International Paper (IP) Q2 Earnings Surpass Estimates

Core Viewpoint - International Paper reported quarterly earnings of $0.55 per share, exceeding the Zacks Consensus Estimate of$ 0.40 per share, but down from $0.59 per share a year ago, indicating a 6.78% year-over-year decline [1] - The company achieved an earnings surprise of 37.50% for the quarter, having previously reported a surprise of -26.09% in the prior quarter [1] Financial Performance - Revenues for the quarter ended June 2024 were$ 4.73 billion, slightly missing the Zacks Consensus Estimate by 0.79%, and showing a year-over-year increase from $4.68 billion [1] - Over the last four quarters, International Paper has surpassed consensus EPS estimates three times but has only topped revenue estimates once [1] Stock Performance - International Paper shares have increased approximately 27% since the beginning of the year, outperforming the S&P 500's gain of 16.5% [2] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is$ 0.63 on revenues of $4.86 billion, and for the current fiscal year, it is$ 2.01 on revenues of $19.14 billion [4] - The estimate revisions trend for International Paper is currently favorable, resulting in a Zacks Rank 1 (Strong Buy) for the stock, indicating expected outperformance in the near future [4] Industry Context - The Paper and Related Products industry is currently ranked in the top 20% of over 250 Zacks industries, suggesting a positive outlook for stocks within this sector [5] - Another company in the same industry, Smurfit Westrock, is expected to report quarterly earnings of$ 0.70 per share, reflecting a year-over-year decline of 21.4% [5]