Should International Paper Stock Holders Look At Amcor Instead?

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International Paper (IP) and Amcor (AMCR) both sell packaging, and management at each company said on its latest call that it is raising prices to cover rising costs. International Paper is pushing price increases through on boxes while it separates its EMEA business, and Amcor is passing higher resin costs on to its customers. Over the past year, International Paper stock returned -0.2%, against 18.0% for Amcor. So what did each company just tell investors about the months ahead?

Amcor And International Paper Each Trimmed A Forecast

Both companies lowered a forecast on their latest calls, but Amcor issued a companywide cut. On November 4, 2026, Amcor lowered its adjusted earnings per share outlook for its current reporting period, which it calls the transition period, to $1.70 to $1.80 from $1.80 to $1.90. Management said energy and distribution costs jumped in September, and Amcor’s prices catch up with them only after a delay. Management still expects double-digit adjusted earnings per share growth in 2027, and the board raised the quarterly dividend to $0.66 per share.

International Paper’s cut is narrower. On October 28, 2026, management said the midpoint of its full-year outlook for the North American packaging business came down by about $110 million. Its full-year adjusted EBITDA guide for that business is $2.27 billion to $2.31 billion. International Paper no longer gives guidance for its EMEA business because of the planned separation, and management said it is not giving guidance for 2027 at this stage. On November 3, 2026, that EMEA business, DS Smith, set a target of €480 million in savings ahead of its standalone listing. So Amcor’s holders got a lower forecast with a 2027 target attached, and International Paper’s holders got a lower forecast for one business and no guidance for 2027.

Did Either Company Pay Dividends From Free Cash Flow?

Neither company did over its latest twelve months, but Amcor came much closer. International Paper’s free cash flow equaled 0.41% of its market value, against a dividend yield of 5.4%. Amcor’s free cash flow equaled 3.7% of its market value, against a dividend yield of 5.8%.

In the third quarter, International Paper posted free cash flow of -$267 million. Management said that figure reflected payments for second-quarter maintenance work, annual interest on legacy DS Smith debt and an inventory build. For the full year, it expects free cash flow of approximately $100 million to $200 million.

Amcor recorded a free cash outflow of $820 million in its September quarter. Management said about $500 million is tied up in inventories and receivables because of the Middle East conflict. Management expects to recover that money by the end of 2027, and expects positive free cash flow of about $800 million in the December quarter.

Which Company Leads On Growth, Margin, Price And Debt?

Amcor leads on growth and margin, and International Paper leads on price and debt. Over the latest twelve months, Amcor’s revenue grew 37.3%, against 12.2% for International Paper. Both figures still include acquisitions: Amcor bought Berry, and International Paper bought DS Smith. Sales at International Paper in each of its two latest quarters were below a year earlier. In the latest quarter, Amcor’s sales rose 6.7% from a year earlier, while International Paper’s fell 0.4%. Amcor also keeps more of each sale, posting an operating margin of 9.1% against 2.2% for International Paper.

International Paper is the cheaper stock, trading at 0.756 times sales against 0.868 for Amcor. International Paper also carries less debt, with total debt equal to 55.4% of its market value, against 75.6% for Amcor.

For an International Paper holder, Amcor offers a business that has grown faster and earns a wider margin, at a higher price on sales and with heavier debt. International Paper is the cheaper and less indebted of the two, but it keeps far less of each sale as operating profit. Amcor’s leverage, debt measured against earnings, stood at 3.76 times at the end of September, and it is the figure to watch when Amcor reports in February 2027.

Does This Mean You Should Act On IP?

Our purpose is to inform you with unique data so you make the right investment decisions. That said, betting on a single stock is always risky, no matter which direction you choose.

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