Report
Charles Gross
EUR 100.00 For Business Accounts Only

We Anticipate Increasing Supply Will Weigh on Product Pricing and PCA's Returns in the Coming Years

ND Paper's announced capacity expansions in its recently purchased pulp and paper mills sent share prices sharply lower for International Paper, WestRock, and Packaging Corp. of America. The announcement itself doesn't reflect a large capacity increase above the pipeline of projects already in progress. However, it does reflect a potential shift in strategy by ND Paper's parent company, China-based Nine Dragons, to increase North American containerboard capacity. The move is in line with our lon...
Underlying
Packaging Corporation of America

Packaging Corporation of America is a producer of containerboard products and a producer of uncoated freesheet paper. The company's segments include: Packaging, which produces a variety of corrugated packaging products, including shipping containers, multi-color boxes and displays, and honeycomb protective packaging, as well as produces packaging for meat, fresh fruit and vegetables, processed food, beverages, and other industrial and consumer products; Paper, which manufactures and sells papers, including both commodity and specialty papers; and Corporate and Other, which includes transportation assets, such as rail cars and trucks, to transport the company's products to and from its manufacturing sites.

Provider
Morningstar
Morningstar

Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. The company offer an extensive line of products and services for individual investors, financial advisors, asset managers, and retirement plan providers and sponsors.

Morningstar provides data on approximately 530,000 investment offerings, including stocks, mutual funds, and similar vehicles, along with real-time global market data on more than 18 million equities, indexes, futures, options, commodities, and precious metals, in addition to foreign exchange and Treasury markets. Morningstar also offers investment management services through its investment advisory subsidiaries and had approximately $185 billion in assets under advisement and management as of June 30, 2016.

We have operations in 27 countries.

Analysts
Charles Gross

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