stock overvalued or undervalued?

    PKG currently trades at a P/E ratio of 27.06, which may indicate premium valuation. Our DCF calculator provides intrinsic value estimates to help determine if PKG is fairly priced.

    What is PKG's P/E ratio?

    PKG has a price-to-earnings (P/E) ratio of 27.06, which measures how much investors are willing to pay per dollar of earnings. Compare this to industry peers and historical averages for context.

    What is PKG's market cap?

    PKG (Packaging Corp Of America) has a market capitalization of $20.89 billion, making it a mid-cap stock.

    What is PKG's price to book ratio?

    PKG trades at a price-to-book (P/B) ratio of 4.39, which compares the stock price to the company's book value per share. A P/B below 1.0 may indicate undervaluation, while above 3.0 may suggest premium pricing.

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    Disclaimer

    This analysis is for informational purposes only and should not be considered financial advice. The decision score and recommendations are based on quantitative factors and do not account for all risks, your personal financial situation, or qualitative factors. Always do your own research and consider consulting with a financial advisor before making investment decisions.