International Paper (IP) Expected to Beat Earnings Estimates: Should You Buy?

Core Viewpoint - The market anticipates a year-over-year decline in International Paper's earnings despite an increase in revenues, with the actual results being crucial for stock price movement [1] Earnings Expectations - International Paper is expected to report quarterly earnings of $0.23 per share, reflecting a year-over-year decrease of 64.1% [2] - Revenues are projected to be $4.67 billion, which is a 1.2% increase from the same quarter last year [2] Estimate Revisions - The consensus EPS estimate has been revised down by 5.36% over the last 30 days, indicating a reassessment by analysts [3] Earnings Surprise Prediction - The Zacks Earnings ESP model shows a positive Earnings ESP of +16.13% for International Paper, suggesting analysts have recently become more optimistic about the company's earnings [4][6] - The stock currently holds a Zacks Rank of 3, indicating a neutral outlook [6] Historical Performance - In the last reported quarter, International Paper exceeded the expected earnings of $0.40 per share by delivering $0.55, resulting in a surprise of +37.50% [7] - Over the past four quarters, the company has beaten consensus EPS estimates three times [7] Industry Comparison - Smurfit Westrock, another player in the paper industry, is expected to report earnings of $0.71 per share, down 12.4% year-over-year, with revenues projected at $8.04 billion, up 61.1% [9] - Smurfit Westrock's consensus EPS estimate has been revised up by 9.3% in the last 30 days, but it has a Zacks Rank of 4, making it difficult to predict an earnings beat [9]